What happens if I fall behind on rent in NSW?
Falling behind on rent is stressful, but you have real legal protections — and in most cases, there is time to fix the situation before eviction becomes a reality. NSW law gives you a genuine chance to catch up, make a plan, or present your case to the Tribunal. You are not alone, and knowing what happens next makes it easier to act.
What happens first — the 14-day rule
Your landlord cannot give you a termination notice the moment rent goes overdue. Under section 88 of the Residential Tenancies Act 2010 (the Act), a landlord can only issue a non-payment termination notice once your rent has been unpaid for at least 14 days.
Once those 14 days pass, your landlord may give you a written termination notice — and that notice must give you at least another 14 days before the date you are asked to vacate (s87C and s88). If the notice was posted to you, it is not treated as served on the day it was posted. Under section 76 of the Interpretation Act 1987, a posted letter is taken to have been served on the seventh working day after posting, not counting Saturdays, Sundays, public holidays or bank holidays. Your 14 days runs from that date. This applies unless there is evidence raising doubt about it, and it applies to post only — not to a notice handed to you, left in your mailbox, or emailed to an address you gave for that purpose.
That notice must also include a specific statement: that you are not required to vacate if you pay all amounts owing or enter into a repayment plan. This is not just goodwill — it is a legal requirement under s88.
Your most important protection — paying up or making a plan
Here is the most reassuring thing in NSW tenancy law: simply paying what you owe — or agreeing to a repayment plan — can stop the eviction entirely.
Under section 89 of the Act, the Tribunal must not make a termination order if you pay all rent (and any water usage charges) owing, or if you enter into a repayment plan and comply with it. This applies even after you receive a termination notice, and even at the NCAT hearing itself.
There is one exception. If you have frequently failed to pay rent in the past, the Tribunal may still make a termination order despite repayment (s89(5)). “Frequently” is not defined as a hard number — the Tribunal looks at the length of the tenancy, how many times you have fallen behind, the total amounts involved, and whether prior repayment plans were kept. In social housing tenancies, this exception is more commonly invoked where the tenant has repeatedly broken agreed plans.
If your landlord has already given you a non-payment termination notice and you have not yet vacated, section 34 of the Act requires them to accept payment of the unpaid rent. They cannot refuse payment in an attempt to force the eviction through. If they try to refuse in that situation, seek advice immediately.
What to do right now
The earlier you act, the more options you have. Here are the most useful steps:
Contact your landlord or agent today. Explain your situation and ask about a written repayment plan. Any agreement should be in writing and signed by both of you.
Contact your local Tenants Advice and Advocacy Service (TAAS). NSW has a network of free, regional TAAS services. Find yours at tenants.org.au/get-advice. They can help you understand your rights and prepare for any hearing.
Call the National Debt Helpline on 1800 007 007. This is a free financial counselling service. A letter from a financial counsellor showing your capacity to pay can carry real weight at an NCAT hearing.
Check whether you are eligible for Centrelink Rent Assistance. If you receive a qualifying Centrelink payment and pay rent, you may be eligible. Contact Services Australia or check your MyGov account.
Keep records. Save every payment receipt, bank statement, and message with your landlord.
If you received a termination notice because of a recent rent increase — and the increase is what pushed you into difficulty — see our article on how much notice your landlord must give for a rent increase in NSW.
If it goes to NCAT
If you do not vacate by the date on the termination notice, your landlord can apply to the NSW Civil and Administrative Tribunal (NCAT) for a termination order. You will receive notice of the hearing — attend even if you have already paid the arrears.
The hearing usually begins with a conciliation session, where a neutral person helps both parties try to reach an agreement. Conciliation is relatively short, so come prepared. If no agreement is reached, the matter proceeds to a formal hearing before a Tribunal Member.
At the hearing, you can:
- Show that you have paid all arrears in full
- Present a written repayment agreement and show you are complying with it
- Explain the circumstances that led to the arrears (job loss, illness, unexpected costs)
- Provide a letter from a financial counsellor or evidence of income that shows you can sustain payments going forward
Bring printed copies of all evidence — receipts, bank statements, correspondence.
If NCAT orders termination
If the Tribunal makes a termination order, it will specify a date by which you must vacate and give the landlord vacant possession. Your landlord then generally has 30 days from that date to apply for a warrant for possession, unless the Tribunal permits a longer period (s121).
The warrant is issued by the Sheriff’s office and (as a matter of standard practice) must usually be executed within 28 days of being issued. Only the Sheriff can physically enforce the warrant — your landlord cannot change locks or remove your belongings.
There is still a lifeline at this stage. Under section 89(3), if the termination order was made solely for non-payment of rent (not the frequent-failure exception), and the Sheriff has not yet enforced the warrant, paying all outstanding rent in full — or entering into and complying with a repayment plan — causes the termination order and any warrant to cease to have effect. Put this in writing to your landlord immediately if this is your situation.
Contact your local TAAS service urgently if you reach this stage. You may also have grounds to apply to NCAT to set aside the order if you were unable to attend the original hearing, though strict time limits apply.
How to reduce the risk of arrears escalating
A few practical habits can help prevent a small cash-flow problem from becoming a tenancy crisis:
Tell your landlord early. Most landlords would rather agree to a short-term plan than go through an NCAT process. A call or email explaining your situation — before 14 days pass — keeps more options open.
Get any arrangement in writing. Verbal agreements are hard to prove. A written repayment plan, signed by both parties, is the evidence that protects you at NCAT.
Ask for your rent record. You are entitled to make a written request for your rent record (often called a rent ledger). Under section 37 of the Act, your landlord must give you a written statement of it within 7 days. Make sure the record matches your own payment history — discrepancies can work in your favour.
Know the numbers before Tribunal. If you are going to NCAT, be ready to tell the Tribunal specifically how much extra you can repay each week. A vague intention to catch up is less persuasive than a concrete plan.
Use fee-free payment methods. Under section 35 of the Act, your landlord must offer a fee-free way to pay rent — including bank transfer. Since 2 March 2026, they must also offer Centrepay as an option if you are eligible. For more on the 2024–2026 reforms, see our NSW rental law changes rundown.
If you are also thinking about whether to stay in the property long-term, it may be worth reading how to break a lease early in NSW to understand your options.
Rent arrears do not automatically mean eviction. NSW law gives you real time and real tools — a payment window, the right to make a plan, and the protection of NCAT. The most important move is to act early: contact your landlord, contact TAAS, and get advice before the situation escalates.
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