No More Chasing: 25 Solutions for Landlords to Collect Rent Remotely

Collecting rent is one of the most frustrating things to deal with as a landlord.

You invested in the business because you’re seeking monthly rental income. But not all tenants are as responsible as you hoped, requiring you to chase up late and missing payments each month.

You can get lucky and find a couple of quality renters. But even those who have stable employment and are good with money management will have bad months where they struggle to pay rent… Or they just got too busy with work to remember this crucial monthly task.

Of course, the key is to conduct thorough tenant screening to weed out unstable or irresponsible tenants. To add to that, you have to make the rent payment process as simple as possible, heightening the chance of your tenants keeping up with monthly rent payments.

Let’s get into the options for you to collect rent remotely—something we’ve all wished for since the onset of the global pandemic. Always remember that a seamless and effortless payment process will benefit both you and your tenants in the long run.

Factors of Choosing a Rent Collection Method

Now, the best tools for tenant management depend on a couple of variables. In your journey of choosing among many rent collection methods, consider the following factors:

The Size of the Task: How many tenants or rental units do you have? Are you managing one or many properties? If the answer is the latter, then you’ll have to install a collection process that can handle a sizable business.

Your Distance from the Properties: Are you within the vicinity or are you operating from out-of-state? Is it easy for you to swing by the rentals or nearly impossible? Properties that are far away from you certainly mean you’ll have to collect rent remotely.

Your Level of Comfort with Technology: While we live in a tech-filled world today, not everyone is comfortable with using digital software for collecting rent. But if you understand the ins and outs of digital solutions, incorporating online payments will simplify rather than complicate the process.

Don’t forget that every payment method still requires you to document records and report rent-related income for tax purposes. You’ll have to choose the method where you are most confident in, so everything related to renting won’t be a headache to handle.

25 Online Payment Methods Beyond Traditional Styles

With the basics out of the way, let’s get into the real meat of the issue. Below, you’ll see a list of online portals and mobile payment options that you can use to provide remote payment methods. Get yourself familiarized with them and choose the one that fits best with your business:

: These are electronic, bank-to-bank transfers through the Automated Clearing House Network. You’ll set this up in a financial institution or merchant services department, have your tenants authorize their bank account information, and ask if they want to allow automatic, recurring payments.

Overall, we think this is the best solution because tenants can’t challenge or recall a payment once they make one. While it’s convenient, it may not be the most cost-effective option if you only have a few units.

: This mobile option is integrated with most major banks, transfers are completed in an instant, and there are no transaction fees involved. They’ll only ask for a cell phone number or email address before wiring the money to your bank account. But recurring payments are unavailable for banks that aren’t supported by Zelle.

: Given that PayPal is the pioneer of the online payment market and has been around for years, almost everyone has a PayPal account or they can use a credit or debit card. Using this method will be pretty easy, but don’t forget that transfers through a business account will incur fees. PayPal will charge 2.9% plus $0.30 for each rent payment you receive. Also, PayPal allows payers to dispute payments, which may lead to payment reversals.

: Square is a payment solution that you can integrate into your website. Your tenants will be able to pay through any of their devices, or download the Square Cash App to make things easier. There is a delay of 1-3 days before you’ll receive the payments, but you can also choose instant deposits, if you’re willing to pay a fee. Square also allows payment disputes.

: You’ve probably already used this social-media incorporated system before, but consider it for effortless rent payments as well. Just don’t forget that they charge 3% transaction fees for businesses, so this may not be the best option if you want to avoid extra costs.

: Ever bought anything online? Then you’ve likely used Apple Pay for mobile payments. US customers will only need a debit card to connect it to Apple Pay and pay rent within the Messages app on their iPhones. There are no hidden fees, but both you and your tenants will have to be using Apple devices.

: Avail is a all-in-one landlord software that allows you to set up accounts for each tenant, enter their monthly rent amount, indicate due dates, send email reminders, and add a late fee for late or unpaid rent. Tenants can either pay manually through the software or allow recurring payments. There is a 3-day delay before you’ll receive their payments.

: This is an online rent payment that allows anybody to collect and pay rent online. You won’t have to worry about missing payments with ClearNow, as rent is debited from your tenant’s bank account and will be deposited into your bank account after 3 days. Tenants can also have ClearNow furnish their rent payment history to Experian RentBureau to build their credit history.

