Last editedJun 20232 min read
An online rent collection service can be a fantastic tool to help landlords run their property management businesses more effectively. No more chasing after tenants for late or unpaid rent, no more time-consuming back-and-forth with tenants who haven’t updated their standing orders to reflect rent increases, no more messing around with unwieldy Excel spreadsheets or Word documents. Online rent collection services let landlords automate rent collection, making it incredibly easy to manage online payments. Find out everything you need to know about the best online rent payment systems with our simple guide.
Why use an online rent payment system?
There is a wide range of benefits associated with online rent collection services. From tracking rental income and automating late fees to blocking partial payments, online rent collection services are a great way to streamline the rent payment process for landlords. Plus, most online rent payment systems allow you to collect rent from a wide range of online payment methods, including credit card, debit card, Direct Debit, and so on. Put simply, it’s a smarter way to handle your business. So, without further ado, here’s our guide to five of the best online rent payment systems available on the market.
1. GoCardless
When it comes to online payment processing for rental payments, it may be a good idea for landlords to consider using an Direct Debit solution, rather than an online rent payment system. It’s easy to collect rent payments on time every month by using Direct Debit, a pull payment method that allows you to control when the amount will arrive. GoCardless offers a simple and easy access way to use Direct Debit; initiate payments directly from the online dashboard or connect it to your favourite software.
2. Goodlord
Goodlord is a cloud-based property management platform offering tons of key features. In addition to online rent collection, Goodlord can handle tenant referencing and tenant services plus a whole range of insurance options. Tenants are given the choice of various payment methods, including card payments and Direct Debit, plus the software’s real-time updates and automated reminders make it easier to keep on top of things as a landlord. All of this comes at a cost though - Goodlord is relatively pricey compared to some of its competitors, and doesn’t offer a free trial.
3. OpenRent
Offering a basic rent collection service for £10/month, OpenRent is a reliable option for landlords in the UK. Other services are available too, such as safety, insurance and legal support. Landlords can also choose between three different pricing models: Light Advertising, which will list your rental property on the OpenRent site for three months (free), Ultimate Advertising, which also lists it on other popular property sites (£29 inc. VAT) and Rent Now, which adds to the above a range of services such as contract drafting and deposit registration (£49 inc. VAT).
4. Rent Collection
Another top rent collection company in the UK is the aptly named Rent Collection. They provide their service for £12 per collection (with a “no collection, no fee” guarantee), and ensure you’ll be paid within one working day of cleared funds. Additionally, Rent Collection offer a free tenant check (worth £15) on every tenant, and include an option to use an online agent to find tenants for £125. Landlords can keep up to date with rent statements all stored securely and in one place on the Rent Collection website.
5. LettsPay
Last on the list is LettsPay, a rent collection software that offers multiple payment options such as open banking, standing orders, Direct Debit and bank transfers. The software automatically reconciles payments making them available for tenants to authorise disbursement to the landlord. Features include smart messaging, arrears management and more, plus a dedicated customer support team. Customer reviews of LettsPay are very positive, and pricing models are tailored to each new user, although one weak spot may be the lack of integration with other property management software.
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.
