The Best Online Rent Payment Service for Small Landlords

Update: This post has been updated with new scoring and winners based on changes or upgrades to some of the products and services. We have also included new products that have come to our attention since the last update. Read on to see our winners for the best online rent payment service for 2023:

Property management software can be a useful tool for small and independent landlords to effectively run their businesses. We have written overviews of several top software products that offer solutions for a variety of standard property management tasks from advertising and applications to tenant screening, lease signing and rent collection. Here we compare how each of them handle online rent payment from a landlord’s perspective. We compare them across a variety of factors and then determine the best online rent payment service for small landlords.

The Best Online Rent Payment Service – Our Top Picks

We considered the following rental property management software products for the best online rent payment service. While we have selected an overall winner, we also highlight winners for specific features contained within these online rent payment systems.

You can also read more information below about our complete criteria for what you should look for when choosing the best rent collection apps and tools for you.

• PayRent – Winner: Best Overall Online Rent Payment Service
• Avail – Winner: Best Rent Payment Service with Complete Property Management Features
• Baselane – Winner: Best for Integrating Rent Collection with Landlord Banking
• Hemlane – Winner: Best Hybrid Property Management Platform
• RentRedi – Winner: Best Rent Collection App for Landlords and Tenants on the Move
• Rentec Direct – Winner: Full-Featured Software for Small Landlords or Property Managers Alike
• TurboTenant – Winner: All-in-one Rental Property Management Platform with Integrated Education
• Azibo – End-to-end property management platform to manage your rentals -for free!
• Innago – Free online property management platform, with great customer support for landlords.
• Stessa – Portfolio Management and Accounting Software for Landlords
• Landlord Studio – Powerful all-in-one rental software solution that reduces paperwork and streamlines your bookkeeping.
• DoorLoop – Rental Property Management Software Made Easy
• Buildium – Best for larger landlords or landlords planning to grow their portfolios.
• TenantCloud – Full-Featured property management platform to manage your rental business.

Collect Rent Online: The Best Online Rent Payment Systems

Each of these online rent payment systems have features that allow landlords to collect rent online. Choosing best online rent payment service depends on a variety of factors that are most important to you. For each product, we describe 5 key rent collection features that you should consider when choosing the right tool for your properties. We also include a bonus feature that your tenants may find useful.

PayRent is a product that focuses solely on online rent payment for landlords like us. With multiple plans starting at $0/month, landlords have access to a low-cost solution for collecting rent payments. Choose to pass-through transaction fees to your tenants, and your rent payment fees are $0 forever. Tenants will also receive rent reminders and can schedule automated payments in advance, helping to ensure on-time rent collection every month.

Additionally, PayRent offers a RentDefense feature with their paid packages: Payment controls and rent collection enforcement that help you collect rent with less hassle and stress that virtually eliminates late and lost rent. Landlords can also upgrade to a premium plan that promises just 1-day payment holds and free bank transfers.

Payment Options: Your tenants will have a choice of either e-check or credit card payment methods. Add your tenants to the platform and PayRent will send out an email invitation for them to join the service then help them through the process of adding a payment method.

Recurring Payments: Working late or going on vacation shouldn’t stop your tenants from making their online rent payment on time. Let them set up a one-time future payment, or weekly, semi-monthly or monthly recurring payments so you know your rent will be paid no matter where they are or how busy they may be.

Speed: PayRent can deposit your rent payments to any bank with branches in the United States, with a 3 day hold for users on the Pay-As-You-Go and DIY plans. This is expedited to a 1 day hold for their premium Go-Like-A-Pro subscribers.

Cost: PayRent offers 3 different plans as well. The free Pay-As-You-Go plan costs $5 per ACH transfer. The DIY plan costs $19 per month with $2 ACH transfers. And the Go-Like-A-Pro plan gives you free ACH transactions for a monthly subscription of $49.

Reporting: PayRent sends automated rent reminders to your renters which helps avoid last-minute confusion and stress. You will also receive instant email notification when rent is paid as well as full accounting and tracking of rent payments. There do not seem to be other reporting features that some of the other services offer.

Credit Agency Reporting: Landlords using PayRent to collect rent can use the credit reporting system to report rent payments to Equifax, Experian, and TransUnion. It reports both on-time payments and late payments for free. PayRent is the first company to report rent payments to all three credit bureaus.

If what you need is fast, secure, reliable online rent collection, PayRent is our winner for you. It is our Overall winner for the Best Online Rent Payment Service.

Get Started with PayRent for Free.

Avail is our winner for the best online rent payment in the property management software category. With next day FastPay ACH transfers included for Unlimited Plus subscribers and 2-day deposit times for all others, Avail offers a fast and convenient rent payment service. Furthermore, landlords do not need to be a paid subscriber to access Avail’s online rent payment service. At $2.50 per transfer that your tenant can pay, a landlord has the opportunity to collect rent at no additional cost.

