Using ClearNow or ACH
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Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 10:28 AM
       Using ClearNow or ACH (by Jason [VA]) Feb 13, 2022 10:34 AM
       Using ClearNow or ACH (by wmh [NC]) Feb 13, 2022 10:47 AM
       Using ClearNow or ACH (by LeePookie [IN]) Feb 13, 2022 11:15 AM
       Using ClearNow or ACH (by 6x6 [TN]) Feb 13, 2022 11:18 AM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 11:28 AM
       Using ClearNow or ACH (by Jason [VA]) Feb 13, 2022 11:29 AM
       Using ClearNow or ACH (by Robert J [CA]) Feb 13, 2022 11:36 AM
       Using ClearNow or ACH (by Jason [VA]) Feb 13, 2022 11:37 AM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 12:19 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 12:23 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 1:05 PM
       Using ClearNow or ACH (by WL [CA]) Feb 13, 2022 1:14 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 1:15 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 1:38 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 2:12 PM
       Using ClearNow or ACH (by Jason [VA]) Feb 13, 2022 2:14 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 2:49 PM
       Using ClearNow or ACH (by Jeffrey [VA]) Feb 13, 2022 2:50 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 2:50 PM
       Using ClearNow or ACH (by Robin [WI]) Feb 13, 2022 3:07 PM
       Using ClearNow or ACH (by Jeffrey [VA]) Feb 13, 2022 3:36 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 3:40 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 3:41 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 3:51 PM
       Using ClearNow or ACH (by 6x6 [TN]) Feb 13, 2022 3:58 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 4:14 PM
       Using ClearNow or ACH (by Sisco [MO]) Feb 13, 2022 4:34 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 4:50 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 5:21 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 5:24 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 5:25 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 5:39 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 5:57 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 5:58 PM
       Using ClearNow or ACH (by Sisco [MO]) Feb 13, 2022 5:58 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 6:04 PM
       Using ClearNow or ACH (by Ken [NY]) Feb 13, 2022 6:05 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 6:15 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 6:15 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 6:16 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 6:23 PM
       Using ClearNow or ACH (by 6x6 [TN]) Feb 13, 2022 6:29 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 6:31 PM
       Using ClearNow or ACH (by 6x6 [TN]) Feb 13, 2022 6:51 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 7:11 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 7:14 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 7:16 PM
       Using ClearNow or ACH (by Jeffrey [VA]) Feb 13, 2022 7:17 PM
       Using ClearNow or ACH (by LisaFL [FL]) Feb 13, 2022 7:42 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 7:45 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 8:06 PM
       Using ClearNow or ACH (by ned [AL]) Feb 13, 2022 8:43 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 8:46 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 8:48 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 9:38 PM
       Using ClearNow or ACH (by NE [PA]) Feb 13, 2022 9:51 PM
       Using ClearNow or ACH (by LisaFL [FL]) Feb 13, 2022 10:30 PM
       Using ClearNow or ACH (by Otis [IL]) Feb 13, 2022 11:23 PM
       Using ClearNow or ACH (by Otis [IL]) Feb 13, 2022 11:25 PM
       Using ClearNow or ACH (by Roy [AL]) Feb 13, 2022 11:41 PM
       Using ClearNow or ACH (by Still Learning [NH]) Feb 14, 2022 1:18 AM
       Using ClearNow or ACH (by Jason [VA]) Feb 14, 2022 7:42 AM
       Using ClearNow or ACH (by WMH [NC]) Feb 14, 2022 8:29 AM
       Using ClearNow or ACH (by NE [PA]) Feb 14, 2022 8:56 AM
       Using ClearNow or ACH (by WMH [NC]) Feb 14, 2022 9:04 AM
       Using ClearNow or ACH (by NE [PA]) Feb 14, 2022 9:08 AM
       Using ClearNow or ACH (by Roy [AL]) Feb 14, 2022 9:33 AM
       Using ClearNow or ACH (by Jason [VA]) Feb 14, 2022 10:16 AM
       Using ClearNow or ACH (by Jeffrey [VA]) Feb 14, 2022 10:46 AM
       Using ClearNow or ACH (by Ken [NY]) Feb 14, 2022 2:22 PM
       Using ClearNow or ACH (by LisaFL [FL]) Feb 14, 2022 2:50 PM
       Using ClearNow or ACH (by Ray-N-Pa [PA]) Feb 14, 2022 3:23 PM
       Using ClearNow or ACH (by Ray-N-Pa [PA]) Feb 14, 2022 3:25 PM
       Using ClearNow or ACH (by S i d [MO]) Feb 14, 2022 3:54 PM
       Using ClearNow or ACH (by GKARL [PA]) Feb 14, 2022 4:11 PM
       Using ClearNow or ACH (by Paulio [PA]) Feb 14, 2022 4:14 PM
       Using ClearNow or ACH (by Dodge [PA]) Feb 14, 2022 7:05 PM
       Using ClearNow or ACH (by Bonanza [NC]) Feb 14, 2022 7:32 PM
       Using ClearNow or ACH (by Still Learning [NH]) Feb 15, 2022 2:37 PM


Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 10:28 AM
Message:

I don't really know how many LL's here actually use ClearNow or some other type 'auto-drafting' service where the rent money is taken from the tenant's bank account on a certain day. For any auto-drafting service to work effectively, the tenant has to have the money in their account on 'drafting day'. When the money is not there on drafting day,...you have a problem to deal with.

Two simple questions: everyone here that has uses ClearNow, ACH or some other type of auto-drafting service,...are you happy with that service? Does auto-drafting work like a charm every single month with every tenant you have?

I am going to start using ClearNow with my new tenants but I want to know the inside story that you only get from LL's who have used auto-drafting for at least 1 year. --71.207.xxx.x




Using ClearNow or ACH (by Jason [VA]) Posted on: Feb 13, 2022 10:34 AM
Message:

Iím using it and will never go back to sitting in a bankís drive through line. The time saved is well worth the ACH fee to me. Iíve had one payment fail in the past four years and I handled it like any other no pay. --172.56.x.xxx




Using ClearNow or ACH (by wmh [NC]) Posted on: Feb 13, 2022 10:47 AM
Message:

I checked into "real" ACH handled by the bank itself, and MOG was that expensive and complicated. It's for giant accounts, not littles like me. The Treasury Department gets involved.

So that's why services like Clearnow came into being. Guess they are large enough to do it!

I don't use Clearnow, but I may at some point. Right now all tenants still pay rent direct, but they use electronic services to do so. Zelle, Venmo, Cash App. --50.82.xxx.xxx




Using ClearNow or ACH (by LeePookie [IN]) Posted on: Feb 13, 2022 11:15 AM
Message:

To paraphrase Brad's wifey, "we print money" Around 70% of our customer use auto draft. the 30% or so that don't have been with us so long that they still take it to the bank.

We use a regional bank services. It isn't that expensive for us. Worth every penny. When one bounces every now and then. We charge the normal bounce check fee. Resident cleans up their act and we move on.

It has been one of the game changers we have learned here and at the convention.

Weekly, every 2 weeks or monthly it works well. the younger tenants really do prefer it.

I get it Roy, some residents don't have bank accounts. Wood forest around here is pretty good for our class C's. Also Credit Karma has a bank through a legit bank (can't remember which one)

The ones that resist it, we move on from them. It is a requirement now.

--96.31.xxx.xxx




Using ClearNow or ACH (by 6x6 [TN]) Posted on: Feb 13, 2022 11:18 AM
Message:

I thought auto bill pay worked out pretty good as well but you still get a check, but it comes from their bank. --73.120.xx.xxx




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 11:28 AM
Message:

I think Iíve been using it for 10 years now. I think my first convention was 2012 and thatís when I started.

