Rent Payments Guide

Read our full guide on how to collect rent online through TurboTenant.

Melissa avatar
Written by Melissa
Updated over a week ago

Accept Rent Online with TurboTenant!

Say goodbye to coordinating rent check pickups, waiting for the mail, or dealing with bank deposit issues. With TurboTenant, collecting rent has never been easier or more convenient for both landlords and tenants.

In addition to providing a secure and reliable way to transfer money, TurboTenant offers a host of other features to streamline your rental payments:

  • Payment Tracking: Keep track of all your charges in one place for easy bookkeeping and tax season.

  • Payment Notifications: Get notified as soon as your tenant pays, or if their payment is past due.

  • Autopay: Allow your tenants to put rent and utility payments on autopilot with just a few clicks.

  • Automatic Tenant Reminders: Let your tenants know they have an unpaid charge and stay on top of late payments.

  • Automatic Deposits: No need to make a trip to the bank; your money will be deposited directly into your account.

  • Automatic Late Fees: Designate a monthly past-due date and a late fee amount, and we'll handle the rest should your tenants pay late.

  • Rent Reporting: Tenants who use TurboTenant to pay their rent can take advantage of this exclusive service.

  • Everything in One Place: Keep track of rent payments alongside tenant contact information, important documents, and messages.

Best of all, collecting rent online with TurboTenant doesn't come with any additional fees for landlords.


How to Get Started Collecting Rent

Ready to simplify your rental payments with TurboTenant? The first step is to create an account and select the Payments option during onboarding. Alternatively, you can navigate to the Payments section within a lease or visit the Payments page directly to get started.

Watch our video below for a step-by-step breakdown of how you can set up rent collection on TurboTenant.

Ready to set up online rent payments with TurboTenant? Follow these simple steps:

  1. Access the "Payments" tab within one of your leases or use the "Payments" tab from the toolbar. Alternatively, select "Payments" during the account creation process by clicking the "Get Started" button on our How It Works page.

  2. Select or create a lease with an attached rental property and tenants. If you need to add any of these items, you can do so during the onboarding process. Please note that tenants will not receive an invite to their tenant portal until this process is complete.

  3. Set up recurring or one-time charges for your lease. You only need to create one charge to get started within TurboTenant. We recommend setting up rent and/or security deposit first.

  4. Create your business or individual account through our integration with Stripe. Then, connect your bank account so you can receive payments.* (TurboTip: If you have multiple businesses that are all collecting rent payments, we recommend creating an entity for each business. You can learn more here.)

  5. Verify your information, including your full legal name and phone number, to set up payments successfully.

  6. Enable partial payments, automatic payments, and auto late fees during the setup process.

  7. Review the information you entered on the summary screen. Once you're satisfied with the information presented, complete the rent payment setup. This will invite your tenant to their portal and place you on the Payments tab of the Leases page, where you can view all of your created charges.

After submitting your account for approval, you'll see an "awaiting approval" banner while our team checks your information. Once your account has been approved, you'll receive an email from TurboTenant notifying you that you're ready to start collecting payments.

We strive to review accounts as quickly as possible to minimize any delay in your payment processing setup.

* At TurboTenant, we use Plaid, a secure service, to connect to your bank account during the setup process. Your login information is encrypted and cannot be viewed by TurboTenant or your tenants, ensuring a safe and reliable connection to your bank account. This allows you to enjoy hassle-free rental payments with peace of mind.

If you are unable to find your bank or you don’t use online banking, you'll have the option to add your bank account manually using your routing number and bank account number.


Helpful Information & Definitions

Creating Subsequent Charges

After initial setup, you can add monthly or one-time charges by clicking "Create Charge" and following the required steps.

What is a Charge?

Charges are payment requests sent to each tenant on your lease. To ensure all tenants are included in your payment requests, add them to your TurboTenant lease. Click here to learn how to add tenants to your new leases.

We aim to make the payment process as convenient as possible for you and your tenants. That's why we send charges 15 days before they're due. Please note that tenants will only be notified of a posted charge and can make payments 7 days before the due date. This gives them ample time to make payments and ensures a smooth rental payment experience for everyone involved.

Charge Types

One-Time Charges

Your tenant is only charged once. These one-time charges are great for fees, security deposits, or pro-rated rent.

Monthly Charges

These are for recurring monthly charges that occur on the same day each month and are for the same amount each time. They are perfect for monthly rent, fixed utilities, or parking fees.


Frequently Asked Questions: Rent Payments

How much does it cost?

