Don’t Pay Rent on This Day of the Month
Written by
Laura Beck
Edited by
Amen Oyiboke
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Paying rent is an unavoidable expense for most tenants. However, not all days are created equally when it comes to paying rent. That’s right, some are worse than others.
The Worst Day: Weekends and Holidays
As Financial Expert Sudhir Khatwani of The Money Mongers explained, “Now, the first of the month is when the rent usually comes knocking, but life throws a curveball when that day lands on a weekend or a holiday. Banks are snoozing, and your payment might dilly-dally till the next working day, tagging you as late.”
Paying rent on weekends and bank holidays can delay when funds are received, putting you at risk of late fees. It’s best to avoid these days altogether.
Ultimately, the worst day of the month to pay rent is unique to each person and includes factors such as payday timing, late fee policies, and other financial obligations. For most people, it’s a burden to pay rent shortly before or after receiving a paycheck, as it can create budgeting challenges and potential late payments. Additionally, paying after the acceptable window can end in late fees. To avoid unnecessary financial stress and late fees, ask your landlord to set a date that works for both of you — many people don’t know this is an option, but it often is.
The Best Day: Align With Paydays
Khatwani advises trying “to tie your rent payment close to your payday.” Scheduling rent closer to when you get paid ensures funds are there to cover the amount and avoids stretching dollars between pay periods. Even if your lease states the 1st, see if you can schedule around your direct deposit days.
Stick To Due Dates That Aren’t the 1st
For leases with due dates other than the 1st, Khatwani said to “stick to it to keep things harmonious with your landlord and your credit score.” While you may have wiggle room, paying on the listed due date prevents issues. Don’t default to the 1st unless it’s specified.
Understand Your Grace Period Privileges
Many landlords provide a grace period of 5-10 days to allow for payment processing and mailing time. As Nicole Beauchamp, senior global real estate advisor and broker at Engel & Völkers, shared: “Most of my landlord clients have a five to ten day grace period, mostly back from the days when people sent checks — many of them now accept payments electronically.”
While your lease likely specifies a firm due date like the 1st, your landlord may cut you some slack before considering payment late. Beauchamp notes that these grace periods originated to accommodate slower physical checks and remain as a buffer zone for tenants.
Be sure to check with your landlord directly to find out if a grace period exists and the exact number of days. You may have more flexibility than you thought when scheduling rent payments. But don’t abuse the privilege, as landlords can tighten up policies.
Know Your Payment Options and Terms
Khatwani emphasizes the need to “know the ins and outs of your lease, how your bank dances to the payment tune, and which holidays might trip up your rent payment schedule.” Understanding all logistics, from online payments to bank hold days, prevents late payments. Also, as Beauchamp suggested, arranging for your bank to automatically process rent payments on their due dates can help keep you on track.
The key is finding the optimal date aligned with your pay schedule but accounting for processing and bank holdups. Straying too far from due dates risks late fees, but too early wastes money idle in landlords’ accounts.
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