Payment Options: Tenants can pay however they want, from bank accounts or credit cards. They can also pay from any device that has access to the internet. Getting started is simple. Enter the rent amount and lease dates, your tenant’s name and email, and Avail will handle the rest.

Recurring Payments: Tenants can turn on Autopay to schedule recurring online rent payments. They simply choose a date to withdraw the funds, and Avail will deposit the funds directly to your account. Landlords can also manually add custom payment dates if they want to create an installment schedule for their tenants.

Speed: Payments typically deposit directly to your bank in 3 business days, faster than a check and without the hassle of a trip to the bank. With a subscription to Avail’s Unlimited Plus premium plan, next day “FastPay” payments are available to landlords at no additional cost.

Cost: Using Avail’s free Unlimited plan, ACH transfers cost $2.50 per transaction. With the premium Unlimited Plus plan, landlords receive free ACH transfers. And under either plan, credit or debit card transactions are charged a 3.5% transaction fee. 

Reporting: Avail offers automatic reminder emails and built-in payment receipts. Late fees can be automatically assessed as well. Landlords have access to payment tracking and reporting, though integration with your accounting or bookkeeping software may be limited.

Credit Agency Reporting: Avail can report your tenants’ on-time rent payments to Transunion with their CreditBoost service. Your tenants may see up to a 40 point increase in their credit score.

What makes Avail a winner is their best-in-class property management software solution. In addition to online rent collection features, a subscription to Avail gives you a complete set of tools, guidance, and educational content you need to be a confident and professional landlord.

Create an Account for Free

Baselane is a rental property management tool that helps landlords and real estate investors save time and money while increasing their rental property returns.

Along with having one of the best bank account options for landlords, Baselane offers debit cards with smart controls that allow cardholders to control and manage their expenses. You can also integrate it with your bookkeeping, reporting, analytics, and rent collection tools.

Payment Options: Baselane provides tenants a platform to pay rent on any device. Simply set up your lease, invite your tenants, and get paid. Tenants can pay by ACH bank transfer or debit/credit card and can easily enroll in auto-pay.

Recurring Payments: Tenants can turn on Autopay to schedule recurring online rent payments or get reminders when rent is due. No more late fees.

Speed: Payments are deposited directly into your bank account, sometimes as fast as 2 days. You will also receive automated alerts once rent is paid.

Cost: Free ACH payments for both landlords and tenants. There is a 2.99% fee for debit and credit card payments.

Reporting: Baselane offers automated payment notifications & reminders, automated payment history and tracking, and automated late fee settings. There is also integration with a Baselane banking account or external banks and credit cards to stay on top of finances in one place.

Baselane is currently offering a $300 bonus:

Hemlane is a property management platform that helps property owners manage their rentals wherever they are. It is a cross between DIY and full service management that automates day-to-day administration, from advertising vacant properties to collecting rent and late fees. Because of its flexibility for landlords to choose how much control of the day-to-day operations of their rentals they retain, Hemlane is our winner for the best online rent payment service: hybrid property management platform.

For landlords who want complete freedom from the daily operations of their rentals, Hemlane can help you connect with local, in-person leasing agents and 24/7 repair coordination with local service professionals. You can also choose to maintain 100% control and automation with Hemlane’s all-in-one online platform for leasing and management. Or select something in between where you have access to Hemlane’s software plus repair coordination to allow you to sleep through the night without being woken up with a late night emergency.

Payment Options: Landlords can allow tenants to pay rent with a bank account only, or to have the option to pay with a bank account, credit or debit card. Landlords can choose to pay the 3% credit card transaction fee themselves or pass it directly to the tenant.

Recurring Payments: Hemlane allows owners to request payments using an online or offline payment requests. These requests can be configured for a one-time request (such as a security deposit) or recurring request (such as monthly rent). Tenants can then set up automatic payments for any recurring request. Hemlane provides flexibility to schedule for the due date or a prior date.

Speed: Hemlane’s ACH payment processing generally takes 3 business days for paying customers with verified accounts. However, first transfers and free trial user payments generally take 5 business days and could take up to 10 to address risk.

Cost: There are no ACH transaction or set-up fees with a subscription to any of Hemlane’s three plans.

Reporting: Payments are automatically recorded into Hemlane’s robust financial reporting dashboard so you never lose track of payment records and receipts. Hemlane will automatically send requests for late fees, along with the choice of one-time or daily late fees, per the details specified in your lease. Hemlane also requires late fees to be paid prior to the rent, where allowed.

No matter which package you choose though, Hemlane offers landlords access to its robust online rent collection and financial tracking tools.

Try Hemlane for 1 Month Free

RentRedi is a landlord-tenant app that allows you to manage vacancies, screen tenants, and collect payment from wherever you are, on any device. RentRedi’s mobile deposit feature makes it easy for tenants to pay their monthly rent on time. There is an option for automatic payments that will also send rent reminders. If a tenant falls behind on rent, they will incur an automatic late fee with a recurring fee amount.

