How do I calculate rent arrears in Canada?
Multiply the monthly rent by the number of unpaid months, add any partial-month balance, add allowable charges such as NSF/returned-cheque fees, then subtract any last-month-rent deposit that can be applied. In Ontario the last-month-rent deposit can only be applied to the final month of tenancy, not to arrears mid-tenancy.
Can a landlord charge interest on unpaid rent in Ontario?
The Landlord and Tenant Board may award interest on arrears, but it is discretionary and modest. Ontario landlords cannot impose their own late-payment penalty in a residential lease under the Residential Tenancies Act. Any daily 'late fee' written into a residential lease is generally unenforceable.
What notice do I serve for non-payment of rent?
In Ontario you serve Form N4 (Notice to End a Tenancy for Non-payment of Rent). The tenant has 14 days (7 days for daily/weekly tenancies) to pay. If they do not, you file Form L1 with the LTB. Other provinces use equivalent forms, such as BC's 10 Day Notice to End Tenancy.
Does the last-month-rent deposit reduce arrears?
In Ontario and most provinces the last-month-rent (LMR) deposit is held for the final rental period only. It cannot be applied to mid-tenancy arrears. It does, however, reduce the tenant's final balance, so this calculator lets you subtract it from the total owing at move-out.