What could be better than on-time rent payments made simple for both sides of the property rental equation? Every landlord’s dream, right? It can be downright appealing to tenants, as well. That’s why offering and encouraging the option of automatic monthly rent payments can make everyone’s life simpler. And in today’s chaotic world, any dose of simple is welcome indeed.
Whether you provide a rent payment app, or the tenant chooses their route to auto payments, the situation can be a win-win for all involved. And as the landlord, you sit in the captain’s seat when it comes to promoting such an arrangement. So, check out these tips for nurturing and supporting the rent payment route that serves both the property owner and the tenant well.
Introduce the option before lease signing:
Share with prospective tenants that arrangements are in place to accept automatic rent payments. Feature auto-pay by mentioning it first as the preferred method of collecting monthly rent, noting it’s a hassle-free convenience.
Offer a nominal rent discount
The incentive of a small break in the monthly rent charge could easily sway a thrifty-minded tenant to choose an auto-pay option. Even a one-time auto pay set-up incentive can be the final nudge to get a new tenant on board. And don’t forget long-term residents who may be ready to trade the old-fashioned check/envelope/stamp method for a slick, auto-pay option.
Emphasize the benefits
Convenience is king these days, so play up on the handiness factor of automatic payments. Communicate with tenants that you understand how much of their time is claimed by work, family responsibilities, and community/church volunteer positions. Remind them that auto-pay means one less check to write and either mail or deliver. Encourage each tenant to consider an automatic ACH withdrawal or a debit/credit card payment.
Remind tenants of the late fee policy
The busyness of life can interfere with the best intentions to drop the rent check into the mail or get it to the rental office in a timely fashion. Remind tenants that an auto-pay arrangement is an easy way to avoid the worry of missing the deadline and incurring late fees or interest charges.
Offer as many auto-pay options as possible
Understand that not all auto-pay arrangements are created equally in your tenants’ minds. By offering a variety of options, the chance that one of those options will appeal to each of your tenants increases. Folks will have to trust the security of whatever option they choose to utilize. By demonstrating a concern for security and an understanding of your tenants’ need to feel their information is safe, you’ll begin to build or continue to strengthen the landlord/tenant connection.
Landlords who show enthusiasm for automatic rent payments will spread that enthusiasm to their tenants. And then, everyone wins.
About Rentals America
Rentals America provides full-service property management for residential rental properties. Our team is completely dedicated to property management and we’re here to help landlords navigate the rental market.
