Five-month lease for family with financial issues?

[Pawel N.]

I have a tenant in the house who would like to renew the lease for next year. They send me payment via Money Order and December's (2016) rent never showed up. Long story short, I still don't have it. June's rent had a bounced check for half the rent and a money order for the other half. Husband got recently fired and their only income is from the wife's disability. They said they fixed the situation with their checking account and will send the the remainder of June's rent ASAP.

They really want to stay in the house and said they can make the finances work. Assuming I'm going to rent to them, would it make more sense to send them a traditional one-year lease, or just make it a five-month lease with a possibility of extending it after the New Year if payments are timely and there are no other issues going on?