Residential Real Estate Broker · Baltimore, MD · Member since 2017 · 10 posts · 0 votes
I am looking to write a clause in my leases where the tenant shall make me a bill to be paid by their bank so I automatically get the rent every month. Does anyone have a sample of one they use in their leases?
I don't understand what you're looking for. A tenant's bank won't give you money unless the tenant specifically authorizes it (and a bill/invoice won't cut it)
I would look into electronic rent platforms like Cozy.co (or others). The tenant can set it to automatically pay you from their checking account each month.
Of course, they still need to do it - and have the available funds in their account.
What problem are you looking to solve?
I don't understand what you're looking for. A tenant's bank won't give you money unless the tenant specifically authorizes it (and a bill/invoice won't cut it)
I would look into electronic rent platforms like Cozy.co (or others). The tenant can set it to automatically pay you from their checking account each month.
Of course, they still need to do it - and have the available funds in their account.
What problem are you looking to solve?
Are you looking for a statement,, just emai the tenants ledger showing rent due.. prior to the 1st and you can send one a updated one after payment has been made if they want a records showing it was received, with transaction info.
I am looking to put a clause in my tenant's lease whereas they make me a bill pay from their bank account every month for the rent. I already have one tenant doing this but he is doing it voluntarily. I wish to make it mandatory for the tenant to do this by putting it in their lease.
@Robyn Salawitch If you want to obligate them to setup an auto-debit, it can't happen, they could always cancel after the initial setup. Or, they could simply not deposit money in the account and the transfer wouldn't go through.
If you want to only accept ACH transfers (bill pay) to your account as the only way to pay rent, simply write that in the lease. "Tenant shall pay monthly rent and charges via ACH or another direct bank-to-bank method to the following account:"
Hi Matthew: Thanks for your advice. However, I do not wish to have a tenant have my account number unless I set up a new account for that purpose only. If I were to put into a lease that the tenant is mandated to set up a bill pay to me and he/she does not follow through or deposit the money, then he/she would be in violation of the lease. Only if he/she had an a good reason for not doing it would I then allow the mailing of the rent. I am having so much trouble with a current tenant right now lying to me about when she mails the rent, if she mails the rent, and then showing up at my door to put it in my mailbox. I thought I could avoid this with my next tenant. I just gave this current tenant notice to non-renew her lease and would very much like to try and avoid this with a new tenant. I
@Robyn Salawitch A brief side note - when a check is deposited through your account and they get it back at their bank, they'll see your account number.
If you want to have the tenant's bank send you a check, you'll still be in the same position. Instead of blaming it on the mail, they'll also blame you not getting the rent on the bank messing up (which we know is rare). I make it clear to tenants that mailing something is for their convenience, I don't care when its sent I care when I get it, and that's the day I process their payment as being received.
I just have the tenants drop my rent in my bank account. they just put the name, last 4 of the account number, address on a deposit slip (all of this information I give prior to them moving in) then when they deposit the rent they get a receipt from the teller for the amount they deposited and I just get a notification through the bank app of when it drops and send the tenant a text. works for me. I think all the ideas on this thread are useful. just have to see what works for you.
A. You agree to pay the monthly rent indicated above via deposit to the following checking account at ABC Bank: account # 123456; routing # 7891011 (nearest branch is 123 Main Street, New York, NY). Rent is due in full on or before the 1st day of each month without deduction or set off. Time is of the essence. Payment may not be made by third party checks. If rent is not paid physically at a branch (i.e. it is paid online or via bank transfer), the date of payment will be considered the date when funds reach our account. The banking institution and/or account to which rent must be paid may be changed by us after giving you at least 30 days notice as described in Paragraph 12.
This is not online only. Tenants can walk in to a branch and pay in cash or check. The teller's receipt is their proof of payment. I get an automated email when a deposit is made. I have a different bank account (at the same bank) for each building. Everyone has a unique rent amount within each building, so I always know who paid based on the amount of the deposit - but the tenants frequently ask the teller to include a memo with their name and/or address. Same with those who pay online via bank-to-bank transfer.