RentRedi also offers a free rent collection app that both landlords and tenants can use to pay and collect rent online. This is the best rental payment app and makes it a great option for busy landlords can use on the move!

Payment Options: RentRedi allows payment from a banking account, credit card, or ACH. They also allow tenants the option of depositing cash at over 90,000 retail locations through RentRedi’s partnership with Chime.

Recurring Payments: Tenants can choose to enable auto-pay and schedule recurring rent payments for the same date each month.

Speed: Landlords will receive payment from tenants in as quick as four to five business days after payment account approval.

Cost: There is a $1.00 processing fee for ACH payments, which tenants will pay. There is also an option to make payments through a credit card, though a 2.9 percent plus $0.30 fee will incur. If you prefer, you can cover the fees instead of passing them onto your tenant. 

Reporting: RentRedi allows you to set up automatic late fees and directly export rent payments to spreadsheets or Quickbooks Online. You can also send in-app notifications by unit, property, or to all tenants.

Credit Agency Reporting: With RentRedi, you can reward and encourage on-time rent payments with their credit boost feature which reports rent to credit bureaus.

Get Started with RentRedi!

Rentec Direct includes all the tools for landlords to manage and rent your properties. This property management software includes your own custom rentals website, a complete accounting system, tenant screening, free online rent payments, online file management, and more

Rentec Direct makes it easy for tenants to pay rent using their credit card, debit card, or bank account. It’s free to set up rent collection and to accept ACH payments. There is a 2.95% transaction fee for credit card payments, which you can pay or have your tenants pay. Normal 1 day funding is included with your Rentec Direct merchant services. You can upgrade to same day funding for $0.50 per transaction.

Payment Options: Rentec Direct makes it easy for tenants to pay rent using their credit card, debit card, or bank account. Renters who don’t have access to traditional banking or get paid in cash may appreciate the option of paying their rent in cash. Tenants can make cash rental payments at one of over 20,000 locations that are part of the PayNearMe cash network.

Recurring Payments: You or your tenant can specify the frequency the rent payment should occur, either monthly or weekly, and on what day to process the transaction. Rentec EasyPay also supports one-time transactions. On the specified date, Rentec deducts the rent from the tenant’s checking or savings account and after it clears a few days later forwards it to the property manager’s account.

Speed: Rentec Direct offers the fastest ACH transfer of any of the online rent payment services we have reviewed. Funds are transmitted the day following the transaction. You can also get same day funding of ACH transactions for a fee of $0.50 per transaction.

Cost: ACH Payments free and included with your Rentec Pro or PM subscription. Credit card payments are billed at 2.95% of the transaction which is typically paid by the tenant. Cash payments through the PayNearMe cash payment network have a $200 setup cost, and tenants pay $3.99 per transaction. There is no monthly cost, but a minimum of 10 payments per month is required.

Reporting: Both packages from Rentec Direct include financial tracking and reporting options. You can also connect your Rentec account with your bank to download and sync your online rent receipts into Quickbooks. Rentec Direct also offers a variety of specialized property and owner reports you can email, print, download or export.

Credit Agency Reporting: You can give your tenants a simple way to build their credit history and improve their credit score using Rentec Direct’s built in integration with RentReporters. This will automatically report your tenant’s rent payments to the credit bureaus which improves their credit score while simultaneously providing incentive to pay rent on time.

Get started with Rentec Direct by taking advantage of a free two-week trial.

TurboTenant is online property management software that empowers independent landlords to:

• Advertise Vacant Units
• Track Leads Automatically
• Accept Online Applications
• Screen Tenants
• Create Lease Agreements
• Collect Rent
• Complete Rental Property Accounting

TurboTenant’s secure rent collection tool was created exclusively to meet landlords needs. Renters and landlords alike don’t have to worry about security when it comes to TurboTenant since they partner with industry leaders Stripe and Plaid to ensure everyone’s information stays safe.

Payment Options: Tenants can pay via ACH or credit/debit card.

Recurring Payments: Landlords can set up automatic late fees or turn on automatic payments for their tenants. With email reminders and automated technology, forgetful tenants are prompted to pay on time. And if they don’t, TurboTenant will let you know.

Speed: ACH Payments on average take 5-7 business days to be deposited into your bank. TurboTenanat offers expedited ACH processing with their premium subscription plan, decreasing the time to approximately 3 business days.

Cost: TurboTenant offers both a free and premium subscription. Under both plans, landlords have access to Autopay, Auto Late Fees, Rent Reporting, and Payments Dashboard features. ACH payments are free to both landlords and tenants. Tenants will incur a 3.49% convenience fee if they choose to pay with a credit or debit card. With a premium subscription starting at $99/year, landlords can get expedited rent payouts among other benefits.