Hereís me if incoming tenants donít sign up for it:

h t t p s ://m.youtube. C o m /watch?v=3xYXUeSmb-Y --24.152.xxx.xx




Using ClearNow or ACH (by Jason [VA]) Posted on: Feb 13, 2022 11:29 AM
Message:

Regarding your statement "I am going to start using ClearNow with my new tenants", what I've done to get ALL of my tenants enrolled is this: Whenever I would send out a rent increase letter to the few tenants that weren't already enrolled, I'd say "your monthly rent increase is going to be ($n) per month. However, if you enroll in Clearnow, the rent increase will only be (half of $n) per month." That made their decision easy. I provided all of the registration documentation with that letter and away they went. --73.177.xxx.xx




Using ClearNow or ACH (by Robert J [CA]) Posted on: Feb 13, 2022 11:36 AM
Message:

I'm not a fan of using a 3rd party getting rents sent from my tenants to myself, their landlord. While some services are necessary when tenants have limited banking history. But when my tenants "rent" fails to make it into my hands or my bank, I have zero liability or responsibility in dealing with a "lost payment".

For example one tenant has a brokerage account with automatic monthly checks generated and sent to my home. Around once every two years a payment get's lost, really never sent. It could be because it was a leap year or some other bank glitch.

Another dozen tenants use an Global Transfer from their account to mine. That works well most of the time.

One third party sender take the funds, hold them for a day or two then send them to my bank. They filed for bankruptcy after taking the funds from my tenant and never sent it to me. So my tenant proved it was taken and therefore they are not responsible for re-payment. --47.155.xx.xxx




Using ClearNow or ACH (by Jason [VA]) Posted on: Feb 13, 2022 11:37 AM
Message:

Also, if you're interested they have a refer a friend program. If you use mine, we'd both get two months free. Email me your email address if you're interested. My throwaway email address is: r v a riverlife 4 me at gmail dot com, no spaces. --73.177.xxx.xx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 12:19 PM
Message:

Thanks for all of the responses and keep them coming. This is post is getting interesting now.

Is there any type of tenant where auto-drafting would not work well with? Example: tenants who avoid banks and pay all of their monthly expenses with cash? (My handyman does this).

Does auto-drafting work best with tenants who have bank accounts and their W-2 paycheck is direct deposited into that account on the same day of every month? If someone only receives S.S. retirement benefits, can those be auto-drafted too? You can't garnish them but can you auto-draft them? --71.207.xxx.x




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 12:23 PM
Message:

Come on Roy, you set the parameters here. Any tenant that auto draft rent does not work well with, does not become your tenant. Itís part of the process. They bend to you, you do not bend to them.

Tighter screening and great processes on the landlords side, eliminates excuses on the tenants side.

Donít overthink it and stop second-guessing it. Make it a part of your process and just check the box as you go along. --24.152.xxx.xx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 1:05 PM
Message:

NE,

For the last 12 years, I have trained my tenants to visit my bank (WF) once a month and make a direct deposit into my 'tenant only' account. I even have bank printed deposit slips that I give to the tenants just for this purpose. This direct deposit system has worked fairly well over the years. It has eliminated all of the mailed money orders and the entire snail mail post office for that matter. It is not a perfect system and there are some kinks in it, but overall it has worked fairly well for me in the last 12 years.

What I want to know now is, if I converted all of my currents tenants to Clearnow, would I have to spend more or less time in dealing with the kinks of the Clearnow system. Clearnow is not a perfect system and it does have kinks. This post is intended is learn what are the 'kinks of the Clearnow system.' --71.207.xxx.x




Using ClearNow or ACH (by WL [CA]) Posted on: Feb 13, 2022 1:14 PM
Message:

Suggest you use the system I learned here several years ago - set up a separate checking account for each rental unit and have the Clearnow or T deposit only into that account for his unit. Simplifies identifying who has not paid yet and has saved me all kinds of headaches when applying for the ERAP funds. Simply printout all deposits made by the T, then email to the case worker - shows full or partial rent deposits with the deposit date. Credit Unions often will let you set up these checking accounts for no monthly charge. --174.65.x.xxx




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 1:15 PM
Message:

What kinks? I see no kinks in the Clearnow system. Your rent collection being dependent upon your tenants getting their butts in the car and driving to the bank to deposit your pre-filled out deposit slip is a huge kink. I couldnít even imagine renting to a tenant and having that has a variable part of the rent collection process.

