I have all of the rooming house tenants depositing rents or using zelle or google pay. My requirements are that deposits be made in cash. I saw a deposit correction posted to the account today and upon calling the bank, it was determined that a tenant deposited a check with the numbers for 330 but wrote out "three hundred & 00/100", so they cleared it for the lesser amount. With this particular bank, I can't see the deposit slip, so I can't determine if they're making deposits by cash or check and would have never known save for this happening. I was wondering if the tenant did this deliberately, but those concerns were allayed by her depositing the shortage. When confronted with it, she tries to tell me she had no time to get cash and when told she can't use zelle or google pay, she "doesn't want her account exposed on the internet" (idiot, your account is already on the internet whether you use it or not). I told her that's fine, but if she doesn't want to use electronic means, you're going to have to inconvenience yourself withdrawing cash and depositing your rent.

I've decided to switch banks so I have access to the deposit slip and will wind up shutting this account down. This was a smaller bank with a branch in proximity to the rooming house, but their technology is lagging with no texting to alert me to deposits. I generally have to go on line to check. The other bank texts me immediately once a deposit is made and I have access to the deposit slip so I can see if it was made in cash. The last time a tenant check bounced on me, I didn't find out until a couple of weeks out, so I can't have them putting in checks and need a way to monitor.

Whatever works for you. For me, I think it is weird to say that you don't accept checks and only take cash for in-person transactions. I mean, I do "cash only" for the first month and S/D, but then I tend to allow tenants to use checks (and then I'd probably stop that if they bounced one, but I haven't had that happen in my 15+ years so far actually).

In this case, it sounds like an honest mistake -- that she corrected right away. I certainly wouldn't make a huge deal about it, tell her that she can't write checks and more, and close the nearer bank to her so that it'll be more difficult for her to even deposit cash next time...

Seems a big move for a small mistake. But, again, whatever works for you.

- John...

I'm at PNC and they allow cash without a problem. I had a business account at my local bank where this tenant made her check deposit and cash hasn't been an issue there either. If they get to that point, the tenants will need to get a money order and then deposit it. I'm not taking checks. I really want them using google pay or Zelle.

My area has had a limit of 500 for about four years now. Perhaps banks had some latitude in when they had to implement this? Dunno....

Strange. It seems legal here in my small town in Missouri.

I agree that it "gets down to the demographics of the tenant base." In MY experience, people that rent rooming houses tend to be towards the bottom when it comes to finances -- and most of the ones I see wouldn't even HAVE a checking account much less be able to do an ACH transfer. I'm kinda impressed that you have one that writes checks.

My lower-end tenants rent decent 2BR units for ~$500/month -- and I'd say at least half of them don't have a checking account. They often pay by getting a money order with cash and then mailing it to me.

So, again, more power to you if you can require ACH and it works for you -- even for a rooming house. It would not work in my area -- because they just don't have checking accounts.

- John...

John:

We provide deposit slips to residents who prefer to pay directly at our bank instead of electronic deposit. Instructions to resident include writing their address on the deposit slip. Some banks, like ours, we can view the deposit slip so we know who made the deposit.

GKARL: Yeah, in my area... Our 2BR/1BA 4-plexes rent for just under $500/month. This is in a smaller town. We have SFHs in the nearby college town and those rent for around $650-$700/month.

- John...

G,

Solved with one word: autodraft.

Gotta tease you - you are complaining about the banks not employing existing technology while using an outdated system of rent collection:)

It’s 2019. Stop waiting and hoping they will drop everything and decide to pay you rather than someone else. TAKE the money from their account.

BRAD