Today, accepting payments online is becoming a standard practice for many businesses — yes, that includes landlords and property managers. When it comes to larger payments like rent, some tenants may not feel comfortable using a credit card (or that may not have one). Also, the payee may not want to incur the fees associated with credit payments. As a result, many companies will rely on ACH payment options instead.
In this post, we’re helping you understand the basics of ACH payment, such as what it is, how it works, and why it’s good for your business. Let’s get started.
The Basics: What is an ACH Payment?
An ACH payment is an electronic transfer of money made through the Automated Clearing House (ACH) Network. Funds move from one bank account to another with the help of an intermediary that routes funds to the final destination.
What does this mean for you as a Landlord or Property Manager? A lot less time spent chasing, processing, and managing your rent payments each month. It also benefits your tenants because they don’t need to worry about heading to the bank for cash or writing checks, which they may not have easily accessible.
Getting Started with the ACH Payment Process
It’s effortless to set up an ACH payment process. In reality, you can complete the setup in under 20 minutes.
First, you’ll need to follow these steps:
- Sign up with your online rental management solution, like RentMindMe
- Create your account
- Add your bank account
- Take the simple steps to verify your bank account
- Add your leases
Once you provide your information, your tenants will receive an invitation to create their profile. Next, they will be able to follow similar steps as above (adding their bank account and verifying their information). Once you and your tenants are set up, you’re ready to begin the ACH payment process.
How an ACH Payment Works in Our System
Now that everything is ready to roll, you can say hello to real-time savings.
When your due dates come up each month, our system will automatically send rent reminders to your tenants with a link to your invoice. We send multiple reminders ahead of the due date, on the due date, and if or when their rent is late. Our reminders take the worries and stress off you and your team to keep track of payments manually. Say goodbye to calling to coordinate when rent is going to be paid, driving to pick up cash or money orders, and waiting in lines at the bank.
Since everything is electronic, your tenants can pay their rent with a click of a button, literally within seconds. An ACH payment makes everything easier on both ends. Plus, you’ll receive instant notifications when they pay rent, and their funds are directly deposited in your account within 2-3 business days. Our system is a pass-through, meaning we never hold your money.
It’s seriously that simple.
Everyone we’ve worked with tells us they appreciate the convenience of paying online. Payment can be made from anywhere as long as they have an internet connection. Another way an ACH payment simplifies life is with auto payments. Your tenants can set up AutoPay and have their rent come out of their account each month without any extra work.
If you’re ready to simplify life for you and your tenants, we’re here to help. Schedule a demo with us today. It takes 20 minutes or less, and you’ll talk directly with our founders, who have been in your shoes and know what you’re dealing with every day.
Sign up now or give us a call at 419-318-0664 to get started.