Returned Payment Notice

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If a tenant's rent check has been returned for insufficient funds notify them with the 'ezLandlord Forms' Returned Payment Notice.

Document Last Modified: 6/3/2021

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State Specific Clauses

CA State Assist

Assessed charges must not exceed $25 for the first check and a service fee of up to $35 for each subsequent check to that same payee.
While a landlord tries to pick out a suitable tenant, taking in all the circumstances of credit and criminal background does not 100% secure the chance of a ‘perfect tenancy.’ Mistakes happen. Unfortunately times may come when a landlord receives notification from his financial institution that the tenant’s payment was not accepted. This leads to having to notify that tenant of the dishonored payment.

Before the days of technology, a landlord would receive a letter from their bank indicating a payment was returned due to insufficient funds or citing another reason. Sometimes, by the time a landlord received that letter, payment arrangements were already made. With online banking; things happen much faster. Although, a tenant's rent check being returned by the bank or financial institution unpaid may be the result of simple accounting error; whatever the cause, it's important to notify your renter of a returned payment as soon as possible.

Use this straightforward and completely modifiable “ezlandlordforms’ Returned Payment Notice” to convey the news in a professional manner. It can even be emailed so that the offending tenant is informed quickly.

In addition to reporting the returned check, the document also allows you to include a returned check fee. Make sure that you adhere to your state’s limitations, as applicable. You will notice the state’s regulations regarding the fees are listed in the green state assist box.

If the payment in question was tendered via a paper check; it is probably not a good idea to accept another personal check to cover the payment and fees. This letter already includes a statement to accept a different form of payment.

In some cases, where permitted by law and in line with your lease, you may also charge a late charge if the bad payment has caused the rent to be late. There is generic text already installed in the notice but because the creation begins with an editable template, the exact charges may or may not be added.

Be sure to keep a copy of the notice just in case further legal action will need to be taken.