I think you resist change when it comes to automating your business. --24.152.xxx.xx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 1:38 PM
Message:

NE,

I resist change to a lot of things. I still use a flip phone and a landline phone because it WORKS FOR ME. Just because Clearnow works for you, does not mean it will work for me or anyone else.

And if Clearnow was as great as you say, then why doesn't every LL use it? Half of the LL's in my town, still collect their rents in person! They drive around with a shoe box in their car or have the tenant drive to their primary residence. --71.207.xxx.x




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 2:12 PM
Message:

Most landlords are dinosaurs and resist change. --24.152.xxx.xx




Using ClearNow or ACH (by Jason [VA]) Posted on: Feb 13, 2022 2:14 PM
Message:

Drive around with a shoe box in their car...what could go wrong? --73.177.xxx.xx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 2:49 PM
Message:

NE,

On occasion, I do counsel newbie LL's. One piece of advice I give them is to find a 'system' that works for you and stick with it. This advice applies to buying rental properties (A,B, C D & F) and the management of those properties. People always want to know why I only buy Class C and D houses and it is because C & D properties are the only ones that will make me wealthy in the shortest period of time. I have developed a 'system' in doing this and I keep repeating that system over and over.

So, I guess I am a dinosaur. I can make changes to my system, but I will only do that if I think the 'show is worth the price of admission.'

--71.207.xxx.x




Using ClearNow or ACH (by Jeffrey [VA]) Posted on: Feb 13, 2022 2:50 PM
Message:

Roy, if you try Clearnow, since they are a sponsor of this site, let them know you heard about them through MrLandlord.com and you will get to use the service for free for the first three months. --70.161.xxx.xxx




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 2:50 PM
Message:

So when are you improving your system by switching to Clearnow? --24.152.xxx.xx




Using ClearNow or ACH (by Robin [WI]) Posted on: Feb 13, 2022 3:07 PM
Message:

I tried ClearNow. I know it works for many, but here's why I stopped:

--Not enough flexibility in draft day. I wanted to set it up for the dates that worked for my tenants. ClearNow only had a few days per month that they made the transfers.

--Too expensive. ClearNow charged a fee for each "draft day" plus a fee per property. This was a while back, but it worked out to about $30 per property per month.

--Not really any better. If a tenant wasn't going to have the money, they weren't going to have the money, whether it was to send via Zelle or ClearNow or anything else.

That was my experience. YMMV. --104.230.xxx.xx




Using ClearNow or ACH (by Jeffrey [VA]) Posted on: Feb 13, 2022 3:36 PM
Message:

Roy, just so you know, in no way do the fees Clearnow charges come anywhere near $30 per month. That has never been the case. They have had the same fee structure since they started. You can see the price structure if you go to directrentdeposits.com. They charge a fee for the first property (and only the first property) for residents who pay once a month. After that there is a small $2.00 transaction fee per draft. If you have 2 or 3 residents your charge is no more than $8 per resident per month on average. And the average price per resident goes only goes down from there. --70.161.xxx.xxx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 3:40 PM
Message:

Jeffrey,

I have one vacancy now and with my next tenant I do plan to introduce Clearnow to them. I hope it works out. Do you know if Clearnow can draw from a debit card? Bank checking accounts are old fashioned and only dinosaurs still use them, but I do remember that Clearnow's min. requirement was a checking account.

I still have tenants who pay with money orders, but those are direct deposited to my account now instead of snail mailed.

Let says my next tenant uses an Online bank that no one has ever heard of. Can Clearnow access that tenant's online bank for a withdrawl? --71.207.xxx.x




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 3:41 PM
Message:

As Jeffrey says, the costs are minuscule. Donít let it be a tripping over dollars to pick up pennies situation. Youíre going to spend more in time and gas running around picking up rents or checking your account several times a day for several days to see if the deposit has been made, than you are by simply paying the processing fee for Clearnow. --24.152.xxx.xx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 3:51 PM
Message:

Thank-you Robin in WI !!!

