What is your favorite way to accept rent from tenants?

165 Replies

I been using Tenantcloud for almost 2 years now. I started free but now being property manager and landlord pay just $9 every month or flat discounted yearly fee and get all my rent paid through them. it's take little bit time but it's all documented and managed and I manage all my maintanance request and expenses thru it as well. It's sleek and they kept updating and adding new features as we suggest. They have phone app as well. 

Anybody tried to collect rent online through the Zillow Rental Manager system?

I use BillPay. Ask my tenants to pay directly to my bank.

I also use ZellePay ease, free, and very fast.

Electronically, various methods. But with some  of my lower income  tenants, it is money orders.  Personal checks...not my favorite.  Cash is a liability.

I do money orders or cashier's checks.  Looking to automate - - hate paper.

@Cody L. you charge tenants for ACH transactions? Why would you do that?  Do you have a free way for tenants to pay? 

I honestly think that making tenants pay in a manner that costs them extra $ is not cool and probably will (or should) eventually be illegal. 

I normally only accept cash or money orders in person. I saw my grandfather take checks from tenants and learned quickly that wasn't the answer. You're not bouncing a check to me. I am currently looking for other electronic alternatives to cash or money order for ease of doing business though. I report all the cash I receive and give receipts so it doesn't affect my reported income.  

I use eRentpayment. I find it easy to setup, I can do auto payments using bank drafts or credit cards. The tenant can also make a one-time payment. You can also pass the processing fee on to the tenant or you can split it with them if you choose. They also send reminders to your tenants and to you when payments are due, received, and posted.

I once had a single female tenant who worked for a manufacturing company. She started having trouble paying her rent on time, so we talked about it. She shared that her rent took most of her first paycheck and it was hard to budget her other bills. She offered (and I agreed) to allow her job to withhold half her rent from her 1st of the month paycheck and the other half from the 15th of the month. Her company ACH'd the payments directly to my bank account. While it took until the 15th to get all the rent, it gave her tremendous peace of mind knowing the rent was being paid each month without her involvement, and I felt better knowing I was guaranteed to get the rent without excuses, stress or late fees.

Hi! I currently have 2 condos that are rented and I use cozy.co It is simple and FREE so far I haven't payed any dime and neither my tenants, it is set on automatic payments! Let me know if you have any other questions, I will be more than happy to assist you!

Daniel Ilie

@Jess White Give the tenant your account number to walk in deposit on no later than the 3rd of each month. Then text image of receipt. Post image in quicken.
Originally posted by @Mark Waldrip :

I once had a single female tenant who worked for a manufacturing company. She started having trouble paying her rent on time, so we talked about it. She shared that her rent took most of her first paycheck and it was hard to budget her other bills. She offered (and I agreed) to allow her job to withhold half her rent from her 1st of the month paycheck and the other half from the 15th of the month. Her company ACH'd the payments directly to my bank account. While it took until the 15th to get all the rent, it gave her tremendous peace of mind knowing the rent was being paid each month without her involvement, and I felt better knowing I was guaranteed to get the rent without excuses, stress or late fees.

Mark, you win the Good Human Of The Day Award! This award rarely goes to Landlords so bonus stars for you! 

Hello @Thomas S. I'm wondering why it's bad to give tenants different options to pay their rent? Wouldn't it make them more likely to pay if they have more options to choose from? I'm new to real estate and genuinely curious.
@Milena Simsic I give my tenants many options and charge a little more than the going rent rate. They appreciate it and it’s not a big deal for me. They pay in cash, checks, money order and PayPal. By being flexible, I’ve found my tenants are loyal and seem to be lifers staying in my properties.
@Jess White Direct deposit to my checking account I keep for my rental business. Easy and I get an email notification of each payment coming in monthly.
Originally posted by @Mary Mitchell :

@Cody L. you charge tenants for ACH transactions? Why would you do that?  Do you have a free way for tenants to pay? 

I honestly think that making tenants pay in a manner that costs them extra $ is not cool and probably will (or should) eventually be illegal. 

What issue is it for the government to use their monopoly on force and threat of putting you in a cage, because you as a property owner and a tenant come to a mutual agreement on what the terms were with respects to how payment is to be made and what the charges are?

Why on earth would you want more government in our lives on such a micro issue?  

To answer your question - I change $1 for ACH because I’m charged a small fee. And quite frankly because I can. That $1/payment comes to about 9,000 a year. 

I also charge an application fee (don’t tell the feds). And if someone wants to use our “pay cash at a CVS” there is a fee for that. If they pay by credit card there is a larger fee because we have the CC fees on our end. 

You know what the most expensive option is for the tenant? To pay with money order (for “free”) to our office. Not only is there gas to drive but assuming their time is even with minimum wage it’s way more than the $1/payment to setup auto draft ACH once and be done.

Sorry to be harsh. I try not to on here. It’s just nothing bugs me more than someone else trying to get the government to force others how to operate their lives, business, and private interactions. We are limited to what we can do/change by one person: our customer (tenant). Not some pinhead in Washington

Originally posted by @Sibley L. Poland :
@Jess White I have one tenant who is a server. Stack of cash every month. Kind of a pain but the cash doesn’t bounce. 😎

 It does if you drop it from high enough (dad joke!) :)

@Cody L.  i am not trying to get the govt to do anything - but tenants will only put up with things for so long then all landlords have to pay for those that were greedy. 

I deal with this all the time due to the laws on the books in oregon which came about due to things landlords did....

I will say that I do feel that tenants should be given an option to pay their rent without incurring extra fees.

Originally posted by @Mary Mitchell :

@Cody L.  i am not trying to get the govt to do anything - but tenants will only put up with things for so long then all landlords have to pay for those that were greedy. 

I deal with this all the time due to the laws on the books in oregon which came about due to things landlords did....

I will say that I do feel that tenants should be given an option to pay their rent without incurring extra fees.

 All tenants and all consumers want to pay as little as possible. All landlords and business want to charge as mich as possible. Supply and demand and competition causes there to be a balance. If someone tries to charge excessive rent or fees tenants can easily opt not to sign. 

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