Posted in Blog  
  on Jul 21, 2014

How to Set Up Rent Drop Boxes

If you manage a lot of different properties in your community or you've got a multi-unit apartment that you're managing, having a rent drop box set up can help you get your rent on time and allow tenants to pay when they've got a moment to bring you a check, cash, or secured funds. In order to have an effective drop box, you need to create a secure environment so that thieves can't take the funds and use them for their own needs.

To avoid theft from happening, there are a few simple steps you can take to make sure your drop box is properly set up and secure.

Step #1: Install a Chute


The reason why a thief can access a drop box is that they are a basic box with no angles inside of it. They can put something sticky onto a flexible tube and fish out items one by one. Consider installing a chute with angles in it, kind of what you'd see on a postal box, and you'll make it more difficult to get items out without opening up the box itself.



Step #2: Have Your Box Inside a Locked Property


Instead of having your rental drop box out in the open, consider installing it inside your property management office. Cut the chute opening through the exterior wall and then have a lock on the box inside in case someone manages to force their way through the door to access the drop box. A chute doesn't have to be very big to accept most check sizes and the bigger checks can be folded to fit and smaller chutes tend to be more secure.

Step #3: Start an Online Payment System


Instead of forcing tenants to pay by check or secured funds, consider setting up an online payment system or even a pay by phone system that can be accessed 24/7. This will let your tenants pay when they've got a moment and avoid late fees at the last second because they can immediately submit their rent. The only down side to this is the credit/debit card processing fees that come with an online system, though this could be off-set in some areas with a 1.5% upcharge.



Step #4: Eliminate Money Orders


Money orders are extremely easy to alter and they are really hard to trace, especially when compared to a personal check. Discourage the use of these when using the drop box system and you'll automatically create a safer environment.

Step #5: Partner With Off-Site Vendors


One of the most creative ways to utilize a drop box system for rental payments is to partner with different businesses throughout your community so that people can drop off their rent as they are doing their errands. Although this may create a small hassle for your property manager, you may just find your rental payments are made on-time more often because there are more visual reminders for tenants to pay their rent.

Related

The Landlord Tenant Board: What it is and When it is Needed

Many times, there are issues between a landlord and a tenant that need to be resolved but are failed to do so, because both parties have gone too far with their actions, and have retaliated in the... More


How to Create a Residential Lease Agreement

Where there is a landlord, there will also be a tenant, and it is no surprise that these two parties can only work together once there is some sort of agreement, contract or a binding deal in place.... More


The Best Sites for Rental and Lease Agreement Templates

Many landlords find it difficult to write and draft a lease agreement. Since every State has its own general template, it can also be difficult to make sure your lease agreement meets all the criteria... More


The Best Landlord Associations for Landlords to Join

If you’re a landlord and want to manage your business in a better way, you should endeavor to get in touch with those industry experts who have the experience and the skills to help you do it. This is... More


Unpaid Rent

When you talk about the most common disputes arising between landlords and tenants, nonpayment of rent has to be there in the list. People rent their properties to earn money, and when a tenant... More


Section 8 Landlord Pros and Cons

If you have ever rented a living space and have had to move many times, you’d already know how difficult it is to find decent, affordable and secure living premises. A person has to deal with the same... More


Landlord Inspection Checklist: Rights, Letters, and Reports

Landlords across the state have the prime responsibility to make sure they inspect and up keep their property once they have rented it to the tenants. Inspections can occur monthly or yearly depending... More


Landlord Maintenance Costs and Responsibilities

Everyone knows that a landlord’s job is not easy. These folks have specific duties and responsibilities that they must perform in order to be fair. Being a landlord is not a position but it is, in... More


When to Withhold Tenant Security Deposit

Asking for a security deposit is quite common in property dealings. The reason to ask for a security deposit is to have something that would help a property owner recover some of their financial... More


How to Report Bad Tenants

Bad tenants are the worst-case scenario for any landlord; no one wants them, and if someone has them, they want them out in any way possible. There are times when landlords try as much as they can to... More