Electronic Deposit for rent tenant claiming mistake was made

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Electronic Deposit for rent tenant claiming mistake was made

Aaron W.
Denton, TX · Member since 2015 · 59 posts · 6 votes

Electronic Deposit for rent tenant claiming mistake was made my understanding is if the money is not in the account I provided by the due date mistake or not by contract rent is late.  This is not my current situation but just a hypothetical scenario.

Thanks to all who reply

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  • Kenneth GarrettPro Member
    Investor · Florida Panhandle/Illinois · Member since 2016 · 4k+ posts · 3k+ votes
    7y

    I use electronic rent payments.  They receive a notice 5 days in advance when funds will be withdrawn.  They have the option to cancel the withdrawal.  Not very common but if they are short in funds it’s all or nothing.  All the funds must be available.  

    We are always hoping they will contact us when they have a problem.  Maybe 50% of the time.  Unless there is some electronic problem I agree they are late. I always believe in listening to what people have to say but it may not change the results.

    Good Luck on this one.  Sounds like a late payment is coming your way.  

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  • Thomas S.
    Member since 2016 · 13k+ posts · 12k+ votes
    7y

    Late is late, it makes no difference why. You will hear every possible excuse in the book for late payments. Ignore them all and send a pay or quit notice to protect yourself in all cases.

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  • Nathan GesnerBusiness Member
    Moderator
    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    7y

    If a tenant pays electronically, it can take up to three banking days to process that payment so the funds are actually available for you to spend. However, I consider it received on the day they initiate the transaction.

    Let's say you charge a late fee on the 2nd. If the tenant initiates payment on the 1st, they are good. But three banking days later the payment bounces for non-sufficient funds (NSF). The tenant now owes rent, the late fee, and the NSF fee from the bank.

    Any time a tenant pays late, I require payment by money order or cashiers check so I have the funds immediately. Don't let them write you a check or pay online again because that just stretches everything out another 1-2 weeks.

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