Reporting: TurboTenant’s payments dashboard makes it easy to understand which tenants are completely paid up vs. those who owe money (and how much). It also shows how property expenses stack up against rent payments on an annual basis. Additionally, TurboTenant’s recent integration with REI Hub was tailor-made for landlords and their accounts. Rent collection data flows automatically into REI Hub’s system, meaning landlords can get straight to the reports they need faster than ever before, for just $15/month for the first property (and $5/month/property after that). Regardless of the number of units, users will not pay more than $85/month for this extraordinary tool.

Credit Agency Reporting: TurboTenant offers rent reporting to build tenants’ credit history when they pay rent online. Once Rent Reporting is activated, TurboTenant will automatically report your tenants’ on-time rent payments to TransUnion for free, helping them improve their credit scores.

Collect Rent Online – Sign Up for TurboTenant Free

Azibo is an easy-to-use rental property management tool that allows you to receive online rental applications, screen tenants, collect rent (credit card, ACH, or debit card payments), and manage accounting with rental-focused tax prep tools and reporting. Along with all these features, it also offers a landlord-centric bank account with zero monthly fees.

Online rent collection is one of Azibo’s core features that is free to use. You can get paid automatically on Azibo via credit card, debit card, and ACH. Azibo also allows you to:

• Receive your rent payments within 3 business days.
• Instantly see the rent payment status of your residents.
• Send reminders via email and SMS to whoever needs to pay rent soon.
• Allow your residents to make partial rent payments – nor not.
• Automate late fee enforcement that are customizable based on your lease terms.
• Easy security deposit tracking – both collecting and returning at the end of the lease.
• Get alerted automatically about uncollected payments.

Payment Options: Securely accept multiple payment methods online including credit card, debit card, and ACH bank transfer. Simply add your properties and open an Azibo bank account or link your existing bank account. Then invite your tenants to join Azibo and start collecting online rent payments.

What stands out with Azibo is the ability to turn on or off partial payments. While we recommend not accepting partial payments since it makes potential eviction proceedings more difficult, you can choose to enable them for a special circumstance and then disable them again going forward.

Recurring Payments: Tenants can set up AutoPay to make sure that they never miss a rent payment. They would simply switch the toggle on and adjust the auto-pay settings. They can edit these autopay settings at any point. 

Speed: Azibo processes payments within 3 business days, similar to best rent collection platforms.

Cost: ACH payments are free, or your tenant can use a debit or credit card (2.99% convenience fee).

Reporting: Azibo has a rent dashboard that helps you view tenant payments in one place so you can instantly see who paid and who hasn’t. If you choose, late fees will be included with the rent invoice amount and can be waived manually at any point. You can also reconcile your payments by downloading a spreadsheet with a breakdown of all payments made to you on Azibo within a selected time period.

Get Started with Azibo

Innago is a free property management tool that helps landlords and property owners manage almost every aspect of their rentals – advertising rental properties, screening tenants, collecting rent and late fees, and streamlining communication with tenants and maintenance contractors.

Innago offers access to full email and phone help at no additional cost. They also host webinars to help new landlords through the setup process and offers one-on-one demos by request. The platform assigns a representative to every account to ensure customers get personalized service. Landlords receive the representative’s email and contact information. 

Innago’s online rent payment system enables you to receive your income faster with on-time collection, transparent payment tracking, and safe and secure data transmission.

Payment Options: Your tenants can pay their rent with the payment method they prefer: They can connect their checking or savings account or pay with a debit or credit card. They can also pay on desktop or mobile app.

Recurring Payments: Tenants can sign up for automated rent payment, resulting in fewer tenants forgetting to pay and more rental payments coming in on time. Tenants receive automatic reminders and notifications when rent is due. A convenient “pay now” button in the email makes submitting payments easy, with just a simple click. You can also customize the frequency for automated invoices. Charge your tenants monthly, weekly, or any other payment interval you agree upon.

Speed: Get your money in one business day, completely free, with no charges for expedited payments.

Cost: Rent collection is free for landlords, while tenants are charged $2 per ACH payment and 2.75% for credit and debit card transactions. You can incur the $2 ACH fee yourself if you prefer.

Reporting: You can automate late fee enforcement with custom settings. Innago offers the flexibility to charge based on percentage, or flat fees, single or repeating charges, or even a combination of all of them. Reports are clean, simple, and easy to understand. Easily export all financial records into Excel and most other financial programs. Download data as a backup, print results for partners and owners, or share with your accountant at year end.​

Get Started with Innago for Free.

Stessa is a smart money management platform that helps landlords and real estate investors optimize their portfolios for performance. You can easily collect rent online and automatically integrate payments into your income and expense tracking, personalized reporting, and more.

Stessa has also recently introduced all-in-one money management with a Stessa Checking account, making it even easier to integrate banking with your online rent collection and other property management tools.

You will need to set up a Stessa cash management account in order to collect rent. You will also need an active lease and your tenant’s email address. Set up the balance due and they will send your tenant an email invitation to start paying rent through Stessa.

