Paper cheques have long been the traditional way for landlords to collect rent from tenants. But this form of payment is becoming obsolete, not to mention cumbersome. As such, landlords are looking for different ways to collect rent. Platforms like RentMoola are providing a new and innovative service for this specific task.
Not only can landlords benefit from this platform, but so can property managers and portfolio managers who are seeking an easier, faster, and more cost-effective solution to process rent payments.
Plus, tenants can benefit from earning points on rewards credit cards when paying their rent every month.
Who is RentMoola?
RentMoola is a secure payment platform in which rent payments can be made from tenant to landlord online using a variety of payment methods, including credit cards. The software casts aside the need for manual rent cheque collection with a faster and simpler payment method.
RentMoola has a wide payment network available and has teamed up with all major banks, credit cards, and international payment solutions, so tenants have a lot of flexibility and options when it comes to where their rent money is coming from. And landlords can benefit from rent deposited directly in their bank accounts, which means faster funding without having to manually collect rent cheques.
Furthermore, RentMoola can help to avoid any late or missed rent payments. Tenants won’t have to constantly remember to make their rent by the first of the month, and landlords won’t have to worry about having to deal with untimely rent payments. It’s a win-win for both sides.
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What Services Does Rentmoola Offer?
There are a numbers of services offered by Rentmoola that make it a great choice for both renters and landlords.
For Landlords:
- Cash flow visibility – Landlords can easily track cash flow with the use of RentMoola.
- Automated rent collection – Landlords can reduce the odds of late or missed rent payments by having rent collection fully automated through RentMoola’s platform.
- Better tenant communication. Landlords can easily keep the lines of communication open with their tenants by using RentMoola.
- Tenant screening. Landlords can use RentMoola to effectively screen tenants to ensure they only select ones with little to no risk, including conducting background and credit checks.
- Customer service. RentMoola offers customer service to help support landlords and property managers get the most out of the platform.
- Tenant insurance. Having tenants insured can help reduce risks and disputes with tenants.
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For Tenants:
- Wide payment network. Tenants can use RentMoola to pay their rent from any device and from anywhere in the world. They also have access to several payment methods. Rent can be paid online and directly deposited into landlords’ bank accounts, with no need for manual exchange of physical cheques.
- Interest-free line of credit. Tenants can access a credit line free of charge through RentMoola, giving them another financial avenue in times of financial emergencies when money is tight.
- Payment receipts. Keeping tabs on what has been paid is easy thanks to RentMoola’s detailed payment receipts and payment updates.
- Credit bureau reporting. Tenants can improve their credit score and by making timely rent payments and having them reported to the major credit bureaus.
Check out these 10 mistakes renters make.
How Does RentMoola Work?
Tenants interested in using RentMoola to make their rent payments using this platform will start by creating an account. There are three ways to create an account with RentMoola:
- Through an email invite from the landlord or property manager
- Through an account created by the property manager or landlord
- Online at RentMoola.com/tenants
Once an account has been created, tenants will choose their property associated with the account. Then, tenants will have the option to choose the payment frequency they prefer, whether recurring or one-time.
Once the account set-up is confirmed, the landlord or property manager will confirm all details provided. If approved, rent payments are ready to be made through RentMoola.
Check out Plastiq; another platform to pay your rent with your credit card.
Cost of Using RentMoola
While RentMoola is incredibly convenient for both tenants and landlords, there is a small fee to pay for the service. That said, the fee associated with using this platform varies depending on the exact method of payment:
| Bank account | $1.99/Free for domestic accounts |
| Credit card (paid from bank account) | 0.99% |
| Credit card & prepaid debit cards | 2.5% |
| American Express | 3.99% |
| UnionPay | 3.99% |
| International, business, & all other cards | 3.99% |
| In-store cash | $6.95 |
Check out the average price of rent in Canada.
Benefits of Using Rentmoola
There are several reasons why landlords and tenants may want to make the switch to using RentMoola in place of traditional rent cheque collection:
- View payment receipts. RentMoola allows transaction history to be readily checked.
- Track upcoming payments. Landlords and tenants alike can keep track of upcoming payments.
- Build credit. When you pay with your credit card and make full and timely payments, your credit score can be improved.
- Earn credit card points. Rent payments made using a rewards credit card allows tenants to earn points with each rent payment made.
- MoolaPerks. RentMoola offers discounts on shopping, travel, home service providers, and more.
Are you renting? Check out the tenants laws and rights in Canada.
Drawbacks of Using RentMoola
While there are several benefits that come with using RentMoola, there are a handful of drawbacks that should be considered:
- Fees. In most cases, RentMoola services are not free. Different modes of payment come with specific charges to use this platform.
- Increases credit utilization ratio. If you use your credit card to make your rent payments, you’ll be using more of your available credit. If you use too much, your credit score may suffer.
Final Thoughts
RentMoola presents an innovative way for tenants to pay rent and for landlords to collect it. This platform can help streamline rent payment and collection while removing the odds of late or missed payments. That said, there is a cost for this service, which should be weighed against the benefits.
