What are some thoughts/experiences with using PayPal to collect rent. I read that if I don't send an invoice, and the renters send it to me as a friend/family, that there are not any fees attached.
Thanks for any help...
I'm a renter and I would absolutely love this option. Sometimes I transfer money to my significant other by doing this and neither of us incurs a fee.
If they pay the rent using a credit card, they can do a chargeback to take the money back even months later. They can chargeback either through PP or the credit card company and PP can do nothing about it. I think this is crazy. There are too many other low cost money transfer programs.
Thanks @Eric Michaels . They said if it comes from their checking or debit that there can't be a chargeback.
Appreciate the renters perspective @Paul Crawford
I use it and like it.
@Michael Newhouse i read somewhere that if you use friends/family option to send money then you don't get the full protection of the regular payday transaction. might want to look into that.
also, not sure how much you could scale this as you get more tenants.
finally, i don't know if it's against the paypal terms of service but if it is they could hold or shut off your account then you'll be stuck trying to get everyone on another system. Probably unlikely but its a concern that i'd at least research before i set my tenants up like that.
Originally posted by @Michael Newhouse :
Thanks Eric Michaels . They said if it comes from their checking or debit that there can't be a chargeback.
True, but you can't control how they fund their account.
Pay Pal.....It seems iffy to me.
I had a Chase Bus. Acct. Each tenant got a deposit only card, I
loved it and tenants liked the idea of using any chase ATM. But of course they no longer
offer this. does anyone know of any Bank that offers this service?
Reviving an old thread here, because I've been looking into this myself too, I could be wrong because I haven't actually confirmed this or anything but a part of their website talks about Business Deposit cards. Maybe they decided to bring it back, or maybe they haven't updated that page. Who knows, but here is the link I found to that part of the Chase website.
Free eBook from BiggerPockets!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
You must be a BiggerPockets member to post on the forums
Join the world's largest, most open Real Estate Investing Community online, 100% free forever!