Blackwood, NJ · Member since 2018 · 9 posts · 0 votes
I need a legitimate and convenient way to collect rent online. I want something geared towards real estate or business rather than something like Venmo. Any suggestions are greatly appreciated.
try cozy.co. I recently started using it myself and have been pretty pleased. No cost for you or tenants. Only downside is about 5 business days for money to hit your account from the time the tenant executes payment online.
try cozy.co. I recently started using it myself and have been pretty pleased. No cost for you or tenants. Only downside is about 5 business days for money to hit your account from the time the tenant executes payment online.
Use a large bank like Citi or Wells Fargo near your properties. Many banks use Zelle as transferring agent. Those tenants with same bank can transfer direct. Some will mail the checks to you.
A property manager here has 90% tenants pay direct and he gets rest in mailed checks.
@Ayman Bayoumy I recommend cozy as well and would like to point out that, although takes 5 days (unless pay for express payment), the system will email you with payment process details.
Been using it for years, intuitive, the support is good, and they are still finding ways to improve it. Although it takes a few days to hit bank account, you're still notified on the same day that the tenant "submits" the payment, so you don't need to wonder if they paid.
I should have started using Cozy years ago... just started last month when I purchased 86 new doors. I agree down side the 5 days but sometimes it would take me 5 days to do a deposit and go to bank.
Cozy and Unitdash are both great options. Unitdash offers a few different options to collect rent online. Unitdash + Stripe only takes about 3 days to settle.
Be very careful with online rent payment options. An established rent payment vendor (eRentPayment) that used to advertise on this site lost many thousands of dollars in rent payments for landlords in 2017. They used an undisclosed third party that filed for bankruptcy, resulting in the freezing of rent payments that were in-process.
I lost over $700 in that debacle.
The takeaway is that there is hidden counterparty risk when you use some of these vendors. To reduce the risk use a big name that has been vetted by the big banks (Zelle comes to mind, not sure about Cozy). Make sure the company you use never actually touches the money -- they should just facilitate a funds transfer from the tenant's bank to your bank.
I use PayPal, simply because I already had an account. It too takes 4-5 business days from tenant paying rent until it's in my bank account. I've read about Cozy before, but wondering what the advantage is over PayPal. I haven't dug deep, but they sound the same.
@Marcell Salmond No fees for anybody if using a bank account through PayPal. I think there is a fee if you or they use a credit or debit card. But, the option is there if they need to pay rent with a credit card.
I signed up for a Paypal business account, not knowing what I was doing. To get rent paid commission-free on a Paypal business account, you have to specify that your tenants pay using the "pay friends or family" option... otherwise you will be charged a 3% surcharge!!!
I signed up for a Paypal business account, not knowing what I was doing. To get rent paid commission-free on a Paypal business account, you have to specify that your tenants pay using the "pay friends or family" option... otherwise you will be charged a 3% surcharge!!!
and when your "friends and family" send you every month the very same amount of $$, let's say, all 50 of them ;) it might as well be considered a fraud
There are other free ways...and totally legitimate
@Justin Wroblewski, I see a lot of recommendations for Venmo, Zelle, ChaseQuickPay yet these are not designed the same way a online rent payment software. I would recommend using a service that provides rent receipts, customizable rent due email notifications, automatic late fees, and some kind of tracking or record keeping of these payments. This will keep you organized, and professional in the eyes of your tenant(s).