LTB Payment Agreement Form: The Mandatory Repayment Plan Rules (2026)
Since July 1, 2026, any rent repayment plan filed with the Landlord and Tenant Board must be on the Board's official Payment Agreement Form under section 206 of the RTA. Here's where to get it, how to complete it, and how to build a schedule that actually gets you paid.
Bottom line
- Mandatory since July 1, 2026: repayment plans filed with the LTB must use the Board's Payment Agreement Form under RTA s. 206. Informal payment-plan letters and emails no longer satisfy the requirement.
- Where to get it: free fillable PDF (version 2026/07) on the Tribunals Ontario LTB forms page — linked in the Official Sources section below.
- What it does: resolves an L1 or L9 application before the hearing. The Board can turn the signed agreement into a consent order and cancel the hearing.
- The teeth: on L1 applications, an optional tenant-initialled term lets you apply for an eviction order without notice or a hearing (a fee-free L4) if a payment is missed — filed within 30 days of the miss.
What Changed on July 1, 2026
Repayment plans have always been the most common way a non-payment case settles: the tenant catches up in instalments, the landlord keeps a paying tenant, and nobody waits months for an eviction that helps neither side. What changed on July 1, 2026 is the paperwork. Tribunals Ontario's June 30, 2026 operational update confirmed that use of the LTB Payment Agreement Form is now mandatory when parties enter into a repayment plan made under section 206 of the Residential Tenancies Act, 2006.
In practice: the payment-plan letter you used to draft yourself, or the email chain where the tenant agreed to "$300 extra a month until we're square," no longer qualifies as a repayment plan you can file with the Board. If you want the LTB to stand behind the deal — and you do, because that is what makes it enforceable — it goes on the official form.
This change arrived alongside the rest of the July 1 package: the 15-day deadline to request a review of an LTB order (down from 30) and maximum RTA fines doubled to $100,000 for individuals and $500,000 for corporations. The 7-day N4 comes later, on September 21, 2026. See our 2026 RTA changes overview for the full picture.
When You Need the Payment Agreement Form
The form's own instructions are specific about its job: it must be used when the landlord and tenant have reached an agreement to resolve an L1 application (eviction for non-payment of rent and collection of rent owed) or an L9 application (collection of rent owed) before the hearing. The common scenarios:
The tenant offers a plan after your N4, before you file
You can agree on numbers at this stage, but the form's consent-order machinery attaches to an L1 or L9 application. Many landlords file the L1 anyway and then settle on the form — the application is what gives the agreement Board-backed teeth (and the filing fee can be built into the plan).
You've filed an L1 and the tenant wants to settle before the hearing
This is exactly what the form is for. Complete it, both sign, and email it to your local LTB Regional Office right away so the Board has time to issue a consent order and cancel the hearing.
Settlement discussions at or before the hearing
If you and the tenant land on terms during mediation or hearing-day discussions, the deal goes on this form. If you cannot agree on all terms — including what happens when a payment is missed — the Board holds the hearing and a Member issues an order instead.
If you haven't filed yet, start with our L1 application guide. If settlement fails and you're headed to a hearing, our arrears hearing guide covers the evidence you'll need.
Completing the Form, Section by Section
The current form (version 2026/07) runs three pages plus two pages of instructions. It opens with the file number, a language-preference question (LTB services are available in French and English), and an accommodation note, then moves into the substance:
Parties and rental unit
Name every landlord and every tenant, plus the full address of the rental unit (street number, street name, unit, municipality, province, postal code). The agreement defines "landlord" and "tenant" to include everyone listed — so list everyone on the tenancy.
Section 1 — Amount to be paid by tenant
Four dollar lines: rent owing up to a date you specify (dd/mm/yyyy), NSF bank charges and related administration charges (optional — maximum $20 administration charge per cheque), the fee you paid to file the application (optional), and the total. Get this number right; it drives everything else.
Section 2 — Payment amounts and dates
The repayment schedule: a table of twelve rows, each with an amount and a due date. There is no restriction on the number of payments you can agree to — attach a separate sheet if you need more than twelve.
Section 3 — Rent that becomes due (L1 only)
The tenant also agrees to keep paying the rent that comes due until the Section 1 amount is fully paid — in addition to the Section 2 payments. You record the rent amount, the day of the month it's due, and the current rent per month/week/other.
Section 4 — Failure to make a payment
The default terms (30-day re-open for L1 and L9) plus the optional L1-only term letting you file a fee-free L4 eviction application without notice if a payment is missed. The tenant must initial this term for it to be included.
Signatures
Name, signature, and date lines for up to two tenants and two landlords/representatives (add extra names in the same format if needed). Once signed by landlord and tenant, it is a legal contract — the instructions suggest getting legal advice first.
File it right away
Send the signed form to your local LTB Regional Office by email as soon as it's completed — you can also file by mail or upload it in the Tribunals Ontario Portal. If the Board receives it too close to the hearing date, it may not issue the consent order in time, and the hearing goes ahead. If you haven't received an order before your hearing date, contact the Board and show up.
