Contributed by Sherry Watson, HOAMCO Community Manager
Based on the new law regarding coupon books the following applies;
- Coupon books are no longer allowed.
- Paper statements must be mailed, or emailed, based on when assessments are due. For example, if they are due monthly, then monthly statements must be mailed, if they are due quarterly, then quarterly statements must be mailed and so forth.
- The Board changed the assessments from monthly to quarterly in response to the new law to save the Association the cost of mailing monthly statements; postage, paper and envelopes.
- The first quarter assessments are due January 1st in full. The new law prohibits the assessments to be due quarterly, but paid monthly. If you wish to get back to monthly payments for budgeting purposes, you have two choices;
First Option: You may pay your January assessment in full on January 1st and starting the following month (February) you would pay 1/3 of the assessment and continue each month. You must be ahead of the quarter so when April quarter assessments are due, your 1/3 payment will complete the total due.
Second Option: If you are set up on auto-debit through the management company, the January assessment will pull the quarterly payment and starting the following month (February) you would put aside the 1/3 of the assessment and continue this each month, so that when April’s quarterly dues are pulled, you have the saved money in your account to cover the dues.
If you follow one of the two options above, January’s quarterly assessment will be the only time you will have to cover the 3 months all at once and then moving forward from February, you will set aside, or send in the 1/3 of the assessment due.
If you do not pay January’s quarterly assessment in full, before the end of the grace period, you will accumulate late fees, interest fees and collection fees monthly and these will not be waived.