# Tenant on EI



## davidjean (Mar 27, 2014)

So my tenant has just gone off work on "medical EI". I'm unfamiliar with the process but believe it can take up to 6 weeks for her EI to come in. 

In the meantime she can't afford to pay rent. I don't want to evict. What are my options? Any other landlords on here had a similar issue?


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## sags (May 15, 2010)

The tenant can apply for social benefits (Ontario Works in Ontario) until the EI benefits arrive, but the money will have to be paid back when EI benefits arrive.

http://www.cleo.on.ca/en/publications/emplns/can-i-apply-social-assistance-welfare-while-i-wait-ei


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## Rusty O'Toole (Feb 1, 2012)

It's up to her to pay the rent. It is not up to you to pay it for her. You need to make this clear.


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## Just a Guy (Mar 27, 2012)

It's a slippery slope, once they get behind, they rarely catch up and usually wind up owing you a lot more by the time you do evict. I've found generally that, the more rope you give them, the faster they hang themselves.

That being said, most provinces have special programs which give a one time emergency rent payment or something similar if they need it. If they can't be bothered to look into it and find it, they aren't likely to work very hard to pay you in the future either.


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## Mortgage u/w (Feb 6, 2014)

Agree with all the previous posts. 

If tenant is not willing to find nor have any other means to pay rent, I would evict immediately. If you have a good relationship and trust your tenant, then you can work something out such as half rent payment the next couple of months and once they are back to work, they pay more each month to catch up. BUT, this is a risky alternative especially if you don't know your tenant.


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## OptsyEagle (Nov 29, 2009)

You can be a successful landlord or you can be a nice guy. It's your choice.

If you give in now, you will be asked to give in later, even when she gets back to work. Lower income people have a tendency to have a little more need for money then what their supply of money will provide. It is not every week or every month but for most it will be at least a few times a year. During these times, it is not that they had no money, it is that, in their opinion, they needed more then they earned. They will then look for the MOST SYMPATHETIC ear to help them during these times. Can they get food at the grocery store and pay them later. No, they are not very sympathetic. Can they get gas in their car and pay them later. No, they are not very sympathetic. Can they get their apartment and pay them later. Maybe, he's very sympathetic. A real nice guy.

My point is that all the other people got paid, why not you. Because you want to be a nice guy.


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## Bowzer (Feb 25, 2015)

I hate to admit this, but back in the day I knew exactly how late I could pay my rent, just how far I could push it, what letter would show up when. 

I wasn't trying to be a jerk, I was broke, so it was "Peter to Paul" time, and my rent was one of those things I learned to game. It was survival. 

This was for a large land lord, but I'd hate to think of the chaos that I would have caused a small land lord who needed my money.


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## Berubeland (Sep 6, 2009)

If you have a tenant who has traditionally been good, and your rent is the level where it is sustainable on what they will get on EI, and you are in Ontario...

I give the N-4 notice, get a copy of the letter with the waiting period, and give the N-4 so that the waiting period is over (14 days) and then hold the filing for the remaining couple weeks and give them the opportunity to pay when EI pay them all their weeks at once. 

Evictions take so long that they will take much longer than the waiting period in any case. First I usually give about 5-7 days before issuing the N-4, plus 14 days, a few days to get the paralegal to file for a court date, then a month to a month and a half to get to Landlord & Tenant Board, another $300 ish to get the sheriff, and 2-3 weeks. 

During that entire time, the tenant can pay you back. 

The real question is... can the tenant afford to stay. If not you really need to have a conversation with them about their plans.


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## Taraz (Nov 24, 2013)

Berubeland said:


> If you have a tenant who has traditionally been good, and your rent is the level where it is sustainable on what they will get on EI, and you are in Ontario...
> 
> I give the N-4 notice, get a copy of the letter with the waiting period, and give the N-4 so that the waiting period is over (14 days) and then hold the filing for the remaining couple weeks and give them the opportunity to pay when EI pay them all their weeks at once.
> 
> ...


Agreed. Start the eviction process as a precaution but let her know that it will stop when/if you get paid. Also, she clearly needs to get her finances in order and build up a basic emergency fund - maybe point her towards Dave Ramsey or Gail Vaz-Oxlade?