: While it markets itself as a platform for accounting and ledger management, you can use ClickPay as a property management platform to charge and collect rent payments online. They accept credit cards, e-checks, and paper check payments so your tenants will have a variety of options to submit their payments.

: Cozy used to be independent, but have since joined Apartments.com for landlords to manage their residential rentals as a whole—including rent payments that’ll go directly into your bank account. It is on a mission to provide free online management tools for landlords.

: This tool is designed to make landlording an easy job, offering a wide variety of services that includes online rent payments. It allows both one-time and recurring payments, and already processes invoices and cards for you.

: PayClix came out of a collaboration of property owners and managers who wanted to simplify and digitize rental payments. It accepts MasterCard, Visa, eChecks, and Discover. Your tenant will just log on, make the payment, have you accept the transfer, and see the money go directly into your account. What’s cool is PayClix also allows payments over the phone.

: PayLease was acquired by Global Payments (a leading worldwide provider of payment software solutions) and has since changed its name to Zego. The app has Zego Pay, where you can collect rent either online or in-person. They have an intuitive user experience, world-class support, and enterprise-grade security.

: PayYourRent takes pride in its same day rent payment processing and helping tenants build their credit history with TransUnion and Experian RentBureau. It offers eCheck and credit card payments, individual and recurring rent payments, and payments made over the phone.

: This property management software is easy to learn and includes free US-based support should you get into any issue. With Rentec Direct, you can receive ACH or credit card payments one day after your tenants submit the payment, either as one-time or recurring payments.

: This app allows you to collect rent from tenants with bank-level security and data protection. It accepts both credit cards and eChecks, where you’ll receive the payment on your smartphone after 48 hours of processing.

: Rentler is a free online payment tool for you to collect rent. With this service, your tenants can split roommate payments, pay with a card or through ACH, build their credit score, and have reminders sent to them so they won’t forget to pay rent. The rent amount is then deposited into your account in 3 days.

: RentMerchant is an online rent payment system where tenants can pay with a credit card, eCheck, or online bank transfer. It’s the leading online rent payment service for landlords, given that it’s an expert in collecting rent from commercial and residential properties. You’ll receive the funds 2-3 days after the payment.

: Formerly called RentPaidOnline, DOMUS automates the rent collection process and gives you insights into your financial status. It has a full range of financial services as well so you can elevate and make the most out of the payment process. The money transferred will appear after 2 to 4 days, depending on the type of transaction.

: This is an end-to-end solution for you to report tenants’ rent payments to all 3 credit agencies—Experian, Equifax, and TransUnion. It does not seem to allow anybody to make payments, but it’s a must-have to incentivize your tenants to pay rent and build their credit. Simply tell them to report the rent they’ve paid on RentTrack to do so.

: SparkRental allows you to collect rent and have it deposited into your bank account easily. The transfer time is 1-3 days for credit card payments and 3-5 days for bank transfers, but it’s certainly faster than manual depositing at the bank and you can track the payments in real time. It's been a trusted platform since 2011.

: This is a free, world-class property management app with the best tools for landlords and property managers. You can do nearly everything on this app, including collecting rent and tracking expenses. Its mobile management truly streamlines the rental management experience.

: TrueRent is a simple and affordable property management software that allows you to collect rent payments online—free for ACH and low-cost for credit card payments. It’s a full-service software as well, so there’s so much more you can do beyond collecting rent.

: Collect rent conveniently with TurboTenant, where you can track the rent payments, have automatic reminders and receipts, and allow your tenants to pay through credit card or ACH. You’ll see the fund in your bank account within 2 days, and be assured that TurboTenant’s security is empowered by industry leaders Stripe and Plaid.

: If you’ve been a landlord or investor for a while, it’s without a doubt that you already have a Zillow account. That said, Zillow also has online rent payment solutions where tenants can pay you directly from their bank account or with a card. Set up automatic payments as well so your tenants won’t forget to pay you monthly.

Collecting Rent Remotely and Consistently for Stable Income Streams

An online rent collection software is one of the smartest investments you can make to streamline your property management process. Not all the tools will be 100% perfect—they do have their drawbacks—but a solution that’s specifically designed for rent collection will undoubtedly save you from headaches.

Plus, online rent payment solutions will be attractive to new tenants—especially the younger ones, who are no strangers to digital payments and will likely appreciate automatic deductions. They don’t want the hassle, and you definitely want the consistent rental income!

What’s your biggest worry with using online rent collection solutions? Comment below and our team of expert property managers will reach out to you!

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