Payment processes can be a hassle for property operators of all sizes. But what happens when resident payments arrive late or are only partially paid? How does this affect the property management’s ledger reconciliation?
These issues can snowball into substantial complications, especially when operating on outdated payment platforms. Thankfully, there is an easier way to circumvent these issues. It’s called “automated payment logic” and Domuso has pioneered this technology that is flipping the multifamily industry on its head.
What is automated payment logic?
Automated payment logic allows the property to require all late payments be made with certified funds. During this timeframe, standard payment options will no longer be visible to residents at checkout, assuring property operators immediate funds once the resident has engaged their payment platform.
So what are digital certified funds? Aside from acting as a digital version of a cashier’s check or money order, digital certified funds provide residents additional flexibility to complete payments in a way that is most suitable for the property operator to easily process the transaction digitally.
What are the benefits for property management?
With the automated payment logic feature, Domuso offers several settings that deliver highly valuable benefits for both property operators and residents. Not only does Domuso manage property rental payments, but also digitally certifies the highest risk payments in accordance with a customizable automated policy.
Prevent against returned late payments. First, and foremost, operators have the ability to avoid returned late payments by only accepting digital certified funds once a payment is deemed late. Additionally, operators can customize different settings based on each property’s needs, such as easily accepting prepayments from residents. This can come in handy when residents head out of town prior to their rent being due.
Remove operational burdens. Though different types of properties may have various payment grace periods and other preset payment requirements, Domuso helps automate these specifications to manually protect against risk of using paper money orders, which is both ineffective and operationally burdensome for operators.
How does it work?
Say a resident’s rent payment has not been received and they are now outside of the grace period for late payments. With Domuso, the property operators can choose to allow partial or full payment transactions after the grace period, but the residents would be restricted in how much and what type of payment can be made. Generally, most operators only allow residents to make a full payment after the grace period via digital certified funds, which ensure payments never bounce when residents might be inclined to use paper forms of payment or float funds on an ACH transaction.
In some states, if residents make a partial rent payment their property management cannot begin an eviction until a full payment has been completed. This allows a resident to stall the eviction process, potentially costing the property an additional month’s rent or more. With automated payment logic, every payment process can be customized to fit each property’s needs to avoid financial loss.
Property operators across the country are benefiting from Domuso’s automated payment logic, digital certified funds and the ability to customize their property’s payment acceptance and processing, saving them money and growing resident retention.
To learn how your properties can experience reduced risk and streamlined operations with the market-leading features of Domuso, schedule a time to speak with a member of our team today.
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