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What Happens When You Fall Behind On Your Storage Unit Payments

What's in this article?
  1. What Will Happen When You Fall Behind On Your Storage Unit Payments
  2. The Unit Will Go Into Default
  3. The Management Will Reach Out
  4. There Will Be Some Waiting Period Before Your Belongings Are Auctioned
  5. Auction
Cost Of Moving House

What Will Happen When You Fall Behind On Your Storage Unit Payments

If you are moving to a smaller apartment, storage units will come in handy because they will give you somewhere to store the items that won’t fit in your new apartment as you figure out what to do with them. However, it’s important to remember that you will be paying monthly rent for the storage unit so it’s a good idea to settle-down quickly after the move and decide whether you are going to sell or toss the extra items to ensure that you don’t end up losing money in the long term.

Let’s take a look at what will happen if you fall behind on your payments.

The unit will go into default

If for one reason or another you are unable to pay your rent on time, you will usually get a grace period within which nothing will happen. This period ranges from a few days to a couple of weeks. When you pay within the grace period, nothing will be done to your belongings.

If you don’t, then that’s when things will start to get ugly. Each rent contract has a point of default defined. This is the longest time you can go without paying your rent. For most of them, it is 30 days. If you take longer than the 30 days, the storage unit will go into default and the management will cut your lock and replace it with one of their own.

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The Management Will Reach Out

The management will reach out

Once your unit is in default, the management of the facility will try to get in touch with you. That’s why it is important to ensure that you update your contact information with them when you move because their attempt to reach you could be going to the wrong address and that could cost you your belongings.

There will be some waiting period before your belongings are auctioned

Usually, you will get anything between 30-90 days after your unit is in default before they have to auction your belongings. During this period, they will try to reach you and this is a good opportunity to explain yourself to the facility manager. Explain what is going on and you could get yourself a deal that works for the both of you.

Enunciation Of Auction

Auction

If the facility is unable to reach you or you are not able to make a deal with them, they will have to auction your stuff. They will post an announcement in a local paper with the date, time and location of the auction. You will also get a letter notifying you of this.

The important thing to remember during this process is that the managers want to work with you so that they won’t need to auction. Explain yourself. You’ll be surprised to find out that you can strike a deal to help you keep your belongings and pay the arrears at a more convenient time. You will probably need to move your belongings out immediately after the settlement to make room for another tenant.

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Joe Webster began his journey in the auto transport field by attending the University of Southern California (USC), where he graduated with a Bachelor of Business Marketing. 

After college, he started his career in the auto transport industry from the bottom up and has done virtually every job there is to do at A-1 Auto Transport, including but not limited to: Truck Driver, Dispatch, Sales, PR, Bookkeeping, Transport Planner, Transport Manager, International Transport Manager, Brokering, Customer Service, and Marketing. Working with his mentor Tony Taylor, Joe Webster has learned the ins and outs of this industry which is largely misunderstood. 

With over 30 years experience in the industry, we've been helping people ship their vehicles, motorcycles, RV's, heavy equipment, household goods and more across the country or overseas without a hitch. Ask us anything.

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