Pay Up: Types of Payment Accepted for Rent

Different landlords prefer to receive rent in different ways: the convenience of electronic transfer, the familiarity of a check, the security of a money order, or the immediacy of cash. Under Civil Code Section 1947.3(a), a landlord must permit tenants to use at least one form of payment that is not cash or electronic funds transfer.

However, if a tenant has previously paid by check on an insufficient account, or ordered stop payment on a rent check, the landlord may demand payment of rent in cash from the tenant for up to three months afterwards. This demand must be in the form of a formal written notice changing the terms of the tenancy under Civil Code Section 827 and must include a copy of the dishonored check for reference and the number of months that only cash will be accepted.

Consult with an attorney to ensure that the cash payment demand is appropriate, is in the proper form, and is effectively served to enforce this right to cash payment.

© 2019 by Fried & Williams LLP. All Rights Reserved. The information contained in this article is general in nature. For advice on any particular matter, please consult with our attorneys because the facts of your situation may be unique and the law changes from time to time.