Online rent payments

5 Replies

Has anyone tried any of the online rent payment tools listed on this page: https://www.biggerpockets.com/rei/pay-rent-online-...

What do you recommend in terms of low cost and security? Some people recommend Venmo.

GooglePay just cancelled the account I was using to collect rent payments. Apparently, the P2P feature only supports individuals and sole proprietorships that are designated as such, and my sole proprietorship is an LLC.

Thanks!

@Lisa Montana I use Cozy and I am happy with the service. It is an ACH service so is governed by ACH rules, which makes it secure. It is a free service for landlord and tenant. Tenant links their bank account using a secure method and so does landlord. Landlord sets up a lease, so payment shows due every month and tenant gets e-mail reminders from Cozy to pay. Landlord can apply manual payments if the tenant paid in person that month and landlord can add late fees or other one time charges. Cozy gives tenants the option to let them report to credit agencies. I tell my tenants by paying rent on time they can build their credit and people seem to like that too. The difference between Cozy and Venmo or Google Pay is that Cozy is designed specifically for rent payment. Cozy has other services such as application and credit checks, so after I approve an applicant, I can move them right over to start a lease and collect rent. 

I’m using Zelle with great success. However make sure that your bank will accept zelle payment on a business account as some like Wells Fargo won’t. Chase on the other hand is working great with it and also as higher transaction limit.

How long after tenant makes payment until the money is in your bank account, using Cozy? I'm using paypal right now as I don't have many units. It worked great on a test run, but it's now taking 5 business days from the time my tenant pays rent until it's in my bank account. 

Originally posted by @Anthony Wick :

How long after tenant makes payment until the money is in your bank account, using Cozy? I'm using paypal right now as I don't have many units. It worked great on a test run, but it's now taking 5 business days from the time my tenant pays rent until it's in my bank account. 

It takes 2-5 days depending on the bank sending, but it reliably gets into the account. You can see status at all times, so once the rent is has been sent, you know it will be in your account within a couple days. I always know when the tenant has paid and I have enough reserves to wait a couple days. 

Thanks Joe. I also have enough reserves to pay mortgage on the first without tenants rent. Of course, my mortgage isn't actually late until the 15th.