Receiving monthly payment on rental properties

8 Replies

I am going from 1 tenant to 6 in the next month. How do you receive payments? I am setting up a P.O. Box and will be sending an addressed return envelope with the tenants monthly bills. I do not have a place for people to drop off payments. Should I receive payments on-line? If so how do I do that or what do the rest of you do?  

Yes, if you can avoid receiving rent via mail, do it. It's a pain and then you are set up to get the "it's in the mail" excuse in hopes you hold off on eviction filing. Actually, I changed my lease to state that rent must be RECEIVED by the 3rd of each month (I don't give to the 5th like many others). It further states that the postage date on any mailed rent payments is irrelevant. But no one mails rent to me anyway.

There are tons of options to receive your rent electronically. Just Google them and compare the fees. Sometimes you can set it up so the tenant pays the fee.

Even for tenants who do not like to pay online or do not have bank accounts, you can offer them the PayNearMe system where they take cash to a nearby 7-eleven and pay a $3.99 fee to the cashier. You instantly get an email that tells you who paid rent and how much. It's in your bank account about 3 business days later.

I had requested info from paynearme and the response from the company was they can't help me since i have under 100 units. Has anyone else found this also?

@Alan G. Unless they recently changed their policy, no. I have nowhere near 100 units and use them. 

Originally posted by @Miller Josh :

I am going from 1 tenant to 6 in the next month. How do you receive payments? I am setting up a P.O. Box and will be sending an addressed return envelope with the tenants monthly bills. I do not have a place for people to drop off payments. Should I receive payments on-line? If so how do I do that or what do the rest of you do?  

 I use Chase QuickPay with my tenants. I would suggest setting up a Chase account for this sole reason (only you or tenant has to have Chase to use this). As long as they know your e-mail address, they can send you a payment. :-) I think other banks also have a similar bill payment, but this is what we ended up with so shop around!

Yes Miller,

I was going to suggest ACH. I use this for 15 of the HOA communities that I manage. Set up a bank account for your company. Issue a simple form for your tenants to sign and them send you a blank check and you can pull from the account yourself. (Or PM)

Less stress! 

There is nothing worse than chasing people for rent!  ACH is the way to go because it is so cost effective.  I use a service called PaySimple to process ACH rent payments.  

One thing I really like about online rent collection is the flexibility to set-up tailored payment schedules for my tenants.  I find that some of my tenants prefer to pay rent on the same day they are paid so its nice being able to offer weekly, bi-weekly or monthly payment schedules.