A Worked Repayment Schedule
Here's our own illustration of how the numbers fit together. Say the rent is $1,800 per month, due on the 1st, and the tenant is $2,400 behind as of the signing date. You agree to spread the arrears over six months at $400 per month, due on the 15th, while the tenant keeps paying regular rent on the 1st:
Example: $2,400 arrears over 6 months
- Section 1 total: $2,400 (rent owing to the signing date; no NSF charges or filing fee claimed in this example)
- Section 2 schedule: 6 payments of $400 — Aug 15, Sep 15, Oct 15, Nov 15, Dec 15, 2026 and Jan 15, 2027. Check: 6 × $400 = $2,400 ✓
- Section 3 ongoing rent: $1,800 due on the 1st of each month until the $2,400 is fully paid
- Tenant's total monthly outlay during the plan: $1,800 + $400 = $2,200
Want the $186 L1 filing fee back too? Add it in Section 1: $2,400 + $186 = $2,586, which divides evenly into 6 payments of $431 (6 × $431 = $2,586). Whatever schedule you pick, make the arithmetic land exactly — a schedule that doesn't sum to the Section 1 total invites questions and delay.
The sanity check before anyone signs: can this tenant actually pay $2,200 a month for six months? A plan that fails in month two puts you back where you started, minus two months. Use our arrears calculator to pin down the exact arrears figure first, then stress-test the monthly total against what the tenant has realistically been able to pay.
Five Pitfalls That Sink Repayment Plans
Assuming a verbal or emailed deal counts
It doesn't anymore. Since July 1, 2026, a repayment plan filed with the LTB must be on the mandatory form. A handshake plan gives you no consent order, no re-open right, and no fee-free L4 — just a stalled application.
An unrealistic schedule
A tenant who couldn't pay $1,800 will not reliably pay $2,600. Front-loading the plan feels satisfying and fails often. Smaller instalments over more payments (the form explicitly allows more than twelve — attach a sheet) beat an ambitious plan that collapses.
Forgetting the ongoing rent (Section 3)
On an L1, the plan should cover new rent coming due, not just the old arrears. Skip Section 3 and a tenant can pay every instalment while falling further behind on current rent.
Skipping the tenant's initials on the Section 4 option
The eviction-without-notice term on breach is only in the deal if the tenant initials it. An uninitialled Section 4 option means your remedy on breach is the slower route: asking the Board to re-open and hold a hearing.
Not keeping your own signed copy — and missing the 30-day clock
Keep a complete signed copy and track every payment against the schedule. Your breach remedies (re-open request, or the L4 if the option was included) must be exercised within 30 days of the missed payment. No records, no timely filing.
What Happens If the Tenant Breaches
The form spells out two tracks, and which one you're on depends on what you agreed to in Section 4:
Default track (L1 and L9): if the tenant fails to make any agreed payment in full and on time, you can ask the Board to re-open the application and hold a hearing. That request must be made within 30 days of the missed payment.
Optional track (L1 only, tenant-initialled): if the consent order included the optional term, you can instead file a new L4 application for an order terminating the tenancy and evicting the tenant — without notifying the tenant first and without a hearing. The L4 must also be filed within 30 days of the failure, and the Board charges no filing fee for it. The tenant, in turn, can file a motion to set aside the resulting eviction order within 10 days of the date it was made, which triggers a hearing.
Two practical takeaways: the 30-day window is unforgiving, so diarize it from the first missed payment; and the set-aside right means an ex parte order is not always the end of the story — keep your payment records ready in case the tenant challenges it. For the exact mechanics of the current process, confirm with the LTB before filing.
Official Sources
This guide is based on the official form and the Board's own announcement:
- LTB Payment Agreement Form (PDF) (Tribunals Ontario, version 2026/07) — the mandatory form and its instruction pages.
- LTB: Operational Update — Legislative Changes at the LTB (Tribunals Ontario, June 30, 2026) — confirms the form is mandatory for s. 206 repayment plans as of July 1, 2026.
- Residential Tenancies Act, 2006 (ontario.ca) — current consolidated text, including section 206.
Frequently Asked Questions
Related Resources
L1 Application Guide
Filing for non-payment: fees, timelines, and mistakes to avoid
Win Your Arrears Hearing
Evidence and preparation if settlement doesn't happen
Arrears Calculator
Pin down the exact Section 1 amount before you draft the plan
2026 RTA Changes
Everything in force July 1 and coming September 21, 2026
L4 Application Guide
The follow-up application when a payment agreement is breached
Bill 60 & Bill 97 Status
Which RTA amendments are in force right now
Track Every Payment Against the Plan
OntarioLandlord tracks rent and arrears to the dollar, so your Section 1 amount is right the first time and you know within days — not weeks — when a repayment plan payment is missed and your 30-day clock starts.
Start your free trial