The Landlord Collects Rent in Cash: Can the Tenant Be Evicted?

Is Paying Rent in Cash a Ground for Eviction? What Tenants Should Know

Can tenants who pay their rent in cash later face an allegation that they have not paid? What does it mean legally when a landlord collects rent in cash? Residential and business rent payments must also be documented through a bank or PTT, the Turkish postal service. We spoke with Attorney Gizem Gonce about tenants’ rights, the risks they may face and the precautions they should take.

Rising rents and disputes between tenants and landlords remain a prominent issue. Here we address an important question: can a tenant be evicted if the landlord collects rent in cash?

This is particularly important for tenants who pay cash without obtaining a receipt. Making the payment is not the only issue; being able to prove it when necessary also matters.

Is a cash rent payment, by itself, a ground for eviction? What should a tenant do if the landlord denies receiving payment? We discuss tenants’ rights and the points to watch with Attorney Gizem Gonce.

Ms Gonce, let us start with the most common question. Is a landlord’s collection of rent in cash a ground for evicting the tenant?

Attorney Gizem Gonce: No. A landlord’s collection of rent in cash does not, by itself, require the tenant’s eviction. What matters for eviction is whether the obligations arising from the tenancy agreement have been fulfilled and whether the statutory conditions for eviction have been met.

There is, however, an important risk for the tenant. If the rent was paid in cash but the payment was not documented, the landlord may later allege that the rent remains unpaid. In that situation, the dispute may turn on proof of payment.

What happens if the landlord collects rent in cash and later says, “You did not pay the rent”?

Attorney Gizem Gonce: The evidence with which the tenant can establish payment becomes important. A signed rent receipt, correspondence in which the landlord acknowledges payment and other evidence that may be assessed in light of the circumstances can be relevant.

The tenant simply saying, “I paid the rent,” may not be sufficient in every dispute. Rent payments should therefore be documented regularly and reliably.

Should a tenant who pays in cash always obtain a receipt?

Attorney Gizem Gonce: Obtaining a written record of every payment is important for tenants’ protection. The receipt should clearly identify the rental month, the amount, the payment date and the person receiving the money.

Under the current rules, however, tenants should not rely on a receipt alone. Residential and business rent payments must be substantiated by documents issued by a bank or PTT. The safest method is therefore to pay through a bank or PTT and specify the relevant month in the payment reference.

What should the tenant do if the landlord specifically says, “Bring the rent in cash; do not pay it into the bank”?

Attorney Gizem Gonce: The tenant should first explain that they wish to make payments in a manner that complies with the rules and can be proved. Communicating the request about the payment method in writing may also help in any future dispute.

Making undocumented payments at the landlord’s request may expose the tenant to difficulties proving payment. Payments should therefore be made through a bank or PTT wherever possible, and the transaction records should be retained.

Is collecting rent in cash unlawful? Can it lead to a penalty?

Attorney Gizem Gonce: The private-law consequences of the tenancy relationship must be distinguished from the consequences under tax legislation.

According to the Turkish Revenue Administration’s explanations, rent receipts and payments for residential and business premises must be substantiated by bank or PTT documents regardless of the rent amount. Failure to comply may result in a special irregularity penalty under the applicable legislation.

This does not mean that paying in cash automatically requires an eviction order. Eviction and penalties under tax legislation are separate legal issues.

In what circumstances can the tenant actually face a risk of eviction?

Attorney Gizem Gonce: The Turkish Code of Obligations provides for various grounds for eviction. For example, where rent is unpaid and the statutory conditions are met, the landlord may pursue legal remedies. For termination due to default in residential and roofed business premises, the tenant must be given at least thirty days to pay by written notice.

The law also provides for other routes, including eviction based on two justified notices and, subject to specific conditions, eviction due to need. Each case must therefore be assessed on its own facts. Merely paying in cash is different from not paying rent at all.

How should a tenant respond if the landlord starts enforcement proceedings alleging rent arrears?

Attorney Gizem Gonce: The payment order or other notice received should first be examined carefully. Deadlines matter in enforcement and eviction proceedings, so service of the notice must not be ignored.

The tenant should gather bank transaction records, receipts, correspondence and any other documents relating to previous payments. The time limit and procedure for an objection or other legal remedy may vary depending on the document received and the particular case. It is therefore advisable to seek legal assistance promptly.

What is your most important advice to tenants?

Attorney Gizem Gonce: Tenants should make rent payments through a bank or PTT wherever possible and specify in the reference that the payment is rent and identify the relevant month. They should retain their payment records and tenancy agreements.

If earlier payments were made in cash, receipts, messages and other records relating to those payments should be preserved. In disputes with the landlord, importance should be placed on creating written records rather than relying solely on oral statements.

Tenants’ ability to protect their legal rights depends not only on fulfilling their obligations but also on being able to demonstrate that they have done so when necessary.

Attorney Gizem Gonce’s assessment is that a landlord’s collection of rent in cash is not, by itself, a ground for eviction. Failing to document rent payments can, however, leave the tenant facing serious difficulties proving payment.

The safest approach for tenants is to pay through a bank or PTT, retain payment references and records, and deal promptly with any legal notices they receive.

Acting with an understanding of the issues in rent disputes is important to prevent the loss of rights.