You have given me some very worthwhile information about Clearnow that tells me what their 'kinks' are,...'not being flexible in the drafting dates'. If a tenant get their SS on the 25th of the month, can I make that the drafting date? Or can only Clearnow pick the drafting dates? These are some of the kinks in the Clearnow system. I now want to know more.

--71.207.xxx.x




Using ClearNow or ACH (by 6x6 [TN]) Posted on: Feb 13, 2022 3:58 PM
Message:

Roy, I have never heard of SS paying on the 25th?

--73.120.xx.xxx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 4:14 PM
Message:

NE,

Checking my online banking account for rent deposits is one of the highlights of my day. I do not carry a shoe box in my car nor do I have tenants deliver cash/money orders/checks to my house when they get off work at 3:00a.m. Everything is done by direct deposit now and I will attempt to use Clearnow with my next tenant.

However, I will not turn down a good applicant/tenant if they do not want Clearnow drafting their account. Personally, I would not allow anyone to auto-draft me if I was a tenant. --71.207.xxx.x




Using ClearNow or ACH (by Sisco [MO]) Posted on: Feb 13, 2022 4:34 PM
Message:

Roy, would you rent to someone exactly like yourself? The LL is in charge, since someone exactly like you would not accept that the LL is in charge, and refused ACH payment, they would certainly be difficult to deal with in other respects as well.

A prospect who refuses ACH payment should be rejected. They are at least uncooperative.

--149.76.xxx.xxx




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 4:50 PM
Message:

Roy, are you looking to improve rent collection or no? Have you even visited the website? --24.152.xxx.xx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 5:21 PM
Message:

Sisco,

If an applicant was just like me, with Assets and a Fico score of 835, I would rent to them with no questions asked. As a tenant, I would agree to direct deposit but not auto-draft. Any LL would be a total fool to DQ my application just because I refused auto-drafting.

NE - Yes, I visited the Clearnow website about a month ago. Is it still $14.95 for the first draft? --71.207.xxx.x




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 5:24 PM
Message:

I donít know the price. I havenít looked in 10 years. You need to borrow $15 for the first month?

Your not thinking like a tenant. SOÖMANYÖ.PEOPLE pay bills autodraft. Why are you so hung up on not agreeing to it if you were a tenant?

I would disqualify an approved tenant instantly if they didnít sign up for Clearnow. Iím not changing my system just for them. Screw that. You just gave away a bit of your control. --24.152.xxx.xx




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 5:25 PM
Message:

Make it a part of your screening and you might now be post 5 pay or quit notices next month. --24.152.xxx.xx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 5:39 PM
Message:

Another Clearnow question,..if your tenants are on bi-monthly rent payments, 1/2 rent due on the 1st and the balance on the 15th, does Clearnow charge $14.95 for drawing on the 1st and another $14.95 hit on the 15th just to collect 1 full month's rent?

There are a lot of big name LLs here who just love it when all of their tenants are on bi-monthly or tri-monthly rent payments. What is $14.95 times 3 draws per month per tenant? Chew on that for awhile NE.

6x6- I use to have a tenant who got her SS check in the 3rd week of every month,..maybe not the 25th but on Thursday in the 3rd week of every month. --71.207.xxx.x




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 5:57 PM
Message:

Iím not chewing on anything, because Iím not hung up on a processing fee. The more units you can add, the cheaper it gets. If your income equals $250 or more over the course of a year, thatís way more money lost driving around and posting doors that it is in a processing fee. Youíre definitely tripping over dollars to pick up pennies. Donít do that. --24.152.xxx.xx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 5:58 PM
Message:

NE,

I have seen what happens when some auto-drafting companies get 'greedy' and take more money from someone's account than just the monthly payment. In addition, recently I was watching a Dave Ramsey YouTube video and I heard him mention the same thing about some auto-drafting companies getting 'greedy' and cleaning out someone's bank account. My neighbor down the street got her checking account robbed of $1,000.00 by her satellite dish company because she did not return her satellite cable box by the company's due date. --71.207.xxx.x




Using ClearNow or ACH (by Sisco [MO]) Posted on: Feb 13, 2022 5:58 PM
Message:

Roy, you set the terms dealing with your business. Your tenants and prospective tenants do not.

