1. Payment Methods & Processing
Accepted payment methods and processing procedures
Accepted Payment Methods
Blue Sky Property accepts the following payment methods for rent collection. Always provide official receipts for all payments received.
Bank Transfer
Direct transfer to company account. Include unit reference.
1-2 business daysPost-Dated Cheques
Standard method for annual contracts. Up to 12 cheques.
Same day depositCredit/Debit Card
Via payment link or in-office. 2.5% processing fee applies.
InstantOnline Portal
Tenant portal for recurring payments. Card or bank transfer.
Instant to 2 daysCash Payment
In-office only. Maximum AED 10,000 per transaction.
Instant receiptManager's Cheque
For large payments or security deposits. Bank verified.
Same dayPayment Processing Workflow
Follow these steps for all rent payments received:
Receive Payment
Verify amount, tenant name, and property reference. Check cheque details match contract.
Log in System
Enter payment in property management system. Attach scanned copy of cheque/transfer.
Issue Receipt
Generate official receipt. Email copy to tenant. File original in property folder.
Bank Deposit
Deposit cheques within 24 hours. Record deposit slip reference in system.
Bank Account Details
Company bank account for rent payments:
Instruct tenants to include reference: [Property Code]-[Unit Number]-[Tenant Name]
Example: TUR-2201-AHMED for Turquoise Tower Unit 2201, tenant Ahmed.
Post-Dated Cheque Management
Most tenancies in UAE use post-dated cheques. Handle carefully:
- Verify cheque date matches payment schedule in contract
- Confirm amount matches agreed rent (including any increases)
- Check cheque is signed and account details are correct
- Photocopy both sides of each cheque before filing
- Store in secure, fireproof cabinet sorted by deposit date
- Enter all cheque details in system (number, bank, date, amount)
- Set system reminder 5 days before each cheque date
- Return cancelled cheques to tenant upon lease termination
Post-dated cheques are negotiable instruments. Never leave cheques unattended. Report any lost or stolen cheques immediately to Finance Manager and bank.
2. Late Payment Procedures
Handling overdue rent and bounced cheques
Grace Period Policy
Standard grace periods before late fees apply:
| Payment Type | Due Date | Grace Period | Late Fee |
|---|---|---|---|
| Monthly Rent (cheque) | 1st of month | 3 business days | 5% of monthly rent |
| Monthly Rent (transfer) | 1st of month | 5 business days | 5% of monthly rent |
| Quarterly Payment | As per contract | 5 business days | 5% of quarterly amount |
| Service Charges | Upon invoice | 14 days | 2% per month |
Bounced Cheque Procedure
When a rent cheque is returned unpaid by the bank:
Under UAE law, issuing a bounced cheque is a criminal offense. Inform tenants that continued non-payment may result in police case filing. This often motivates immediate payment.
Late Payment Communication Templates
This is a friendly reminder that your rent payment of AED [Amount] for [Property/Unit] was due on [Due Date].
As of today, we have not received your payment. Please arrange payment within the next 48 hours to avoid late fees.
If you have already made payment, please disregard this notice and share the transfer reference.
Payment can be made via bank transfer to:
Account: Blue Sky Property Management LLC
IBAN: [IBAN]
Reference: [Unit Reference]
For any questions, please contact our office.
Best regards,
Blue Sky Property Management
URGENT: Rent Payment Overdue
Despite our previous reminder, your rent payment of AED [Amount] remains outstanding. The payment is now [X] days overdue.
Please note that as per your tenancy agreement, a late payment fee of 5% (AED [Fee Amount]) will be applied if payment is not received by [Final Deadline].
Total amount now due: AED [Total with Fee]
Failure to pay may result in further action including legal proceedings. Please contact us immediately if you are experiencing financial difficulties.
Regards,
Blue Sky Property Management
3. Arrears Follow-Up Timeline
Escalation process for outstanding rent
Escalation Levels
Arrears management follows a structured escalation process based on days overdue:
Phone + Email
Late fee applied
Landlord notified
Eviction process
Detailed Follow-Up Timeline
Specific actions required at each stage of arrears:
Payment Plan Guidelines
When tenant requests payment arrangement due to temporary hardship:
- Tenant has good payment history (first-time late)
- Genuine hardship (job loss, medical, documented reason)
- Tenant proactively communicates before deadline
- Maximum arrears: 2 months rent
- Landlord approval obtained
Standard payment plan: Clear arrears within 3 months maximum. Require post-dated cheques for plan. Current rent must be paid on time. Any default cancels the plan and triggers immediate legal action.
Arrears Report
Generate weekly arrears report with the following information:
| Report Field | Details Required |
|---|---|
| Property / Unit | Full address and unit number |
| Tenant Name | As per contract |
| Outstanding Amount | Principal + late fees |
| Days Overdue | From original due date |
| Escalation Level | 1-4 based on timeline |
| Last Contact | Date and method |
| Next Action | Scheduled follow-up |
| Notes | Any special circumstances |
4. Legal Action Guidelines
Eviction process and dispute resolution
When to Initiate Legal Action
Legal action should be considered when:
- Rent is 30+ days overdue with no payment plan agreement
- Tenant is unresponsive to all communication attempts
- Cheque has bounced and replacement not provided
- Payment plan has been defaulted
- Tenant has indicated refusal to pay
- Landlord has approved legal proceedings
UAE Eviction Process
Legal framework for eviction in Dubai / Abu Dhabi:
⚖️ Legal Eviction Steps
Required Documentation
Prepare the following documents before filing a legal case:
- Original tenancy contract (Ejari for Dubai / Tawtheeq for Abu Dhabi)
- Ejari certificate (Dubai) or Tawtheeq certificate (Abu Dhabi)
- Title deed copy (proves landlord ownership)
- Landlord Emirates ID / passport copy
- Tenant Emirates ID / passport copy
- Bounced cheques (if applicable)
- Bank statement showing non-receipt of payments
- All payment receipts issued during tenancy
- Copies of all notices sent to tenant
- Proof of delivery (registered mail receipts)
- Email/SMS communication records
- Power of Attorney (if filing on behalf of landlord)
Legal Costs & Fees
Estimated costs for eviction proceedings in Dubai and Abu Dhabi:
Dubai: Rental Dispute Center (RDC) under Dubai Land Department - 800-4488
Abu Dhabi: Abu Dhabi Rental Dispute Settlement Centre (ADRSC) under Abu Dhabi Judicial Department - 800 555
Legal fees can be claimed from tenant as part of the court case. However, collection depends on tenant's ability to pay. Always factor this into the decision to proceed with legal action.
Police Case (Bounced Cheque)
For bounced cheques, a criminal case can also be filed:
Bank Certification
Obtain official letter from bank confirming cheque was returned due to insufficient funds.
Police Report
File case at police station with original cheque, bank letter, and ID documents.
Public Prosecution
Case transferred to public prosecution. Tenant may be summoned and could face travel ban.
Criminal Court
If not settled, case proceeds to criminal court. Penalties include fines or imprisonment.
Tenants often settle once a police case is filed due to potential travel ban. This can be faster than civil eviction process. Case can be withdrawn upon full payment.
📞 Legal & Collections Contacts
The best approach to arrears is prevention. Thorough tenant screening, clear payment terms, early communication on late payments, and maintaining good tenant relationships significantly reduces collection issues.