Rent Collection- Late Payments

[Dominic Jimenez]

Good morning all

I have a section 8 tenant who is behind 2 months with late payments. He informed me he’d be late and would be making a lump sum payment on February 1st. The payment does not cover the two late payments and will not cover his additional monthly payment for February. How should this be paid towards?

Back pay in rent owed is $832. His payment for February will be $700. Rent due for February is $234. Late fees are $200.

Should I take $234 for his February payment and stop the late fees and have the remaining $466 go towards his back pay, outstanding balance of rent owed $366?

Or 

Should I pay $700 towards the back pay of $832 and penalize him again for late payment of February bringing his outstanding balance of rent owed to $566?