HOA putting monthly dues money towards fines

[redman24]

What is the name of your state? Tennessee

I pay my annual HOA dues each year with one check (with memo "for monthly HOA dues only) instead of paying monthly. However the HOA whenever the HOA dings members for so called property standards violations, they take a fine out of their balance, and it's very hard to fight since it's already paid. Are they allowed to do this?

Seems like my only recourse is to pay dues every month which would be a pain

 

[LdiJ]

What is the name of your state? Tennessee

I pay my annual HOA dues each year with one check (with memo "for monthly HOA dues only) instead of paying monthly. However the HOA whenever the HOA dings members for so called property standards violations, they take a fine out of their balance, and it's very hard to fight since it's already paid. Are they allowed to do this?

Seems like my only recourse is to pay dues every month which would be a pain

I suspect that they at least believe that they are allowed to do so or they wouldn't be doing it. Therefore, your only potential recourse (other than reverting to paying monthly) would be to take them to court. That probably wouldn't be worth it unless they are notorious for issuing questionable fines and you do it as more of a class action type of suit.

 

[Mark_A]

What is the name of your state? Tennessee

I pay my annual HOA dues each year with one check (with memo "for monthly HOA dues only) instead of paying monthly. However the HOA whenever the HOA dings members for so called property standards violations, they take a fine out of their balance, and it's very hard to fight since it's already paid. Are they allowed to do this?

Seems like my only recourse is to pay dues every month which would be a pain

Does your HOA process the payments in a manual ledger, or do they have a computer systems to do that (usually provided by the management company hired by the HOA)? If it is an automated system, that is probably just the way it works, that payments go against the outstanding balance.

I am not sure what difference it makes since when you sell your home you will have to pay it, unless you get the charges removed. But if you get the charges removed, then the problem is solved.

I am a little surprised that you didn't explain what the fines where for. Are you going to contest the fines? If not, why don't you just pay the fines.

 

[redman24]

I am a little surprised that you didn't explain what the fines where for. Are you going to contest the fines? If not, why don't you just pay the fines.

The fines were for exterior appearance stuff, for example they requested that I clean the gutters, which I did, but the gutter filled with leaves again and they fined me thinking they hadnt been cleaned. It was harder to contest that since it was already "paid" by my monthly dues money, then since it was the end of the year they tacked late fees on due to my HOA payment not being paid, which I DID pay it but they reallocated it without my permission. I want to disallow them from doing that

 

[redman24]

Does your HOA process the payments in a manual ledger, or do they have a computer systems to do that (usually provided by the management company hired by the HOA)? If it is an automated system, that is probably just the way it works, that payments go against the outstanding balance.

I think it's an automated computer system that just takes from the balance

 

[Zigner]

Read the HOA documents.

 

[adjusterjack]

Agree with Zigner. There is probably something in the HOA documents that allows it.

HOA documents, rules, regulations, etc, are contracts that are binding on the homeowner because the homeowner agreed to those contracts when buying the home.

 

[Mark_A]

The fines were for exterior appearance stuff, for example they requested that I clean the gutters, which I did, but the gutter filled with leaves again and they fined me thinking they hadnt been cleaned. It was harder to contest that since it was already "paid" by my monthly dues money, then since it was the end of the year they tacked late fees on due to my HOA payment not being paid, which I DID pay it but they reallocated it without my permission. I want to disallow them from doing that

Unless you plan on contesting the fines, I don't know why you want to pursue this. Even if you did want to contest the fines, the fact that the automated payment system credited your current balance due (paying off each item sequentially including fines), and not specifically against your monthly HOA dues, they should be able to just credit your account if they agree that a fine should be reversed upon appeal. I don't think they can legally argue that just because of the way the accounting system works, that you are admitting guilt and cannot appeal a fine, unless the HOA bylaws and/or covenants state that.

I would also check on the HOA bylaws and/or covenants to see what kind of notice and appeal process there is for fines, so at least you don't get hit with additional late payment fees on your HOA dues.