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## davidjean (Mar 27, 2014)

Thanks for the advice everyone. As a follow up ..... My tenants EI came in and I was paid for last months rent. At this time she's 2 weeks behind on rent. 

I find it difficult evicting a person. I agree with everyone's ideas about being HARD and STRICT with tenants. But I have two thoughts. 

1. Life and injuries happen. And tenants appreciate a little understanding and compassion. Is she taking advantage of me as a nice guy. Maybe. But also aye she appreciates my compassion and ends up renting for the long term. 

2. The eviction process is so slow. Never had to evict, but I don't ever want to. Tenants have all the rights stacked in their favour.


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## Just a Guy (Mar 27, 2012)

Best to start the process as soon as possible, as you say it takes a long time. You can always cancel the eviction at any time. To be successful in real estate you need to treat it as a business. When I start evicting people, I tell them it's nothing personal, if they fix the issue, I'll stop the eviction. Your bank won't be as understanding to you if you don't make your payments because "life gets in the way".

Trust me, there are more people who'll take advantage of your good will than there are truly in need...it's a sad fact of life which really hurts those in need.


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## Davis (Nov 11, 2014)

I agree with JAG and others on this. Someone in financial trouble will often lean on the most sympathetic person who has money. That should be a family member or a friend, not the landlord. I get that she has been a good tenant, and that counts for a loot, but you are not a social services agency - you don't have the experience or the tools to do that job effectively. I am glad you got one month out of the tenant, and I hope you get the rest. You should make it clear that your generosity has a limit, though, or you may find yourself being relied on for a lot more. Next time it happens, starting the process and explaining to her what timelines that gives here will make it clear that you will have to come before some of her other financial pressures.


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## Fain (Oct 11, 2009)

davidjean said:


> So my tenant has just gone off work on "medical EI". I'm unfamiliar with the process but believe it can take up to 6 weeks for her EI to come in.
> 
> In the meantime she can't afford to pay rent. I don't want to evict. What are my options? Any other landlords on here had a similar issue?


if she has no money She may have space on her credit card. Collect your rent in purchases, buy a vacation/computer/tv. Any item you've put off. I have a laptop and a couch due to this method.


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## NotJustDreaming (Oct 20, 2013)

Fain said:


> if she has no money She may have space on her credit card. Collect your rent in purchases, buy a vacation/computer/tv. Any item you've put off. I have a laptop and a couch due to this method.


Wow, is that a joke!? 

You'd be forcing her into probably years of indebtedness. It looks like she's already not great with money. My guess is it would be on a high interest card and then she'd make only minimum monthly payments. But I guess if you can sleep well...

I'm not a landlord but certainly see you can't be a dupe.


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## Bowzer (Feb 25, 2015)

I can see the controversy in asking her to pay rent on CC, but the alternative is you don't get your rent? That's what we're talking about here.

The alternative is eat the late rent and start the eviction process because she has no way to pay.


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## Berubeland (Sep 6, 2009)

This is a first for me. Also it's really hard to pay your mortgage with a laptop or vacation unlike a cash advance, if there is all that free room on the credit card.


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## Fain (Oct 11, 2009)

NotJustDreaming said:


> Wow, is that a joke!?
> 
> You'd be forcing her into probably years of indebtedness. It looks like she's already not great with money. My guess is it would be on a high interest card and then she'd make only minimum monthly payments. But I guess if you can sleep well...
> 
> I'm not a landlord but certainly see you can't be a dupe.


No big deal, she has a 21 day interest free grace period from the statement date. 0% loan as long as she keeps her word.


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## AlMansur (Jan 25, 2016)

Eviction process is not easy and should be done as a last resort.

If the tenants are good and they had a bit of bad luck, it pays to be a little compassionate.

I'm glad it all worked for you.


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## Just a Guy (Mar 27, 2012)

The eviction process is long and can be very costly if you delay. Usually the best to start the process early and cancel if he situation resolves itself.

It's easy to preach tolerance when it's not money coming out of your pockets.


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## davidjean (Mar 27, 2014)

Agree with you almansur. To me it's always been most important that the tenants are keeping my house in good standing. I definitely haven't enjoyed waiting for rent, but I'm hoping that my tolerance and patience will pay off with having a long term tenant that takes care of my house.


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