What Happens If You Don’t Pay for Public Storage?
Not paying your public storage unit fees can lead to a series of negative outcomes, including unexpected costs and loss of access to your stored items. Below we explore what typically happens and how to avoid these issues.
1. Late Fees
When you fail to pay your storage unit fees by the due date, you will first incur late fees. These fees can accumulate over time, making your situation even more financially strained. Late fees not only increase the amount you owe but also make it harder to regain your access to the storage unit.
2. Access Restrictions
If you continue to neglect your payments, the storage facility may restrict your access to your unit. They will likely put an extra lock on the door, prohibiting you from entering or retrieving your belongings until you settle your outstanding debt. This can cause significant inconvenience, especially if you are relying on the items stored there.
3. Auction or Sale of Contents
In cases where the payment remains unpaid for an extended period—usually between 30 to 90 days—the storage facility may initiate a lien process. This can result in the auction or sale of the items in your unit to recover the unpaid fees. It's important to note that these items are likely to be auctioned off, and you could lose valuable possessions that hold personal significance, such as family photos or heirlooms.
While storage facilities are required to notify you of the impending auction or sale, often through mail or email, you will be given a chance to settle your balance and reclaim access to your items. However, failure to do so within the specified timeframe can lead to the permanent loss of your belongings.
4. Impact on Credit
Failing to pay your storage unit fees can also impact your credit score. Although not all storage facilities report to credit bureaus, if the debt is sent to collections, it can seriously damage your credit rating. This can affect your ability to obtain loans, rentals, or even employment in the future.
What to Do if You Struggle to Pay
If you are having trouble making your payments, it's crucial to contact the storage facility directly. Many facilities offer payment arrangements or extended payment plans. It's better to communicate openly and find a solution that works for both parties rather than letting the situation escalate further.
My son recently went through a similar situation. His ex-girlfriend was very upset because a lot of her belongings were stored in the unit. The facility first called to remind him of the overdue payment and offered to accept the payment over the phone. An additional lock was placed on the unit while this was happening, preventing him from accessing it.
When he failed to settle the payment, a series of notices were sent. The first was a reminder in the mail with a late fee. The second was a certified letter advising that the payment was past due, a late fee was added, and he had until a specific date to pay or face the possibility of his items being auctioned off.
Depending on the jurisdiction and the storage company's policies, the time allowed to pay can vary. The facility that sent my son notices gave 90 days, with additional late fees each month. Another company he used previously allowed 60 days.
Finally, if and when your unit is put up for auction, anyone can buy it. The vast majority of your items are usually sold at a low price, with many ending up in a dumpster. Family photos and heirlooms, as well as clothing and camping gear, can be discarded. Maintaining regular and consistent payments is essential to avoid all these negative outcomes.
Remember, proactive communication and timely payment are key to preserving your access to your storage unit and protecting your belongings. Contact the facility if you're having financial difficulties to explore payment options that can help you remain in control of your stored items.