Nowadays, the fast Wi-fi connection plus the introduction of new mobile apps have enabled people to pay their bills online, and to schedule appointments as well. Tenants use the same technology to pay rent on time and manage their funds. Paying online anytime and anywhere has become the new standard.
Property owners should take online rent payment services into consideration. Their business will benefit from it – just like tenants do. Here are the main benefits that they can receive when they let their tenants pay rent online:
Improved customer service
Instead of collecting rent personally and processing the check payments, they can have more time to focus on their marketing efforts and improve their relations with tenants. This is a way of improving their relationship with the customers, and also a way of providing them with better services.
Controlled management costs
Collecting rent online reduces the expenses related to managing properties. A landlord will be able to reduce operational costs and maintain a low property management fee. This will benefit many property owners.
Decreased number of past due accounts
There are different online payment options, such as PayPal, credit card and eCheck, so there will be a significant reduction in terms of late payments. In addition, tenants get reminders via text or email when the rent is due or fast approaching, prompting an immediate payment, if the system is in an optimized mobile device.
Faster dispute resolution and audit track
Rent that is paid online has digital paper trails. So, when a tenant claims that he paid online, the property owner can confirm or refute the claim by accessing the system. The fully integrated software for property management will allow owners to view the late charges, update the owner system and track split payments automatically.
It is safer for them to process rent payments and owner disbursements since personal details are not compromised. Their accountants can get a snapshot of tenants that have paid to enable well-informed financial resolutions.
It is easy to stay organized
When money goes from one hand to another, a higher degree of organization is needed. When more tenants and properties are involved, there is a higher probability of committing errors.
Even when managing one or two properties, collection of rent checks on a monthly basis involves communication and organization to make sure that the payment is received in a well-timed manner. Errors, however small they are, could be disastrous when they are caused by arguments in which the landlord and tenant insist that they are the wronged party.
Online rent payment eliminates the risks that come with cash payments. Furthermore, the insurance company will most likely lower coverage when there is less cash on-site.
In recent years, many landlords are getting to be more comfortable with online transactions. It is about time for those who have not tried online payment services to consider them so they can save time, reduce costs and improve cash flow.