While paying rent, there are certain things you should keep in mind:
- In case of lease deeds, the law requires you to pay the rent by the 15th of the month. However, this is not necessary for a leave and license agreement.
- You usually pay rent for the coming month. For example, if you are paying rent on 15th June, you are paying for the period of 15th June to 15th July.
- The date of the rent payment will be specified in your written agreement for both rent/lease and leave and license agreements.
- Rent can be paid to the landlord/licensor through cheque or online transfer so that there is a record of payments.
- Always ask for a rent receipt from the landlord/licensor, especially if you have paid your rent in cash. The proof of transaction you get from the bank in cases of online or cheque transfers is not the same as rent receipts. Receipts from banks or online account statements are not the same as the receipt you get from your landlord/licensor acknowledging that you sent the rent. This is so that you have a proof of payment in the form of a receipt which you can use for tax purposes, evidence in Court etc.
- Your written agreement will mention the percentage of increase of rent after the expiry of the term of the written agreement. Try to find out the practice in your city so that the raise percentage is not unreasonable.
- If your landlord does decide to increase the rent, he can only do it after the term of your written agreement is over