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Best Ways to Collect Rent – And Get Paid on Time

Polk County Tenant Paying Rent on Their PhoneAn important concern of most rental property owners is collecting the rent. Besides how much rent you should charge, figuring out how to manage it is one of the most important decisions any property owner will make. Having an effective rent collection method formed and made before anything else is the best solution to encourage on-time rent payments! Let’s study various appropriate ways to collect the rent from tenants and a few methods that are better to avoid.

 

Best Methods for Direct Rent Payment

  • Online. When it comes to collecting the rent, there are multiple preferences. But, with more and more people relying on the affordances of online payment systems these days, the most in-demand rental payment method is – by far – online rent payment. Tenants desire the security and convenience of making payments online, and property owners can get those payments deposited more swiftly.
  • Payment App. Another up-and-coming method for rent payment is payment apps like Venmo, Zelle, and PayPal. These services are likewise very helpful for various tenants and can make requesting and sending money speedy and worry-free.
  • ACH Debit. About time many Polk County property managers are now putting up ACH debit for their tenants, which will be another appropriate way to make sure rent payments show up on schedule. If the tenant is comfortable doing so, they can provide their bank account information and have their rent automatically deducted each month. A certain number of tenants may not be comfortable with this, so it may be practical to furnish them with a choice between two or three methods. It’s furthermore necessary to note that each payment method usually charges fees to use them. Fees vary, so it’s important to do your homework before ever choosing one payment method.

 

Payment Methods to Avoid

But beware, there are particular payment methods that you should stop your tenants from using. For instance, you should keep away from taking rent payments made in cash on the account that creating a paper trail is very tough. If a dispute arose, it would be difficult to prove when and how much your tenant paid. Personal checks are moreover burdensome since they take a long time to clear and can bounce if there are insufficient funds, resulting in bank fees for you and your tenant. Money orders and cashier’s checks are generally just fine, mainly when collecting a security deposit. Just ensure to specify which method you prefer and have a documentation method ready to create a solid paper trail.

Notwithstanding that you may want to sometimes take advantage of one or more of these methods, it is oftentimes right to avoid them. These methods are stressful to document and abounding with problems. You may even have to ban these payment methods in your lease documents to indicate that you won’t accept rent payments in these approaches.

 

Collect Through a Property Management Company

Even under the best circumstances, collecting rent can be a time-consuming part of owning rental properties. Though it doesn’t necessarily have to be that way, you can delegate a rental property management company to manage the whole process for you. At Real Property Management Lakeside, we offer tech-enhanced processes that include online rental payments.

Enlisting a property management company is one of the best ways to keep your rent payments coming in on time, month after month. Contact us today to learn more about our quality services!

We are pledged to the letter and spirit of U.S. policy for the achievement of equal housing opportunity throughout the Nation. See Equal Housing Opportunity Statement for more information.