How should I collect my rents?

Question

Hey all,

I've been casually house hacking for a little while (renting to friends, not unknowns) and as I'm starting to acquire more properties and lesser know tenants, I want a more professional way to collect rent. In the past I've just had my tenants send me money via Venmo, but I'm developing a need for a more professional platform. Specifically, a prospective tenant's father contacted me asking about setting up an auto-pay to pay a portion of his son's rent and I acted like that was no problem, but I'm clueless as to what the best way to do that would be.

Does anyone have a recommendation for some services that will process my rental payments for me. Obviously I would prefer to do so cheaply. Right now it would only be two rents paid by a total of three people, so I don't need much.

I don't care to do it myself as far as the time it takes, but I'm concerned with the appearance of professionalism, which is something I'm working on as I'm trying to grow.

Thanks!

John Barrows · Answer

Go to your bank or credit union and they will set up an auto pay with you. The account is set up just like if you had a trading account with a broker. Pretty easy these days.

I'm moving soon and I will leave all my accounts just the way they are until I set up shop where I will be living. The beauty of the ACH system is, I can run a local account from where I live now and have my other accounts (trading, auto pays, auto deposits etc.) funnel money into my new account and leave enough money in my previous accounts to pay what is needed through my auto pay accounts now.

You can also set up an escrow account if you don't want to use your other accounts. Most generally, you have a business account(don't co-mingle) your business and personal accounts!

Harry Standafer · Answer

Thanks, guys! I checked out those websites and after the holiday weekend is over I'm gonna go chat with the bank.

Bill Hampton · Answer

Try www.cozy.co or rentmarketplace.com

Good luck,