I have a few tenants that have overpaid and are carrying a credit on their accounts. Most of them don't know they have a credit. The moral side of me says I should notify them and have them only pay the difference to zero their account. The realistic side of me says I should let it go because 9 out of 10 times tenants leave either owing money or doing enough damage that the deposit doesn't completely cover the damages. And from my experience there is no rhyme or reason to which ones will leave owing money or doing damage How do you handle this?

Robert. You are right about the SCC and judgments.

However, now days, I do not wait until they move out to take them to SCC. I file while they are still in the house because I KNOW WHER THEY ARE. Of course I do not file every two months. I do wait until they are on their last leg – just before leaving. And I file for maximum amount we can file for in Missouri. All my SCC filings are for $5000. I don’t care if they owe less. I can always reduce it at court and if they don’t show up to defend themselves I win by default.

Now, the problem about judgments is you have to know where they are working. Here in Missouri we have to send garnishments, after getting the judgments, to there place of employment.

Then again another problem with that is they quit their job after they get the garnishment.

Had a guy working as a truck driver at a very good firm. After getting his garnishment he quit working there, got another driving job at a different place and the garnishment at first job went away. We have to garnishment each individual job. Two weeks later he quit this new job and went back to the first place of employment. I had to start the garnishment all over.

I have a tenant who used to work for NASA. A brilliant individual and now a school teacher. With so many students to teach and help, she transposed her rent payment. Instead of $1010.00, she sent me $1100.00, a ninety dollar difference. It's only $90, so what's the big deal? Well she downloaded her bank statement during lunch time and noticed I had deposited her check made for the wrong amount. She got to thinking, I was a trusted landlord for 11 years, why didn't I say something about this. My value as a reliable landlord dropped from 100% to Zero. So while reviewing things on her phone at lunch she decided to review her voice message, text messages and emails.

Three days prior I sent her an email telling her of the overpayment and next month to subtract it from her rent. Then she noticed I had sent her a text message because she didn't respond to my email. And finally she listed to a voice message I sent her that morning to review my email.

If the accounting is off it drives me nuts. Then you're looking backwards in a spreadsheet or report trying to figure out the last time the account zero'd out. If you have to show your accounting for court you'll look bad. In NY I have to send receipts if a asked or if I'm paid in person. My program sends an email one to each tenant.

On my accounts/receipts, for each tenant,it shows the amount due, what was paid and what the remaining amount is. If there is a credit, it shows. I always give or send a copy of the receipt to each tenant.

I understand your realistic side, but you need to go with your moral side.

Every morning when you wake up and look in the mirror, you need to like who you see. Ask yourself, if you overpaid on any account, wouldn't you want that person or business to be honest enough to let you know? And if you found out, when they did not tell you, how would you feel? Would you trust them?