A Comprehensive Guide to Rent Payment: Everything Tenants and Landlords Need to Know in Québec

Rent represents the sum of money paid each month to maintain the lease of a property or item. When it comes time for payment, neither the tenant nor the landlord can act outside established protocols. To prevent delays and other issues, rent payments are regulated by law, which provides specific recourse options.

Rent Payment

Parties signing a rental agreement can mutually decide on a payment location if paying in cash or by cheque. This should be outlined in the payment terms section of the lease agreement (Section D). The tenant must ensure that the landlord receives the full payment at the agreed location on the due date. If no payment location is specified, the law states that it is the landlord or their representative’s responsibility to collect the rent from the tenant’s place of business.

However, note that Section D of the lease agreement always takes precedence over this legal mention. This section will contain information regarding:

• Payment terms
• Payment methods
• Payment location if paying in cash or by cheque

In all cases, make sure to reach a mutual understanding with your tenant on all these terms. The most important aspect is for both parties to act in good faith to maintain a positive tenant-landlord relationship.

Methods of Rent Payment

Rent can be paid through various methods, including:

• Cash
• Bank transfer
• Direct debit
• Interac or credit card
• Money order
• Certified cheque
• Bank draft

Regarding payment by cheque, it is typically accepted by the landlord. However, the landlord is not obligated to accept it unless there is an agreement to that effect.

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Proof of Rent Payment

When the tenant pays their rent, the landlord does not necessarily provide proof of payment. However, the tenant has the right to request a receipt confirming rent payment. This type of receipt is useful for the tenant as it allows them to keep a record of their payment. Moreover, in case of a dispute, they can easily prove that the rent has been paid.

The receipt is similar to a rent receipt. Both forms of proof have the same purpose: to confirm that the tenant has paid the rent. However, the rent receipt has specific differences, especially regarding its legal effects. Unlike a simple receipt, a rent receipt signifies a waiver of any legal actions. This is why some tenants prefer to request an official rent receipt instead of a simple receipt.

Prohibited Payment Clauses in Rental Agreements

Did you know that certain payment clauses are completely prohibited? Even though you can agree with your tenant on the rent payment, you must adhere to specific rules. According to article 1904 of the Civil Code of Quebec, as a landlord, you cannot require:

• That each payment exceeds one month’s rent
• Advance payment of rents, except for the first month, which can be required upon signing the lease
• Any sum of money other than rent, in the form of deposits or otherwise (a deposit for keys is illegal)

Additionally, landlords are prohibited from:

• Increasing rent during the lease term
• Requiring payments of different amounts, e.g., $700 for the first month, $720 for the following months, and $730 for the last month (It is permissible for the final payment to be lower than previous payments)
• Demanding full payment of leases in one instalment

If such clauses are found in the lease, they are invalid. The tenant is not required to comply with them and can request the Residential Tenancy Tribunal to enforce their rights. Be cautious and ensure you use documents that are accepted by the tribunal.