Payment Options: Tenants can pay through ACH payments with no additional fees. Credit card payments are not supported at this time. Options for additional payment methods are coming soon. And tenants can still make paper check deposits through the mobile app.

Recurring Payments: Tenants have the option to make a one-time payment or set up recurring payments. Stessa will automatically send a reminder email to your tenant every month, 10 days in advance of the rent payment due date. Another payment request will go out on the due date showing the current balance due alongside a link to make the payment.

Speed: As a landlord, you can expect to see funds available in your Stessa checking account within 3-5 business days.

Cost: Stessa is 100% free, as are ACH rent payments.

Reporting: Stessa makes it easy to keep track of property performance, finances and the paper trail that comes with real estate investing all in one place. Stessa also automatically sends reminders and deposit notices so nothing slips through the cracks.

Sign Up For a Free Stessa Account

Simplify every aspect of rental property management with Landlord Studio’s easy-to-use app that helps you keep track of your rental income and expenses and maximize the return on your investments. Say goodbye to complicated spreadsheets and piles of paper receipts. Landlord Studio helps automate tasks, master your income and expense tracking, and stay organized throughout the tax year.

You can now use Landlord Studio to collect rent online safely and securely. Tenants can transfer rent payments directly to your bank account quickly and easily. Together with Landlord Studio’s other accounting and reporting features, automating and tracking your income has never been easier or more accurate.

Payment Options: Tenants will receive an email with a unique one-time link to get started. They simply need to follow this link, set up their account, and then they can log in at any time to pay.

Recurring Payments: Once your tenant has created their account they can turn on auto-pay and set the payment to be made the same time each month. You can set automated rent reminders for overdue rent and automatically apply late fees.

Speed: It currently takes between 3-5 days for payments to be processed and funds to be received into your account. However, Landlord Studio is looking into options for same-day transfers in the future. Check back for updates.

Cost: Online rent collection pricing is included in all plans and costs just $2.50 / transaction. This can be charged to the tenant or paid by the landlord.

Reporting: This is where Landlord Studio shines. Landlords can integrate their bank accounts and get automatic income reconciliation. With online rent collection, you can fully automate your income tracking and rent payments. Landlord Studio will tie into your leases and accounting software, and provides automated rent reminders, late fees, and more.

Start using Landlord Studio for Free

DoorLoop is a powerful all-in-one property management software that is easy to use and stands out from many of the other options on the market. It offers unlimited support, full-scale accounting functionality, and a complete suite of useful features from listing, leasing, rent collection, maintenance, tenant communication and more. This is a fantastic option for landlords and property managers looking to streamline their workloads, save time, and grow their business. 

Online payments are secure 256-bit military-grade encryption. Your tenants’ rent payments are encrypted and secured with PCI compliance as they are submitted directly to the credit card processor (powered by Payrix) and never pass through DoorLoop’s servers. Furthermore, you never need to share your account or routing number. Your tenants will fill out a form online with their credit card or bank details, authorizing you and RapidRent to automatically charge them for rent.

Payment Options: You can get paid automatically on DoorLoop via credit card, debit card, and ACH using RapidRent, powered by Payrix.

Recurring Payments: Send automated payment reminders to your tenants before rent is due so that you always get paid on time

Speed: For security and fraud prevention, your first payment will be deposited into your bank account after 10 business days. After that initial payment, any future credit card or ACH payments normally take up to 3 business days to enter your bank account.

Cost: There is a one-time, non-refundable $49 fee per bank account to start accepting online payments, which covers the cost of application processing, underwriting, and account setup. You will not be charged if your merchant application is denied. Tenants are charged 2.95% of the amount for online debit or credit card payments, or a flat fee of $1.99 for ACH payments (or $0 if you are on the Premium plan)

Reporting: Late fees are added to every lease automatically at intervals and deadlines of your choosing. See how much each tenant paid or owes instantly. DoorLoop will send alerts automatically about uncollected payments, upcoming lease renewals, and more.

Sign up for a demo of DoorLoop and get 50% off your first two months.

Buildium is a simple-to-use, unified property management system for landlords and property managers. Due to the higher costs associated with Buildium’s subscription plans, we feel Buildium is best suited for larger landlords and community association managers. But that doesn’t mean it can’t help you, though. If you have several properties or are looking to buy more in the near future, Buildium might be the right software to help you grow your business. 

Payment Options: Tenants authorize their bank accounts or credit cards to make online rent payments. Together with PayNearMe, Buildium also lets residents make cash payments at over 20,000 locations nationwide.

Recurring Payments: Tenants can set up recurring online rent payments schedule and can choose from a multitude of frequency options including one-time, every month, every two weeks, daily, and more.

Speed: Online rent payments using EFT/eCheck or credit card will be deposited into your back account 2 business days after the resident makes a payment through Buildium. Landlords can request faster EFT deposits for a small fee between $1.00-1.45 per transaction. Money from completed PayNearMe transactions will be deposited into your bank account within 5 business days without any risk of reversal.

