Last editedMar 20232 min read
Managing rental properties involves a delicate balance of payment collection and documentation. You need a good rental payment system in place that’s convenient for both you and your tenants, with quick transfer of funds and easy set-up. To this end, it’s often best to look for online rent management software that keeps all details in one place.
Why should you use an online rent payment system?
Renting property provides an excellent stream of steady income, if payments are made on time. As your property portfolio grows, it becomes increasingly difficult to juggle the needs of each tenant. This is where online rent payment systems can help. The best systems ensure a swift transfer of funds directly into your bank account while reducing late payments automatically. They also provide cloud-based documentation of rent payments, which is a benefit in comparison to cash which is open to errors and dispute.
Here are just a few of the main benefits of going online to collect your rental payments:
It simplifies rent collection by ensuring tenants pay the correct amount, on time – cutting down on time, errors, and potential disputes.
It automatically documents each invoice sent and payment received in a central system.
It gives tenants greater control over their payments with customer-facing login portals.
It automatically sends reminders related to maintenance and payments due.
This ensures less stress for landlords and tenants alike.
Features to look for in rental property payment systems
Of course, different rental payment systems will offer their own features. At minimum, you should look for software that comes equipped with a suite of accounting features to keep your finances for tax purposes. The best systems will automatically reconcile payments with your bank accounts, for example, highlighting any potential errors.
You should also ensure that there’s a portal where you can generate reports, track payments, and prepare tax returns. For your tenants’ convenience, look for a system that offers a selection of different payment methods. Some may prefer paying by credit card, while others will opt for BECS direct debit payments.
Five of the best rent payment systems
There are numerous rent payment systems in Australia, including top accounting software and purpose-built systems just for landlords. Here are five of our top choices for Australian landlords and property managers:
TenantCloud: Both affordable and packed with financial features, this is a great all-rounder to consider.
Buildium: This comprehensive rent collection software is best for landlords with larger portfolios. Screen tenants, collect rent, and tackle financial reporting.
Avail: This software combines payment collection with management services to keep on top of tenant needs. It’s user friendly with a free trial plan to help you get started.
Hemlane: This tool helps you keep on top of the everyday admin involved with managing properties and collecting rent.
PayRent: This is one of the more basic tools, yet it helps you set up recurring payment plans with low transaction fees.
You can read more detailed information about your options in our guide to online rent payment systems.
How to choose the best rental payment system
There’s no shortage of choice when it comes to today’s rental payment systems, so how can you find the right fit? Look for software solutions that are:
Cloud based for 24/7 access wherever you go
Collate tenant data for swift retrieval
Offer a customer portal for payment management
Collect payments with automatic reminders
Offer affordable pricing plans
Offer built-in accounting features
Gone are the days of paying by cash or cheque. Most Australian tenants now vastly prefer paying online or automating the process. GoCardless integrates with over 200 partners to help you manage finances and automate payments. It’s perfect for collecting recurring rental payments directly from tenant bank accounts. By automating the process, you not only cut down on late payments but also eliminate the awkward conversations that can damage landlord-tenant relationships. With full visibility over payments, it also ensures everyone’s on the same page with documentation.
We can help
GoCardless is a global payments solution that helps you automate payment collection, cutting down on the amount of financial admin your team needs to deal with. Find out how GoCardless can help you with one-off or recurring payments.