Arrears

From Wikipedia, the free encyclopedia

Arrears, or arrearages is a legal term for the type of debt which is overdue after missing an expected payment. Arrears accrue from the date on the first missed payment was due. The term is often used to describe being late with rent, royalties (or other contractual payments), child support, or other legal financial obligation.

This should not be confused with the singular "arrear", which is usually used to describe contractual entitlements which fall due to be paid at the end of an accrual period, such as an interest payment or a job wage or salary.

For example, a housing tenant who is obliged to pay rent at the end of each month, but who has not paid rental due for 90 days is said to pay rent in arrear, but to be three months in arrears.

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