Cost: You must have a subscription to one of Buildium’s paid plans, starting from $52/month for the Essential plan, $166/month for the Growth plan, and $479 for the Premium plan. With the Growth and Premium plans, incoming EFT payments are free, and $1 under the Essential plan. Credit card payments are charged 2.95% with all plans. Additionally, you can link 5 bank accounts for free with the Growth and Premium plans. Additional bank accounts are charged a $99 setup fee each, as are all bank accounts with the Essential plan.

Reporting: When a resident has a one-time or recurring payment scheduled, they will receive an email seven days in advance notifying them of this upcoming payment. Completed transactions will automatically post to your Buildium account within minutes — no manual entry required. As a result, landlords spend less collecting, depositing, and logging cash payments.

You can sign up for a 14-day free trial of Buildium and see if it’s right for your business. 

TenantCloud is a cloud service that allows you to manage both your rentals and tenants. Their platform allows you to do a plethora of things on top of payment collection – including tracking your properties, posting listings, and conducting screenings – all completely free. Starting at $0/month, landlords have the option to try TenantCloud for free. However, there are three other paid subscription tiers that come with additional features. 

Payment Options: TenantCloud accepts payment from ACH, banking account, debit card, and credit card.

Recurring Payments: Tenants can set up auto pay, a recurring monthly payment that allows funds to be automatically sent from their bank account on a scheduled date.

Speed: ACH transactions usually take 3–4 business days to complete and show in your “TCBalance” account. Withdrawals to your bank account take another 1-2 business days, longer if they are over a weekend or holiday. There is no expedited option.

Cost: Tenants can pay using a debit or credit card and will be charged a percentage-based fee. TenantCloud also offers payment through direct bank deposits and fees vary by subscription tier. The fee is $2.95 with the Free plan, $1.50 with the Starter plan, $1.25 with the Growth plan, and a smaller custom price for Business plans. If preferred, landlords can cover these fees instead.

Reporting: To ensure that your tenants are paying rent on the due date, TenantCloud allows you to set up a grace period and late fees. You can choose between a one-time late fee or daily late fees, or both. TenantCloud also automatically generates invoices, late fees, and receipts so that you don’t have to do it manually.

Credit Agency Reporting: TenantCloud works with TransUnion and Equifax to report your tenants’ rent payments to the credit bureaus. This will help your renters build their credit history and boost credit scores.

Sign Up Here

Choosing the Best Online Rent Payment Service: Things to Consider

These are the 5 key online rent collection features we considered when determining our top online rent payment service recommendations. We also include a bonus feature that your tenants may find useful. For example, some landlords will prioritize having many options for tenants to pay rent, while others might be looking for the best rent collection app so they can manage their rentals on the go. Speed is a top consideration for the best online rent payment systems, as is cost.

When looking for the best rent collection app or service that is most suited for you, consider how each service handles the following tasks:

Payment Options

When choosing an online rent payment service, consider the availability and variety of different rent payment options each of the best online rent payment services. These include both online and offline options. More options mean flexibility for tenants to pay rent through a variety of methods. As a result, this helps get their rent paid and to the landlord on time.

Automated/Recurring Rent Payments:

Look at whether the online rent payment service offers tenants the ability to schedule recurring rent payments each month and how flexible the payment dates are. For example, does the payment occur only on the 1^st of each month, or can landlords and tenants schedule different dates. And can the tenant schedule multiple payments each month? This helps ensure payment of rent before spending their paychecks on anything else.

Speed:

Obviously faster is better when it comes to receiving rent payments. We compared the time it takes for the landlord to receive their online rent payment. We also ask if there is an option to expedite payments. All of the best online rent payment services claim that most rent payments clear and deposit into your bank accounts within 3 days or so, but there are some differences.

Fees/Cost:

You will also want to check the fees each online rent payment service charges under their free or most basic plans. It can be difficult to do an “apples-to-apples” comparison across rent collection services. However, whenever possible, try to factor prices of subscription plans into a cost per transaction based on the number of units and payment transactions in your portfolio. Additionally, take note where a monthly subscription is required to collect rent online, ie, no free options.

Related: Best Free Property Management Software for Small Landlords

Tracking, Reminders, and Reporting:

While all of the property management software solutions offer at least some integration of rent payments into their accounting and reporting tools, some have more robust functionality than others. Which of these more advanced features are included the software? Do they have the ability to track payments and integrate receipts into accounting or reporting? Do tenants receive reminders for upcoming rent payments, and are landlords notified if rent is late or missing? The answers to these questions influence the determination of the best online rent payment service.

Bonus: Credit Agency Reporting:

Does the online rent payment service report payments (and missed payments) to the credit bureaus such as TransUnion and Experian? This feature can incentivize tenants to make payments on-time while improving their credit scores.

