In our many years of dealing with property managers, we’ve often come across a concern that’s shared by many of you: How to handle the complexities of taking and holding security deposits.
As you know, security deposits are tangled in legalities. Landlords are required to store the money in a separate interest-bearing account, they need to send annual interest notifications, and there’s a tight window for returning the deposit.
With ManageGo’s integration with Obligo, you can now take advantage of their ideal solution for property managers and tenants. Obligo takes over the entire process, from taking the deposit to distribution. And best of all, Obligo is completely free for property managers.
How it works:
1) When a tenant completes the Rental Application process on ManageGo, you have the option to send them an automated message to make a security deposit with Obligo.
2) The tenant has two options:
a) They can either pay the entire amount upfront, just like they would usually do, but Obligo would take care of it instead of you. Or,
b) They can choose to not pay the security deposit at lease signing, and instead opt to provide their payment information to Obligo to be used in case it’s needed at the end of the lease. For a small monthly fee to the tenant, Obligo will validate and store the payment account, and provide a guarantee to the property manager.
3) In case you need to charge the security deposit after the lease ends, you simply submit your request to Obligo; they’ll front the money for the amount you requested and deposit it to your account right away. They’ll then collect the money from the tenant.