- So today is a travel day and alas, my 2:45am wakeup, & 2hr drive led to a 5hr delay. Balls. So here’s my thoughts on streamlining your rent collecting….One of the most common questions I answer is “what do I do about rent collecting?!” Rookie landlords generally suck at this. They accept cheques (remember those?), they drive across town to pick it up in person mistakenly thinking that’s “improved” or “personal” service, and many other time wasting inefficient methods.
Don’t do these things. They’re bullshit.
If you don’t value your time high enough to avoid a 40 minute commute to accept an $800 or $1,200 rent cheque then wait 7 days to see if it cleared you have no business being a landlord.
None.
Instead, do this:
Get them set up on auto debit.
It goes like this:
Go get the form from your bank (they won’t have a clue which one when you initially ask). Fill it out, but LEAVE IT THERE as it has your complete banking info on it. Instruct the tenant to pop into the branch you use of your particular bank, make sure they bring a void cheque. All they need to do is sign the form.
This is the part where some smart ass (often a property management “guru”) pipes up with “but I live in Vancouver and my property is in Halifax!”… Good for you, I love Vancouver. And no worries, it’s an easy fix.
Banks and realtors are pretty much the only dipshits still using 1960’s tech called fax machines! The form can be waiting for them at The closest branch in their city. Instruct the banker, If tenant requests a copy, to block out your banking info prior to making them one. They should actually think of this, but be sure.
I’ve done this with about half my units, I accept etransfer for the other half.
Best part, the only way it stops is if they tell their bank to stop sending it, or you tell yours to stop retrieving it. There needs to be an intentional request/ action for it to stop. Never any “oops I didn’t mean to do that!” If it’s not there on the 1st of month. Nobody needs to actually remember/ do anything to make it happen.
Why is this cool? Aside from an automated action saving time, it can save you money too. I once had a tenant decide to skip out with no notice, but he forgot to tell the bank he was an asshole. He paid rent as legally required when he had zero intention to. I only found out he was gone when he called me to complain about the payment on the 9th.
And the extra special “pro tip” is to scan a copy of your 80% filled out for the future. You MAY be able to email (fax probably) it in already completed in the future. And if not, see below.
Bonus “pro tip” (from this amateur) is to politely ask the customer service rep to place an 80% filled out copy in the appropriate folder they have that corresponds to your last name at customer service with a sticky indicating to leave it there.
At my location they have mine permanently there under “F” for example. Why? Because the blank stare you get when you first ask for this form, and the associated wild manhunt for the correct form along with phone calls confirming etc usually convinces them that this is a task they’d rather not do again as they’ll of forgotten all of the important points involved by the time the next landlord (probably you) comes in.
For etransfer, it goes like this:
Security Q is always “what is my house number?” Answer is always digits only. Never “upstairs” or “B” added to that. “But it’s an apartment there are 100 units!” Cool, use the building number followed by suite number. Always that order. No additions.
And have them add both a smartphone # as well as an email address to your contact for sending. I find it arrives via text/ smartphone nearly instantaneously but email takes an hour or two. Text is so fast, I accept it as deposit when signing a lease. They send it when we’re on page 1, it arrives before we’re done the second page.
Now go get it done, because the next time you chase rent on the 1st and get stuck in traffic missing your daughters dance recital or your sons baseball game you’ll wish you did.