Related: Benefits Of Reporting Rent Payments To Credit Bureaus For Landlords

The Benefits of Online Rent Collection

There are many reasons utilizing an online rent payment service might be beneficial to you. Factors such as safety, security, and documentation make online rent collection a great way to protect yourself and your investment.

Time and Labor

One of the more compelling reasons for busy landlords to collect rent online is the time and labor savings you can achieve. Time spent at your rental can be better used to inspect and maintain the property and improve relationships with your tenants rather than tracking down rent checks.

And instead of logging each received payment into a ledger or spreadsheet and then going to the bank to make a deposit, you can focus on other aspects of your rental property business to increase efficiency and profitability.

No Need to Handle Cash

Accepting rent in cash is problematic. It cannot be documented, can be lost, and can easily be stolen if someone catches on to your pattern.

Reduce Missed Rent Payments

Tenants no longer need to remember to write a rent check.  Many of these apps allow residents to set up automatic, recurring rent payments. As a result, you can be confident that rent will deposit directly into your bank account on time, in the correct amount (you can even include utility charge-backs and other fees), every single month.

This has become invaluable in helping to eliminate late and missed rent payments.

Forget about billing for late fees, bounced checks, and constantly reminding tenants when rent is due. Automated rent collection software will do all those tasks for you.

Integrate Accounting

On top of the time and labor savings, online rent collection allows landlords to integrate income receipts directly into their bookkeeping and accounting tools.

Most rent payment systems show records of rent paid as well as rent that is late or outstanding. Other common features will include automatic late fees, payment status notifications and ongoing payment history.

More robust rent collection tools can also sync to your bank accounts as well as provide income statements, cash flow, rent rolls, rental property metrics, and even tax worksheets and reports.

Experienced investors know that this kind of transparency into their portfolios helps make better decisions regarding their rental property assets.

Other Benefits of Online Rent Collection

There are also several other perks that make collecting rent online worthwhile.

• Property management software will allow you to set up monthly reminders when rent is due. This can notify your tenants to make sure they have their accounts funded before the due date.
• These services speed up the process of getting your deposits. You don’t have to collect rent in person, and you can get the money directly deposited into your account.
• You can more reliably evict tenants when needed by having a record of missed rental payments. This works well for keeping up with records and invoices. It removes the lack of documentation that comes with accepting cash.

Also Read: Why Landlords Should Use An Online Rent Payment Service

Are Online Rent Collection Services Safe?

At the end of the day, financial security is the most important thing. This relates to safe online rent payment transactions as well as keeping yourself safe from potential online threats. If you choose to collect rent online, you want to use a rent payment service that will protect your security.

With an online rent collection service, you’re less likely to fall victim to somebody that’s trying to scam you. You also remove the opportunity for major disputes. When somebody doesn’t pay, you have proof that you never received their rent.

Most online rent payment services will collect rent from a person’s bank account before they deposit it to yours. This ensures they have the funds to pay and helps you avoid half-payments with cash or checks that may bounce.  Online rent collection makes things more convenient and provide safety for both the landlord and tenants. Both parties are able to see balances and make transactions from a computer or mobile device.

Many renters even prefer making their rent payments online because it allows them to treat it like any other bill. With the best online rent payment services, tenants can even automatically schedule recurring rent payments every month. No more collecting rent payment in person, planning around work schedules, or worrying about lost checks in the mail.

How to Collect Rent Online

Here are the common ways landlords are collecting rent online as well as some of the advantages and pitfalls to keep in mind.

Peer-to-Peer Online Rent Payment Systems

There are various payment platforms these days that make sending and transferring money a breeze. They all essentially aim to make the transfer of funds as quickly and painlessly as possible.

However, take note: In some locations, if a tenant has made a partial rent payment, even just one dollar, you may not be able to start an eviction process. If an eviction process is currently underway, a partial payment may reset the eviction proceedings back to the start. With peer-to-peer payment platforms, it is easy for a tenant to send you a partial payment even if you don’t want to accept it.

Also Read: Apps to Pay Rent: Should Landlords Use PayPal, Venmo, or Zelle?

Zelle

Zelle is newer to the scene when it comes to banking. Unlike other online rent collection options, they work directly with various banks. When somebody sends money using the app, it sends you a notification and directly deposits the money to your bank account – if you already have an account within the app. If you don’t, no worries, you’ll receive a notification via email or text to help you set up your account. Once you do, you can access your money and transfer it to any other account you like.

One difference between Zelle and other options is that they don’t allow you to link credit cards. For some tenants who like the idea of racking up credit card reward points, this may be a deal breaker. Zelle also comes with a daily transfer limit, so tenants may have to schedule payments over a couple of days.

PayPal

This ubiquitous payment service has been around since 1998, and over the years, it has changed the way businesses work. You can send invoices, request money on jobs with ease, and transfer the money into your account immediately. For landlords, we recommend setting up a business account separate from your personal account so you don’t commingle funds. You can keep track of your invoices conveniently, as well as take advantage of the platform’s payment protection plans. This is great for tax season because it allows you to have access to everything you’ve made at the touch of a few buttons.

