As a property manager, collecting rent at the beginning of each month is the bread and butter of your business. So why would you not optimize this process in every way you can? The second best thing you can do for your rental business is offer an online payment system to your residents–it is the 21st century after all. But the tool that should be #1 on your radar? Automatic payments. As a crucial aspect of your business, and one that’s often much easier said than done, it’s essential to do everything in your power to make paying rent as easy and mindless as possible.
How They Work
Automatic payments take online rent payments to the next level. Residents can choose a flexible payment method to be charged monthly on a set day, for a set number of months. After this one-time setup, neither you nor your residents have to worry about their rent being paid on time. Here are the top 3 reasons offering automatic payments to your residents is a no-brainer.
Saves You Time and Money
Online payments already cut out the manual processing associated with paper checks and money orders, but with automatic payments, you’ll be saving even more time (and we all understand that time equals money). Even with the ease of online payments, you’re still subject to chasing down missing payments and calculating late fees. By giving residents the option to set up automatic payments, you’re cutting down on both the time and cost of these administrative tasks when residents forget to pay on time.
Predictable Cash Flow
Ahhh–uninterrupted, steady cash flow. That’s music to our ears. Rent is due the same day every month, yet life gets busy and your residents are bound to forget at some point. In reality, missing rent payments are more often a result of your residents forgetting than being unable to pay.
Allowing your residents to set up automatic payments increases the predictability of your cash flow. You know exactly how much money you’ll be getting from who each month, without the interruption of missing payments. Having a predictable, steady flow of cash reduces your stress as a business owner and makes long-term planning more feasible.
Resident retention: we don’t shut up about it because we truly believe that once you’ve found great renters, it’s invaluable to keep them around. The benefits of automatic payments start with the obvious convenience. After the one-time setup, residents can forget about it. Not only are automatic payments convenient, but they also reduce stress. Seriously, who isn’t stressed out by a deadline–especially when missing that deadline results in late fees? To top it off, this type of payment system allows residents to choose a flexible payment method, receive digital receipts for convenient budgeting, and can even help them boost their credit score.
Now that you understand why offering automatic payments is advantageous for everyone involved, it’s time to make sure your property management software offers automatic payments for residents. To learn more about ManageGo’s capabilities, request a demo today.