The consequences and effects of paying your rent late might not always be immediate, but it can be detrimental to your future. From lowering your credit score to lowering your credibility, it’s important to keep up with your rent payments.
Here are ways that can help you pay your rent on time:
1. Set up automated payment
If the option exists, set it up to be automatically be handled. This can help ensure that you pay your rent every month without having to manually go in and do it. Of course, you need to make sure you have sufficient funds in your bank account for this to go smoothly. If you are someone who likes to have control and see to it that it will be payed for sure, automatic payment might not be for you. However, it is convenient and efficient. It takes one less worry off your mind when it comes to bills.
2. Set a monthly reminder on your phone or any device
Having a reminder on your device will help remind you every month. You can set when you want the alarm to occur and at what time. In addition, you can set as many reminders as you want to make sure you pay your rent on time. This is also useful for other things such as paying your credit card and many other things. Also, if you prefer physically seeing it on paper, consider getting a calendar or agenda where you can write it down. This will help keep your life organized, and you can put many things in it.
3. Have a savings account as backup
Having a savings account that you have put aside for paying bills or having backup funds is a smart tactic. You keep adding to this fund every month, and money is building up. You can set it up where it automatically transfers money to your checking account. This can help you not spend unnecessary money every month. In general, it’s a good idea to have a savings account.
4. Think about how much money you could lose on late fees.
Ponder over what you could be missing out on if you pay your rent late and how much the late fee will be. Use the thought of giving away money as motivation to make sure you get your payments in. One or two late fees is not detrimental. However, if you start missing more and more payments, they will build up and get overwhelming. It’s a sure way to go downhill with your financial stability.
5. Think about your credit score
Not paying your rent on time will lower your credit score. You need your credit score for many things. It will effect your chance of renting in the future and buying a house or a car. It’s very easy to lower your credit score, and it can take a super long time to build it back up. Don’t take that risk. Keep the importance of your credit score in mind.
Paying your rent late can hurt you in so many ways. Find ways to make sure you are getting in your payment. Being on time builds you payment and credit score credibility. It also helps you avoid eviction and legal issues. Late fees are extra costs coming out of your pocket that can be completely prevented. We all want to be financially stable, and paying rent on time is a factor in being stable.