The major disadvantage with PayPal is that every business transaction comes with a fee, which can add up quickly. Similarly, landlords cannot block partial payments, making potential eviction proceedings difficult.

Cash App

Released in 2013 by the payment processing company Square, this app didn’t start gaining popularity until recent years. Its set up allows you to directly connect a bank account for transfers. You can also enable direct deposits to make online rent collection even easier. Cash App users can also request a Visa debit card linked to an existing bank account.

The downsides to Cash App are that users are limited to how much they can cash out per week. This may be a particular issue for landlords with more than a couple of rentals. Additionally, tenants need to be extra careful when entering your payment information. If there is a mistake, their money can be transferred to the wrong account, with little recourse to get the funds back. Should a tenant claim they paid their rent but you never received it, this could be a major hassle to sort out.

Direct Bank Transfer

While these can be a little more difficult to set up, tenants can send rent payments directly to your rental property bank account. Because direct deposits require providing your tenants with personal details such as bank routing and account numbers, many people fear that these can be unsafe or insecure.  Like with some of the other peer-to-peer options described above, there are no means to restrict a partial rent payment. A tenant might use this to send just a small amount each month without fear of eviction.

Property Management Software

Many landlords and tenants both see peer-to-peer payment apps and direct deposit options as cheap, simple, and easy to use methods for their online rent payments.

However, rental property management software may be the better option for online rent collection. Services like Avail, PayRent, and TenantCloud are safe and secure way to collect rent online, and provide you with a range of other property management features to help you run your rental business.

You can gain access to other valuable features such as advertising and listing, tenant screening, online applications, lease signing, maintenance management, financial reporting, and more.  These software tools truly take many of the hassles out of being a landlord, and protect both you and your tenants.

Tips to Refine Your Rent Collection Process

No matter which online rent payment system you end up using, you will still want to do everything you can to make getting your rent payments as pain-free as possible. Here are some tips to make rent collection fast, easy, and reliable:

1. Effective Communication

You should make it very clear to your tenant when the rent is due up front. Specify a particular day of the month by which the tenant should pay the rent. The due date and any grace period should be noted on the lease agreement. Of course all renters must carefully read and sign it. If late rent payment does become a problem your best bet is usually to communicate with your tenants about the reasons for the problem. Ask them when they will be able to pay the rent and what steps they are taking to avoid missing the due date again. 

2. Late Payment Fee 

You can also charge a late rent payment fee to ensure that your renters are paying their rent regularly on time. We recommend choosing a suitable late fee, which is a financial motivator but not a burden. Note, many states and cities have laws regulating late fees a landlord can charge.

3. Online Rent Payments System

Traditional methods of rent payment (cash, checks, and money orders) can cause unnecessary problems. Most of your renters are probably making online payments for paying their phone or utility bills. We recommend asking them to do the same for rent. This will make the process more transparent and secure. They can opt for automatic rent payments at a scheduled date and they won’t have to worry about late fees or delinquent payments. Both landlords and tenants can see when the payment is scheduled and received. They will also receive electronic receipts of the rent payments. 

4. Reward Timely Payment

In addition to enforcing consequences for late payments, consider incentivizing your tenants with some rewards if they pay their rent on time. For example, landlords can report on-time rent payments to credit bureaus, which will boost the credit score of the tenants who pay on time. Some online rent collection services report both on-time and late/missed payments to the credit bureaus. For example, PayRent allows property owners and managers to collect rent quickly, securely and safely through their online platform. They are also the first to report on-time and missed payments to the three credit bureaus – TransUnion, Experian and Equifax. PayRent also sends automatic reminders to tenants which avoids a common reason for missed payments: tenants simply forget.

 Related Read: Benefits Of Reporting Rent Payments To Credit Bureaus For Landlords

5. Choose Your Tenants Carefully

Lastly, it is important that you choose an appropriate tenant who will pay their rent on time. You must screen your tenants carefully and assess their credit and rent payment history. Have comprehensive rental criteria to ensure that your tenants are consistent in paying their rents. Check if your tenant’s income is enough that he/she can pay the specified rent. Call their landlord and job references and cross-check the information they gave in their pre-screening interview. 

 Also Read: How to Successfully Refine Your Rent Collection Process

Online Rent Payment for Landlords: Frequently Asked Questions

Takeaway

We have reviewed several of the top online rent payment services that can meet the needs of independent landlords no matter the number of properties you manage. While some services are part of a property management software product that includes a variety of features, others may only offer rent collection if that is of most importance to you. We encourage you take a close look at the above selections for the best online rent payment service. You can also see our landlord toolkit to see which ones we have in our arsenal.

Video Extra – Collecting Rent Online:

7 Reasons to Use Property Management Software to Collect Rent

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