Can I Get Out Of A Rental Contract Ending In July?

[Guest theboltonfury]

any of you people had any experience of having to get out of your rental contract?

Mrs lost job, my wage doesn't cover the rent. Tied in to a 12 month deal ending mid July.

Landlord is our neighbour and we get on ok but I simply can't make the rental payment. Where does this leave us as per the contract, deposit etc

Many thanks

TBF

[The Conveyancer]

If you are on a low wage have you thought of housing benefit. They only give you a certain amount dependant on your housing needs but it is worth looking into.

Otherwise check your Tenancy Agreement to see whether you have a break clause. If not it is probably worth being honest with your landlord to see if they can find another tenant sharpish.

[pharm]

any of you people had any experience of having to get out of your rental contract?

Mrs lost job, my wage doesn't cover the rent. Tied in to a 12 month deal ending mid July.

Landlord is our neighbour and we get on ok but I simply can't make the rental payment. Where does this leave us as per the contract, deposit etc

Many thanks

TBF

Go talk to the Citizens Advice Bureau: Seriously, this is what they're for. Take your rental contract with you.

Do note that if you leave voluntarily, the council has no obligation to house you.

[Guest theboltonfury]

If you are on a low wage have you thought of housing benefit. They only give you a certain amount dependant on your housing needs but it is worth looking into.

Otherwise check your Tenancy Agreement to see whether you have a break clause. If not it is probably worth being honest with your landlord to see if they can find another tenant sharpish.

Thanks

We can't get any housing benefit as I have more than 6k (the limit) in a bond tied up til June. Apparantly this counts, even though I can't get at it

I think honesty is the best policy too. No break clause, but it is an extension after already spending a year here already, so that may change things?

CAB is a good shout

ta

[waiting_to_exile]

CAB is a good shout, but at least talking to your landlord (if he/she is reasonable) is a good move. I've moved out short of contractual terms twice by introducing acceptable replacement tenants. Most landlords aren't stupid enough to refuse that deal. Of course, it helps if you rent decent places in the first instance.

[str mofo]

why not get out of the bond, take the charges on the chin.

That way you can hold the 6k in cash and claim benefit fraudulantly. I havent made that sound very honest but there you go...

[Oh Well :(]

Borrow money from your bank, secured against your bond?

[Guest theboltonfury]

why not get out of the bond, take the charges on the chin.

That way you can hold the 6k in cash and claim benefit fraudulantly. I havent made that sound very honest but there you go...

They say I can't get at the money, not even if I forefeit the interest. To be fair I checked this with them when I took out the bond.

Don't HMRC do a check on an individual thoroughly to see if any money's have been hidden / transferred before benefits are paid?

[Guest theboltonfury]

Borrow money from your bank, secured against your bond?

I have enquired abot this. It will come as no surprise that they want not just a ridiculous IR bit also a setup fee that is more than the sum total of interest I would have been due.

I think I'll just tell the LL. The last thing he wants is to be chasing tennants for money

[tigsrenting]

They say I can't get at the money, not even if I forefeit the interest. To be fair I checked this with them when I took out the bond.

Don't HMRC do a check on an individual thoroughly to see if any money's have been hidden / transferred before benefits are paid?

Don't think HMRC (is that the tax office?)do a check but the benefits office will probably ask for bank statements going back two years. Only volunteer details of one account. Set up another a/c for when the bond matures, the one you don't give details of.

Before anyone says this is dishonest I am sick to death of seeing people with some savings bled to death whilst all around others have managed to milk the system for all it's worth ie mortgage paid off for them whilst receiving housing benefit at the same time.

[Guest theboltonfury]

Don't think HMRC (is that the tax office?)do a check but the benefits office will probably ask for bank statements going back two years. Only volunteer details of one account. Set up another a/c for when the bond matures, the one you don't give details of.

Before anyone says this is dishonest I am sick to death of seeing people with some savings bled to death whilst all around others have managed to milk the system for all it's worth ie mortgage paid off for them whilst receiving housing benefit at the same time.

it's not dishonest at all. What's dishonest is asking savers to fund the welfare state without knowing that when the day comes that the shit hits the fan they'll never be able to access the pot that they have spent a lifetime paying in to.

You have taken the words right out of my mouth.

However, I am still working so wouldn't claim right now anyway. For how long I am working, who knows?!

Thanks very much.

[tim123]

Thanks

We can't get any housing benefit as I have more than 6k (the limit) in a bond tied up til June. Apparantly this counts, even though I can't get at it

This is not correct.

The upper limit is 16K

If you have more than 6K, then your assessed income is increased by an amount that assumes interest and drawdown, and only if the new income is above the assessed level will you not get HB.

TBH, if you have savings that will mature at the same time as the AST ends, you really need to see if you can come to some agreement to borrow some money and/or pay reduced rent until it matures.

tim

[tim123]

They say I can't get at the money, not even if I forefeit the interest. To be fair I checked this with them when I took out the bond.

Don't HMRC do a check on an individual thoroughly to see if any money's have been hidden / transferred before benefits are paid?

Not usually. They rely on "honesty" with draconian penalties (prison) for dishonesty.

tim

[Financial Hack]

When my firm announced redundancies I started thinking about what I would do if I had lost my job.

My mum said I could move back into her house for as long as I needed, so I just thought i'd say fvck it to the landlord and tell him he can keep the deposit and that's it, tough tits if you end up out of pocket. If you haven't got the money then what else can you do?

[Guest theboltonfury]

This is not correct.

The upper limit is 16K

If you have more than 6K, then your assessed income is increased by an amount that assumes interest and drawdown, and only if the new income is above the assessed level will you not get HB.

