Managing Non-Rent Arrears Policy

POLICY STATEMENT

 I. Purpose

The purpose of this policy is to outline the process for notification and management of Non-rent Arrears.

II. Definitions

• Non-rent charges include water usage, repair of damages, key cutting, other miscellaneous charges relating to a tenancy agreement and debt owing from a former social housing tenancy.

• Non-rent Arrears are non-rent charges that remain unpaid after the due date recorded on an invoice to a tenant.

III. Coverage

This policy applies to tenants and former tenants who are living, or have lived, in a property owned or managed by SCH.

IV. Principles

SCH can apply and recover non-rent charges in accordance with the Residential Tenancies Act 2010 and the Housing Act 2001.

Tenants have a legal obligation to pay their non-rent charges as they become due. If tenants do not make payments, their accounts will fall into arrears. This will result in a breach of their tenancy agreement.

Tenants must notify SCH immediately if they are unable to make payments and SCH will work with them to agree to a payment plan that tenants can manage. (As a minimum, the expected repayment is equal to one day’s rebated rent per week, each fortnight).SCH may take action through the NSW Civil and Administrative Tribunal to terminate a tenancy when tenants do not comply with an agreed repayment plan or there are repeated non rent arrears.

Former tenants must pay any money owing on non-rent charges after vacating an SCH property. SCH will deduct outstanding non-rent charges from a former tenant’s bond, if there is any residual bond available after deducting any outstanding rent charges.If the bond is not sufficient to recover all rent and non-rent amounts owing, SCH may apply to the Tribunal for an order. Any unpaid debt may be recorded against an ex-tenant record and could affect their ability to obtain future social housing.

SCH will refund any credit amounts owing after a tenant has vacated a SCH property, within 28 days.

V. Responsibilities

The Property Services team are responsible for applying tenant damage and key cutting costs to tenant accounts.

Finance are responsible for applying water and bond charges to tenant accounts and recovering non-rent debts.

Housing Offers are responsible for managing tenant Non-Rent arrears.