There will come a time when a current tenant may fall seriously behind or owe you for something due under the lease, such as an accumulated water bill, a bounced security deposit check or some damages they did to the premises. A promissory note is simply an agreement when one party agrees to pay another party a particular past due sum or currently due sum on a particular date or dates.
Some recommend that a promissory note should be used only with a past or departing tenant owes you money and desires to pay you on a certain date or dates according to the payment arrangement spelled out on the promissory note. These people also recommend never using such an arrangement with a current tenant. The tenant may vacate owing you past due rent, late charges, unpaid utility bills or anything owed under the terms of the lease This Note will memorialize the debt in writing and can be used later if the past tenant defaults, and you wish to pursue the debt.
These same people recommend that a promissory note should not be used with a current tenant who owes you money. They point out that unless the promissory note clearly states that the amount is rent due under the terms of the lease, the landlord may have unwittingly converted past due rent into simply a monetary obligation for which he will not be able to evict the tenant using a Statutory Notice Period. Also suppose the tenant fails to make a payment, what is owed: the full balance all at once; or only that missed payment? This matter may be clarified by an acceleration clause in both the lease and the Note.
A Missouri Promissory Note for Past Due Rent is a legally binding document that serves as a written agreement between two parties involved in a rental agreement. It outlines the specific terms and conditions under which the tenant agrees to repay rent that is past due. Keywords: Missouri Promissory Note, past due rent, rental agreement, legally binding, repayment terms There are different types of Missouri Promissory Notes for Past Due Rent, including: 1. Fixed-Term Promissory Note: This type of promissory note sets a specific repayment schedule, stating the exact amounts and due dates for each installment. It provides a structured plan for the tenant to repay the past-due rent over a predetermined period. 2. Installment Promissory Note: This note allows the tenant to repay the past-due rent in equal installments over an agreed-upon period. The repayment terms may include the amount of each installment, the frequency of payments, and the duration of the repayment period. 3. Balloon Promissory Note: A balloon promissory note defers a substantial portion of the past-due rent payment until a specified future date. It allows the tenant to pay smaller, regular installments throughout the rental agreement period, and the remaining balance, often a lump sum, is due at the end of the agreed-upon term. 4. Secured Promissory Note: In some cases, a landlord may require collateral to secure the repayment of past-due rent. This type of promissory note includes specific provisions detailing the assets or property that will serve as security, providing the landlord with additional protection if the tenant fails to repay the amount owed. It is important to note that Missouri Promissory Notes for Past Due Rent should comply with all applicable state laws and regulations. It is recommended to consult an attorney or legal professional to ensure the validity and enforceability of such agreements.A Missouri Promissory Note for Past Due Rent is a legally binding document that serves as a written agreement between two parties involved in a rental agreement. It outlines the specific terms and conditions under which the tenant agrees to repay rent that is past due. Keywords: Missouri Promissory Note, past due rent, rental agreement, legally binding, repayment terms There are different types of Missouri Promissory Notes for Past Due Rent, including: 1. Fixed-Term Promissory Note: This type of promissory note sets a specific repayment schedule, stating the exact amounts and due dates for each installment. It provides a structured plan for the tenant to repay the past-due rent over a predetermined period. 2. Installment Promissory Note: This note allows the tenant to repay the past-due rent in equal installments over an agreed-upon period. The repayment terms may include the amount of each installment, the frequency of payments, and the duration of the repayment period. 3. Balloon Promissory Note: A balloon promissory note defers a substantial portion of the past-due rent payment until a specified future date. It allows the tenant to pay smaller, regular installments throughout the rental agreement period, and the remaining balance, often a lump sum, is due at the end of the agreed-upon term. 4. Secured Promissory Note: In some cases, a landlord may require collateral to secure the repayment of past-due rent. This type of promissory note includes specific provisions detailing the assets or property that will serve as security, providing the landlord with additional protection if the tenant fails to repay the amount owed. It is important to note that Missouri Promissory Notes for Past Due Rent should comply with all applicable state laws and regulations. It is recommended to consult an attorney or legal professional to ensure the validity and enforceability of such agreements.
