Debt Recovery: types of debt
Types of debt
Debt Recovery deals mainly with two types of debt: sundry debt and former tenant arrears.
What is a Sundry Debt Invoice?
A Sundry Debt Invoice may be issued as a one-off invoice or a regular invoice for money owed, or for a service provided on behalf of Northampton Borough Council.
Your invoice will provide details of why the charge has been raised and is payable on receipt, unless stated otherwise.
What happens if I don't pay the invoice?
Recovery action will be taken in respect of all unpaid invoices. If you are experiencing financial difficulties in paying your invoice, you must let us know immediately; if you contact us we may be able to agree a suitable payment plan.
What if I believe the invoice is wrong?
If you think that the invoice you have received is incorrect, you should contact the department that raised the invoice; the correct number to ring is shown on your invoice.
If you dispute the invoice, you must contact us without delay.
Former tenant arrears
What are former tenant arrears?
If you end your local authority tenancy and owe us money, this is called former tenant arrears.
Rent will be charged up to the date your tenancy ends and you must make sure you pay all of the rent you owe us.
If you end a tenancy without paying any rent arrears, it will affect any future application you make for housing.
How are former tenant arrears caused?
Arrears can be caused by:
- Not paying the rent to cover the standard four weeks’ notice period
- Missing rent payments
- Making late rent payments
- Being evicted
- Gaps in payment of housing benefit
- Returning keys late after tenancy termination date.
Things to remember when ending your tenancy
- To end your tenancy you must complete a Notice of Intention to Terminate a Tenancy Form. This gives 4 weeks' notice to the council ending on a Monday
- If you are transferring your tenancy or moving to a nursing or residential home you will normally need to give a week's notice
- Your tenancy does not actually finish until you have handed in your keys. You will continue to be charged against your account until you do so
- The council requires vacant possession to end your tenancy
- If you had a joint tenancy with someone else then you are both equally responsible to pay all of the arrears
How former tenant arrears can affect you
- References for future landlords will be affected;
- Your credit rating will be affected;
- You could be taken to court;
- We will continue to chase you for outstanding monies after any period of time
Ways to pay your invoice