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 Travis Texas Promissory Note for Past Due Rent is a legal document establishing a written agreement between a landlord and a tenant regarding the repayment of overdue rent. This type of promissory note serves as a binding contract that outlines the terms and conditions under which the tenant promises to repay the owed rent amount in installments. Keywords: Travis Texas, Promissory Note, Past Due Rent, landlord, tenant, legal document, repayment, overdue rent, binding contract, terms and conditions, owed rent, installments Different types of Travis Texas Promissory Note for Past Due Rent can include: 1. Traditional Promissory Note for Past Due Rent: This standard type of promissory note outlines the repayment terms, including the total amount due, interest rate (if applicable), installment amount, due dates, and any penalties for non-compliance. 2. Modified Promissory Note for Past Due Rent: In some cases, landlords may negotiate a modified promissory note with tenants facing financial hardship. This type of note may allow for adjusted installments, reduced interest rates, or extended repayment periods to accommodate the tenant's circumstances. 3. Late Payment Promissory Note for Past Due Rent: If a tenant is consistently making late or irregular rent payments, the landlord may require them to sign a late payment promissory note. This note emphasizes the importance of timely rent payments and can include penalties for future late payments. 4. Lump Sum Promissory Note for Past Due Rent: In specific situations where a tenant has fallen significantly behind on rent, the landlord may require a lump sum payment. This promissory note establishes an agreement for the tenant to repay the entire outstanding rent balance by a specified due date. Important Note: It is advisable for landlords and tenants in Travis, Texas, to consult with legal professionals or real estate attorneys to ensure the accuracy, legality, and suitability of any promissory note related to past due rent.A Travis Texas Promissory Note for Past Due Rent is a legal document establishing a written agreement between a landlord and a tenant regarding the repayment of overdue rent. This type of promissory note serves as a binding contract that outlines the terms and conditions under which the tenant promises to repay the owed rent amount in installments. Keywords: Travis Texas, Promissory Note, Past Due Rent, landlord, tenant, legal document, repayment, overdue rent, binding contract, terms and conditions, owed rent, installments Different types of Travis Texas Promissory Note for Past Due Rent can include: 1. Traditional Promissory Note for Past Due Rent: This standard type of promissory note outlines the repayment terms, including the total amount due, interest rate (if applicable), installment amount, due dates, and any penalties for non-compliance. 2. Modified Promissory Note for Past Due Rent: In some cases, landlords may negotiate a modified promissory note with tenants facing financial hardship. This type of note may allow for adjusted installments, reduced interest rates, or extended repayment periods to accommodate the tenant's circumstances. 3. Late Payment Promissory Note for Past Due Rent: If a tenant is consistently making late or irregular rent payments, the landlord may require them to sign a late payment promissory note. This note emphasizes the importance of timely rent payments and can include penalties for future late payments. 4. Lump Sum Promissory Note for Past Due Rent: In specific situations where a tenant has fallen significantly behind on rent, the landlord may require a lump sum payment. This promissory note establishes an agreement for the tenant to repay the entire outstanding rent balance by a specified due date. Important Note: It is advisable for landlords and tenants in Travis, Texas, to consult with legal professionals or real estate attorneys to ensure the accuracy, legality, and suitability of any promissory note related to past due rent.