It is completely free for landlords to collect rent on TurboTenant! There may be a cost to the renter based on how they decide to pay. TurboTenant allows landlords to receive payments from their tenants via:

  • ACH (Bank Transfer): There is a $2.00 ACH fee paid for by the tenant by default. If the landlord is subscribed to the Premium Plan, the ACH fee is waived. Landlords who are not subscribed to the Premium Plan have the option to cover the $2.00 fee, which will be deducted from the rent payment.

  • Credit or Debit Card: 3.49% Fee. The tenant pays this fee, and cannot be waived.

Note: Not all banks are currently accepted by our payment processor. If your tenant is unable to find their bank on our list of approved financial institutions, they can manually enter their checking account and routing numbers or pay via credit/debit card. Our system does not support payments from savings accounts at this time.

Can I enable automatic payments for my renters?

Yes! TurboTenant is happy to offer our landlords and their tenants our Autopay service. This article shows you, the landlord, how to enable this feature. If your tenants have any questions about the set-up process, you can send them the link to this article.

What info do I need to collect payments from my tenant?

If your tenant applied online through TurboTenant, you don’t need to collect any additional information from them. As long as tenants are included in a lease within TurboTenant, they will be notified about any outstanding charges.

How will my tenant know to pay rent through TurboTenant? What do they see on their side?

For the first charge you send them, your tenant receives an introduction email telling them about paying rent through TurboTenant and explaining how it works. Here's what that email looks like:

To pay the charge, your renter will need to connect their bank account or add a credit/debit card to their account. After they successfully pay for their first charge, they receive future email notifications whenever a charge is due.

Within their TurboTenant account, they can see all due charges as well as charges they’ve already paid. It looks similar to what you see within your Landlord Account dashboard.

Does TurboTenant offer rent reporting for tenants?

Yes! Rent reporting is how we report tenants' on-time rental payments to credit bureaus. It can benefit everyone but is especially helpful for renters without a credit history. Learn more about this subscription service here.

I have multiple tenants on my lease. Who will receive the charge?

They will all receive the charge and either one can make a payment. If you have enabled partial payments, each tenant can easily pay their individual share of the charge.

How long does it take for the payment to reach your bank account?

ACH Payments, on average, take 5-7 business days to be deposited into your bank. If you're interested in expediting ACH processing, we offer expedited payments through our Premium plan, which decreases the time to approximately 2-4 business days, excluding weekends and bank-observed holidays. After accepting your first payment through TurboTenant, you can also ask your bank to remove any holds to speed up the process.

Card payments take 2-3 business days to be deposited into your bank on average. This processing time can also improve with a Premium subscription. Learn more here.

PAYOUT SPEED TIMELINES

Expedited*

Standard

Credit / Debit Card Payment

2-3 business days

2-3 business days

ACH Payment

2-4 business days

5-7 business days

*Applicable only to Premium Plan subscribers

Can you restrict partial payments so only the full charge amount is paid at one time?

Yes, when setting up a lease in your account, you can choose whether or not to allow your renters to submit partial payments.

This option can be changed at any time by going to your Lease Settings.

Can I charge late fees? What about security or pet deposits?

You can charge your tenants for any one-time fee or deposit. You can also set up automatic late fees within your account! Learn more about that process in this article.

Can I charge daily late fees?
Daily late fees are currently not supported. To accomplish this, you'll want to manually create one-time charges for each day the rent payment is late.

How secure are rent payments through TurboTenant? Will my tenant see any of my bank account information or vice versa?

Your tenant does not have access to your bank account information, nor do you, as a landlord, have access to your tenant's bank account information. TurboTenant uses the best-in-class payment processor Stripe to transfer money from your tenants to you securely. You and your tenants' payment information is encrypted within Stripe and is not available or disclosed to anyone else.

Is there a way I can easily track expenses and rent payments with your software?

We're glad you asked! TurboTenant partners with REI Hubto bring you intuitive accounting software built for landlords, which includes automated expense tracking. This integration also automatically pulls any rent payments tracked in TurboTenant into REI Hub's accounting tool. Learn more.

How will I know when my tenant makes a payment?

You will receive an email notification summary when your tenants submit their rent payment. Make sure your Email Summary notification preference is turned on within the Daily Payments Summary section in your account.

How will I know when the payment gets deposited?

You will receive an email summary when rent payments are deposited. Please ensure that your notification preferences for Email Summary are turned on in the Rent Payment Deposited section.

What will this look like in my bank account statement?

The bank account statement will display RENT: LAST NAME of the tenant to help you identify which rent payment belongs to which tenant. This cannot be modified at this time.



Still have questions? Reach out to our Support Team via chat or by email at [email protected]

Did this answer your question?