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Updated about 8 years ago, 08/30/2016
Automatic Withdrawal?
I've been a landlord for a few years, but I only have a handful of properties, so I'm still kinda new. I would like to start requiring automated withdrawal for paying rent. I know there are differing opinions on it, but my mind is made up, so I really just want some advice. Is there a form I can download somewhere that details the tenant giving me permission to do this? Is it something I'd take to their bank? Or is there an online service that makes the process easier?
Also, how do you handle the automated withdrawal if the tenant tells you they will have to pay late? We don't usually have a problem with this, but I just wanted to make sure my bases are covered IF I run into that problem. For instance, I had a really good tenant for about three years, and he always paid on time. One month, he got sent to Chicago for his job, but he had to pay all of his expenses up front. His job reimbursed him, but it was delayed, so because of this, he had to pay rent late, and we were okay with it since he had paid on time for years. I'm not sure how this would work with automated withdrawal. Would I have to change the date manually?