As a property manager, you are in charge of collecting rent. This task can be a daunting one, so we’ve put together a list of ways to make this routine as straightforward and simple as possible.

According to a recent article, these are the most effective ways to streamline your rent collection process:

Have a written rent-collection policy and go over it with each adult tenant prior to move-in.
Institute a firm policy that rent is due on or before the first of the month.
Always follow your rent-collection policy, starting the first time a tenant’s rent is late.
Provide tenants with electronic funds transfer info or with stamped, preaddressed or business reply envelopes to make it simple for them to pay the rent on time.
Refuse partial rent payments. If you feel that you must accept a partial payment, have the tenant sign a partial rent payment agreement and personally serve new legal notices for nonpayment of rent.
Accept only one check for the entire rent if more than one tenant lives in a rental unit. This strategy helps you collect the rent more efficiently and reinforces the fact that each of your tenants is legally responsible for paying the rent.
Enforce and collect all charges for late and returned checks or dishonored electronic payments.
Accept only cashier’s checks or money orders if a tenant has two returned checks or dishonored electronic payments.
Consider incentives to encourage prompt rental payments. Be sure to offer all incentives to all residents equally.
Promptly serve all legal notices to protect your legal options, even if you believe that your tenant will fulfill his promises.

There are many effective ways to ensure monthly payments but if you are still weary, check out our Landlords’ Advanced Rent Program. Each month, on the 1st business day of the month, we will electronically transfer a rent “advancement” into your bank account regardless of whether the tenant has posted their rent on-time for that pay period. As long as the tenant pays the rent, at some point during that month, we will continue to advance your rent each and every subsequent month.

Collecting Rent Effectively