I value the level of cooperativeness more than you do. --149.76.xxx.xxx




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 6:04 PM
Message:

Nonsense Roy. Youíre setting roadblocks up for yourself.

Why do you make posts like this so often? This is a good thread and youíre getting great responses, yet you never adapt any of it into your system and fight the advice. Why do you do that? --24.152.xxx.xx




Using ClearNow or ACH (by Ken [NY]) Posted on: Feb 13, 2022 6:05 PM
Message:

I gree with Roy,I would not allow auto draft for anything,too many problems.I would not rent to someon like myself,i am used to being in charge and dont want any tenants who think they are in charge.I am concerned about doing auto draft because a couple years ago one of the auto draft companies collected all the rents and never sent it to the landlords,how many here could loose an entire months rent collection and not be affected? --72.231.xxx.xxx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 6:15 PM
Message:

NE,

I don't have all night to argue with you. I wish some other LL's would respond to this post,...especially if your tenants are bi-monthly and you use ClearNow. Is it $14.95 times 2 draws per month or (4) times $14.95 draws per month for weekly rent payers?

And my final question for the night,...if you are not using Clearnow, what is YOUR REASON? Robin of WI gave me her reason, so what is yours?

--71.207.xxx.x




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 6:15 PM
Message:

Autodraft is going to become more and more common as time goes forward. No doubt. My garbage man auto drafts their payment from me.

Roy think about it like this. With this one move, you potentially streamline and improve many facets of your business. #1 screening. If they are set up in life to where they can set up auto draft right from the jump, they manage their banking better than most. #2, youíre not running around collecting checks anymore. That puts you ahead of many other landlords. #3, you have bookkeeping automatically set up for you within clearnow that you can reference. #4, itís another screening tool which cuts out the people who wonít do this. #5. You can sell this because it builds tenants credit. They can use their rent payments towards credit score. Tenants love this when I told him.

Youíre hung up on using it as a screening tool to get better tenants because youíre worried about the people who get their Social Security checks and canít pay via Clearnow on the 25th. Well then cut them out of your pool. And if thatís all those properties will draw and youíre worried about it, sell those properties. Or if itís a debit card and youíre worried about the debit card, set up Square invoicing on the 25th and have it repeat every month.

Driving around knocking on doors itís just antiquated. You also need to remember that a lot of tenants donít like writing checks. Itís a pain to go get stamps, itís a pain to get envelopes. Then if they donít have those on hand, they have to go out and get them. All of those variables lead to potentially late rents. You need to remove all the excuses that you can. --24.152.xxx.xx




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 6:16 PM
Message:

Roy, I think you just make posts to make posts. I donít think youíre ever really looking for solutions to problems. You never seem to want to take the advice. Why waste peoples time? --24.152.xxx.xx




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 6:23 PM
Message:

Also, I just looked, my bi-weekly autodraft was $16 for just over $1300 drafted, so just over 1%. Most of my tenants pay on the first, very few bi-weekly. And guess what, the bi-weekly ones are all low end units. So, you have to take into consideration that youíre getting an extra month every year in rent also. Still worried about the processing fee? How much have rents went up the last 2 years? 20-30%? --24.152.xxx.xx




Using ClearNow or ACH (by 6x6 [TN]) Posted on: Feb 13, 2022 6:29 PM
Message:

Roy, you can probably call Clearnow and ask them about how their charges work.

That said, I am with you and Ken in that I would not want my rent or anything autodrafted and for the same reasons. I guess I wouldn't rent to myself either?

