Landlord Studio's Online Rent Collection feature allows tenants to transfer rent payments directly into their landlord's bank account. It is easy, secure, and fast.
Some of the useful features include auto-pay (which allows tenants to set up recurring payments), automatic rent tracking (rent payments will be automatically logged and tracked in Landlord Studio), and the tenant portal which gives visibility to upcoming and overdue rent payments to tenants.
Below we outline a few of the frequently asked questions about Online Rent Collection.
How can I be sure the process is secure?
Our Online Rent Collection is powered by Dwolla. We don’t handle or store any of your banking or payment details. In an industry where trust is paramount, Dwolla's sophisticated security practices give landlords confidence that their data is being protected. For more information please see their website.
How much does online rent collection cost?
We take a small processing fee of $2.50 for each transaction made through the Landlord Studio system.
You can choose to pay the fee yourself, in which case it will be deducted from the rent amount and the fee reconciled as an expense in Landlord Studio.Alternatively you can choose to pass the processing fee onto your tenants (see below).
Can I pass the rent collection processing fee on to my tenant?
Yes. When you enable online rent collection in the lease you will be given the option to assign the processing fee to the tenant.
If you wish to change this setting during the lease period your tenant will be sent an email notification asking them to review and confirm the new payment amount.
If your tenant has auto-pay on and you change this setting, their auto-pay will be turned off until they have reviewed the change in the tenant portal.
How much do tenants pay if you assign online rent collection fees to them?
When paid by the tenant there is a flat fee of $2.50 per transaction. This will be added to the rent amount and collected when the payment is initiated. Landlords that pass this fee off to the tenant will not see this fee or have to deal with the fee.
The "convenience fee" will show up in the tenant portal when they initiate a payment or enable auto-pay.
How long does it take for funds to reach my account?
The average transfer times are between 3-5 working days. We are already looking into initiating instant transfers so keep your eyes open!
What happens when the rent payment is completed?
We will automatically log the rent collected in our income tracker against the relevant property. Additionally, we will automatically log the processing fee as an expense.
Once funds are received you will be notified and you can simply log in to the app to double-check the income has been correctly logged.
Can tenants create recurring payments?
Yes, once they’ve created their account they can turn on auto-pay and set the payment to be made at the same time each month. Meaning no more missed or forgotten rent payments.
How do tenants pay?
They will receive an email with a unique one-time link. They simply need to follow this link, set up their account, and then they can log in at any time to pay. Additionally, they can set up auto-pay which will set their rent to be paid at the same time every month.
More information can be found in our article How to Set up Online Rent Collection.
What happens if my tenant doesn’t get the email?
Double-check that you've entered their email address correctly. Then click on the 'Invited' button on the tenant card on the property page. This will resend the email. Ask your tenant to check their inbox and their spam folder.
Note that resending the invite will invalidate the first invite sent so they will need to ensure they click on the link in the most recent invitation.
Are there any limitations to credit unions or banking institutes that can be used?
There should be no banking institutes or credit unions that can’t be used to pay through the Landlord Studio system. If you do have issues connecting your institute to make payments please reach out to firstname.lastname@example.org and we will help you resolve the issue.
What if my tenant has insufficient funds?
If payment is attempted but the tenant has insufficient funds in their account Dwolla will attempt to pull the funds but this process will fail. You will receive a notification after 3-5 days notifying you of the failed payment attempt.
It is recommended you then reach out to the tenant and ask them to attempt to make the payment again through the system. To do this they simply need to log in to the tenant portal and hit pay next to the rent due amount.
Important things to know about failed payments:
Landlord Studio never automatically re-tries a failed payment, so renters must make a new one-time payment to cover the payment that failed.
If you want to more details about why a payment failed, you can reach out to support at email@example.com for more information.
Can tenants make partial payments?
Yes. Users can now choose to enable partial payments on the Landlord Studio system so that tenants can send an amount less than their full rent amount due.
By enabling partial payments you are allowing your tenants to adjust how much rent they choose to pay. For more information, click here.
Note: Partial Payments don't apply to Tenant Payable Expenses.
Can tenants turn off auto-pay?
Tenants can toggle off auto-pay at any time and choose to manually log in and pay at any time.
How do you verify your identity to receive secure payments?
We are required by law to verify the identity of all individuals using a Landlord Studio account to receive payments through Landlord Studio. This means that even as an LLC or property management company, you'll still need to use your SSN to verify your identity and receive payments.
Can tenants pay for expenses with Online Rent Collection?
Yes, tenants can pay for Tenant Payable Expenses with Online Rent Collection. This means that you can create expenses e.g. Utilities, Bills, and other expenses, and charge these to your tenant. The tenant pays for these inside the tenant portal.
Read more in our article on Tenant Payable Expenses here.
Can I receive rent to multiple bank accounts?
Yes, you can add multiple checking accounts to your one Landlord Studio account and choose which account to accept specific rent payments into. When setting up online rent collection you will be asked to select which bank account to collect rent with or to add a new one. You can then edit or enter new details at any time.
Note: Right now there isn’t a way to collect a single rent payment rent from multiple individuals or divide a single rent payment between multiple checking accounts. Rent payments can only be sent in full to one account.