2 Questions You May Have When You Miss Payments on a Rented Storage Unit
When you rent a self-storage unit, you will most likely have to sign a lease. The lease will state the terms of the agreement, and it will let you know the policies the company has if you default on your payment. It's important for you to read this contract carefully and to pay your rent on time. If you don't, the owner of the building might lock up your unit or seize your property and sell it. Here are two questions you may have about how this works.
When Will Owner Lock Up the Unit?
Depending on what your lease says, the owner of the property might have the right to lock up your unit as soon as you default. This means that if you miss one payment, you might arrive at your unit to find that there is an additional lock on it. You will not be able to get into your unit if this happens, but you can get the lock removed by paying the full balance owed.
Your lease contract will typically state the policies on this. For some facilities, it might be the day after a payment is late, but others might not lock up a unit for 15 days or longer. It is your responsibility to pay your monthly fees on time and to make sure you understand the policies when you rent the unit.
One thing to understand about this is that if you pay your rent late, the owner could tack on a late fee. This means that you may need to pay more than your monthly payment amount to get the owner to remove the lock from your unit. Your best bet is to just make sure you make your payment on time each month when it is due.
When Can the Owner Seize the Unit?
If you've ever watched TV, you may have run across shows about storage unit auctions. These auctions represent units that owners have abandoned, and the storage unit owners seize these units to make money. The purpose of this is to clear out the units so they can be rented to paying customers, and it is also to raise enough cash to cover the fees the customers owed.
Storage unit owners do not want to seize units and sell them. This is extra work, and it typically means that people owe them money. It is much easier for the owners to have paying customers, and they generally make more money renting the units rather than selling the items in them.
The owner of your unit can seize yours if you are behind on rent. The owner cannot do this without notifying you though. The owner must make every effort he or she can to find you and let you know the status of your unit. The owner should send you letters, demanding your payment. These letters should state how long you have before he or she will seize the belongings in the unit. The owner may also be required to post an ad in the newspaper as a final way of trying to contact you.
When the owner has exhausted all efforts and cannot find you or get you to pay, it is then that he or she will seize the belongings in the unit. At that point, the owner will organize an auction or sale to sell the items in the unit.
If the owner of the unit does not follow these rules and sells your things, you could sue him or her for the value of your items.
As you get ready to rent a self-storage unit, you should familiarize yourself with these issues. If you pay your rent on time, you could easily avoid these problems. To learn more about storage units, contact a facility in your area.