BAYCLIFFS HOMEOWNERS’ ASSOCIATION, INC.
The Board of Trustees discussed the collection of delinquent assessments for Baycliffs Homeowners Association, Inc. during their __________, 2018 Board of Trustees Meeting. The Board voted to implement the following collection policy, effective __________, 2018. This policy shall replace any and all collections policies adopted before the effective date listed in this paragraph. This policy shall apply to any past due fee or assessment duly levied by the Association.
1. All maintenance fees and assessments are due by February 1 of each year.
2. A late fee of $10.00 will be charged if not paid by the 15th of each month. A late fee shall be incurred on any late payment and/or on any unpaid balance.
3. Any assessment not paid within ten (10) days after the due date shall bear interest from the date when due at the greater of a) the prime rate of interest of KeyBank or its successor in interest or b) the maximum rate allowable by law, until such time as the balance is paid in full.
4. Any special assessment or special charges or road commission charges that are not included in the annual billing shall be due on the date of the Notice. Unless otherwise stated in the Notice a late fee of $10.00 per month will be charged if not paid within 10 days of the due date and monthly on any unpaid balance. Any assessment not paid within ten (10) days after the due date shall bear interest from the date when due at the greater of a) the prime rate of interest of KeyBank or its successor in interest or b) the maximum rate allowable by law, until such time as the balance is paid in full.
5. Any payments made to the Association shall be applied in the following order:
– Interest and/or administrative late fees owed to the Association.
– Collection costs, attorney’s fees, paralegal fees and court costs incurred by the Association in connection with the collection.
– Principal amounts owed on the account for common expenses, special assessments or penalty assessments.
6. If an Owner is delinquent for a period of thirty (30) days after the due date, a notice of late fee will be sent to the Unit Owner from the Board or agent.
7. If an Owner is delinquent for a period of sixty (60) days, a collection letter will be sent to the Unit Owner from the Association’s Attorney.
8. If an Owner does not pay the balance in full within ninety (90) days, the Association’s Attorney shall place a lien upon the property.
9. If an Owner does not pay the balance in full within one hundred twenty (120) days, the Association’s Attorney may send the Owner a 30-day small claims, municipal court, or foreclosure warning letter.
10. After thirty (30) days of the sending of a warning letter, the Board may authorize a small claims, municipal court, or foreclosure action to be filed against the Owner.
11. Any cost, including attorney fees, recording costs, title reports and/or court costs incurred by the Association in the collection of delinquent assessments shall be added to the amount owed by the delinquent Owner.
12. If any Owner fails to pay an assessment when due, the owner and any occupants of the lot, will not be entitled to vote on any Association matters until the assessment, and any fees and costs associated with collection of said assessment, is paid in full.
13. The Board and/or Architectural Control Committee may also withhold approval of any application presented to the Association for approval with regard to architectural design requests for any owner that is not in good standing with the Association.
14. If any Owner (either by his conduct or by the conduct of any occupant) fails to perform any act that he/she is requested to perform by the Declaration, Bylaws, or the Rules and Regulations, the Association may, but shall not be obligated to, undertake such performance or cure such violation and shall charge and collect from said Owner the entire cost and expense, including reasonable attorney fees of such performing or cure incurred by the Association. Any such amount shall be deemed to be an additional assessment and shall be due and payable immediately following notification of such charge, and the Association may obtain a lien for said amount in the same manner and to the same extent as if it were a lien for common expenses.