TBH, if you have savings that will mature at the same time as the AST ends, you really need to see if you can come to some agreement to borrow some money and/or pay reduced rent until it matures.

tim

Thanks Tim

Are you sure it's 16k. I thought that was the figure you needed less than to get dole. That's what www.entitled.com says

[loon]

Thanks Tim

Are you sure it's 16k. I thought that was the figure you needed less than to get dole. That's what www.entitled.com says

I believe Tim is indeed correct. Have a look at CAB's Advice Website, the section headed "Your income and capital" in particular.

As for declaring savings or otherwise, beware that at some point, they may ask to see bank statements, and will "follow the money". If you get done for cheating, I believe it's fraud; you will struggle to get a decent job in future, and may well loose your current job.

[Guest theboltonfury]

I believe Tim is indeed correct. Have a look at CAB's Advice Website, the section headed "Your income and capital" in particular.

As for declaring savings or otherwise, beware that at some point, they may ask to see bank statements, and will "follow the money". If you get done for cheating, I believe it's fraud; you will struggle to get a decent job in future, and may well loose your current job.

thanks guys

I just don't have the balls to hide money and would rather work to get money, doing anything. However, what the real eye opener is is this.. what is to stop someone spunking 20kto clear their savings on a luxury holiday a car and tvs etc and then genuinely having no money and claiming a tidy sum in bens?

Not something I would want to do though

[tim123]

Thanks Tim

Are you sure it's 16k. I thought that was the figure you needed less than to get dole. That's what www.entitled.com says

http://www.northlan.gov.uk/living+here/hou...ng+benefit.html

HTH

tim

[tim123]

thanks guys

I just don't have the balls to hide money and would rather work to get money, doing anything. However, what the real eye opener is is this.. what is to stop someone spunking 20kto clear their savings on a luxury holiday a car and tvs etc and then genuinely having no money and claiming a tidy sum in bens?

Nothing, if it is spent before making a claim.

But once you have made the claim they check (in the sense of "calculate") that you are spending your savings sensibly.

tim

[A_Landlord]

any of you people had any experience of having to get out of your rental contract?

Mrs lost job, my wage doesn't cover the rent. Tied in to a 12 month deal ending mid July.

Landlord is our neighbour and we get on ok but I simply can't make the rental payment. Where does this leave us as per the contract, deposit etc

Many thanks

TBF

How about being honest and giving the facts.

My response would be OK, rent to mid July, but from May you would have to accept some dispruption at AGREED times for potential viewings.

Then you can either discuss you moving out at July, or staying at an affordable rate to you until the owner finds someone - atleast the landlord has some money coming in! This would mean you would have to move out with 1 months notice, but atleast you have some more time if you haven't found somewhere.

[Guest theboltonfury]

How about being honest and giving the facts.

My response would be OK, rent to mid July, but from May you would have to accept some dispruption at AGREED times for potential viewings.

Then you can either discuss you moving out at July, or staying at an affordable rate to you until the owner finds someone - atleast the landlord has some money coming in! This would mean you would have to move out with 1 months notice, but atleast you have some more time if you haven't found somewhere.

The facts are fine. I'll tell him the truth

It's now Feb, I can afford to pay this month, then probably not the month after. It's all very well saying rent until mid July, but what would I pay him with - magic beans?

[A_Landlord]

The facts are fine. I'll tell him the truth

It's now Feb, I can afford to pay this month, then probably not the month after. It's all very well saying rent until mid July, but what would I pay him with - magic beans?

I apologise, I misread your original post in that I thought you had money to July and 12months rental agreement from now.

What % of the original rent can you afford to pay going forward? Go to him and say you can either move out when you cannot pay the rent, or you can be as helpfull to him as possible and pay e.g. 75% of the original rent until they find a new tenant, and you will help with viewings at agreed times.

How can he chase you for rent if you don't have money to pay?

It could buy you a couple of months for you to find somewhere cheaper/your wife to find another job.

I know I would prefer to have some money coming in to me than nothing and have the place vacant for a few months trying to find a new tenant.

[Guest theboltonfury]

I apologise, I misread your original post in that I thought you had money to July and 12months rental agreement from now.

What % of the original rent can you afford to pay going forward? Go to him and say you can either move out when you cannot pay the rent, or you can be as helpfull to him as possible and pay e.g. 75% of the original rent until they find a new tenant, and you will help with viewings at agreed times.

How can he chase you for rent if you don't have money to pay?

It could buy you a couple of months for you to find somewhere cheaper/your wife to find another job.

I know I would prefer to have some money coming in to me than nothing and have the place vacant for a few months trying to find a new tenant.

Wise words. That is my decision - to explain the situation and offer £150 less each month (original of £850) until my mrs finds work.

That way I feel less grubby and he gets probably what he'd have to re-put it on the market for.

Good advice

[Matt Henson]

Wise words. That is my decision - to explain the situation and offer £150 less each month (original of £850) until my mrs finds work.

That way I feel less grubby and he gets probably what he'd have to re-put it on the market for.

Good advice

Well worth it as it may cost the LL much less to accept the reduction, my tenants (a couple) split up and we reduced the rent from £750 to £450 while she sorted herself out, luckily they got back together again so no harm done, but my wife and I were happy to accept the reduction as a short term solution to avoid a longer term problem of finding new tenants, agent fees and voids etc.

[Matt Henson]

thats good business sense.

I sometimes hear LL tales and you wonder what planet the LL is on.

eg know of one friend who refused to pay £50 pcm more(£550) and got two months notice after two years in a flat.Flat,6 months later,still empty.

Luckily our LTV is about 30% even if you take the value of the property at 40% off peak so we have a lot of head room but even so, it made better sense to keep a happy zero trouble tenant of three year in the property at no profit than risk losing them. We would have done the same if the mortgage cost more.

Tell me about the Morningside thing.... I am intrigued