I watched few YouTube videos about Cozy and how it can make the property management much easier.
I wanted to know your experience with it and if you would recommend its use and if there are any downsides on it.
It’s pretty easy to use and get started with. I personally like it (specially since it’s free). Only downside is that funds take a few days to get to your account once a tenant pays.
It is excellent Tenants like it because they can just set up their payments to automatically draft from their bank account without having to worry. I would highly recommend it.
Thanks guys for the replay,
What if the tenant refuses to use it for security concerns (thinking maybe their account can be hacked!) is there any practical alternative to automate the rent payment without the tenants providing theirs accounts?
There was a post here not long ago about an issue with Cozy.co and the tenant doing 3 months of chargebacks on the rent. There's a big potential for abuse from an ill-willed tenant with any 3rd party processor that allows credit cards to be used as a payment method. Credit card companies allow chargebacks for both fraud and dis-satisfaction. It then falls back to the vendor (Cozy as a proxy for the landlord) to prove that what the tenant is saying is not correct.
ACH transactions only allow for chargebacks for fraud so they are much safer. Many banks now allow you to set up ACH transfers to other accounts at different financial institutions. My credit union permits bill payment to/from any other account if you know the routing and account numbers (same information that is on a paper check). When I get a payment in it lists the tenants name as "Payment transfer from XXX XXXX". I have an alert set up to let me know when there is more than $49.99 in the account so I get a text the day a payment goes in. I then transfer it out of that account immediately. Easy peasy to track when payments are received and from who.