Tips for Collecting Rent

Because you run a business that depends on your tenants paying rent on time every month so you don't have to take drastic measures like canceling landlord insurance, you want to make sure you have a way to do so easily. There will be a number of ways that you will be able to get the rent that you need from your tenants. You want to be sure you do it in a way that will not seem too pushy to your tenants since you do not want to offend them. You want to make sure that your tenants have a great experience when they are living in your rental property. This way they will live with you longer and recommend their friends to your business.

How to Collect Your Rent

When you are looking for ways to collect the rent from your tenants, you want to make sure you have plenty of ways that your tenants will be able to pay for their rent. The most common way that your tenants can pay their rent would be to have them drop it off at your office. If you have normal office hours that will allow your tenants to come after they get off of work, this will be one of the best options. They can simply walk down to the office and drop off the rent payment to you in person.

If you do not have normal hours, or if you feel as though your tenants will want to drop off their rent at odd hours, it would be a good idea to have a drop box for them to use. Make sure that the drop box goes directly into the office for security reasons. You do not want to have a drop box that someone could break into since it would have numerous checks and dollar bills that someone could steal. You want to make sure that this method of paying rent is just as secure as any other method.

Possibly the most convenient and the most secure way that your tenants will be able to pay their rent would be online. Having a payment system that you can run online will allow your tenants to pay their rent on time every month very easily. They would not have to leave their rental property to give you the payment. You could even have an automatic payment system set up to ensure that your tenants get you the money on time. Just make sure you have a secure system online so that no information is stolen from your tenants.

Collecting from Late Payers

It will be vital that you impose some sort of penalty for those who do not pay their rent on time. You also have bills that you need to pay, so you want to make sure you get your money when it is due. It is generally a good idea to give your tenants three to four extra days to pay the rent past the first of the month. This will allow them to have plenty of time to secure the payment at the beginning of every month.

If you have any tenants who refuse to pay you their rent past the three to four day grace period, you need to provide them with a written warning. When you give a written warning, you need to state that the occupant must supply you with the rent money in addition to any penalty payment that might be necessary. After this point, if your tenant does not pay you the rent money that you need, you will be able to give a notice of eviction.