Truth be told, there might be a lot of LL's on here that would not pay rent autodraft. On the other hand, that is what everything is going to because it works. It works for the companies because people don't think about what they are paying when it is autodrafted. It is the generation thing. I don't like it. --73.120.xx.xxx




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 6:31 PM
Message:

Those debit cards can be hijacked just as easily. Probably happens more often than autodraft. --24.152.xxx.xx




Using ClearNow or ACH (by 6x6 [TN]) Posted on: Feb 13, 2022 6:51 PM
Message:

NE made a good argument. Now I'm thinking again. --73.120.xx.xxx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 7:11 PM
Message:

NE,

I make posts here for 1 reason,...in an attempt to have some degree of intelligent conversation with multiple (at least 5) landlords. I am not like most posters here who come here with a problem and expect someone else to solve it for me. And it seems to irritate you that I am not like most other posters here. If my postings (or replies) irritate you just because I don't follow your sage advice, then don't respond them!!! I hope that somebody else will and in the process maybe we can have an online roundtable discussion about any LL topic I post about. I want to consider all points of view from multiple LL's here before making a final decision on Clearnow. You have stated your Clearnow position very well here but now I just want to hear from other LL's and that seems to irritate you that I am not taking just your recommendation.

My only problem with you is that you want to monopolize every post of mine with your "Mr. Know It All" attitude and it seems to irritate you when another LL forms an opinion that is different than yours. In the past, I have taken advice from well meaning LLs here and when I applied that advice to my own tenants, it turned to be a total disaster.

(Bi-monthly rent is what I am referring to). This is the reason I want multiple opinions on any topic I post here,...not just yours. --71.207.xxx.x




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 7:14 PM
Message:

Roy, my problem with you mainly is that you are seasoned, yet continuously repeat rookie mistakes. You even have the big guy in on this post and other very good landlords telling you to move forward with Clearnow and youíre fighting it. How many more landlords do you need to hear from? --24.152.xxx.xx




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 7:16 PM
Message:

This is reason 1,962 why we need a rating system. Thumbs up to good responses, thumbs down the bad ones. --24.152.xxx.xx




Using ClearNow or ACH (by Jeffrey [VA]) Posted on: Feb 13, 2022 7:17 PM
Message:

Roy, to answer one of your last questions: If your tenants are bi-monthly and you use ClearNow, is it $14.95 times 2 draws per month? No, your semi-monthly draws/debits are only $4 for each rent payment times 2 for a total of $8 for the month. By the way if you take just a couple of minutes to look at the page I suggested, the answer to your question and more is right on there. --70.161.xxx.xxx




Using ClearNow or ACH (by LisaFL [FL]) Posted on: Feb 13, 2022 7:42 PM
Message:

I think Jeffery answered this but I will too. I have been using Clearnow and only Clearnow since 2005. I have been completely satisfied with their service.

It is required to rent from me. Never have I had a tenant balk and most are thrilled that I use auto draft.

Cost is $14.95 for the first draft if you draft once a month and $2 for every other draft. . I draft on the 1st.

So if you have 10 tenants drafted on the 1st the cost is $14.95 plus $18 (9 x 2) = $32.95.

I also have two people who pay twice a month. They are not charged the $14.95 fee (I assume because Iím already paying it) but their drafts are $4 each for each draft or $8 per month per tenant.

Customer service is great. Last tenant who needed a payment history to show her new landlord was thrilled I could easily print out her record and it was from a bonefide rent draft service.

I have owner financed a few properties and I use Clearnow for the loan payments as well. Best decision ever to use Clearnow. --75.89.xxx.xxx




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 7:45 PM
Message:

Good point Lisa, I have an owner financed property collected with Clearnow also. Reported to buyers credit. Win-win --24.152.xxx.xx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 8:06 PM
Message:

Thanks Jeffrey and Lisa for clearing up that misunderstanding and confusion about bi-monthly rent payers. I am now going to check out that website Jeffrey mentioned. --71.207.xxx.x




Using ClearNow or ACH (by ned [AL]) Posted on: Feb 13, 2022 8:43 PM
Message:

For those of you who use ClearNow...and have a bunch of C class... how would you implement? Knowing that some of them are likely unbanked.

Over time? Just as they turn?

Wait for rent increase time and instead of $40 rent increase...only $20 if they do ClearNow?

Or, simply set a timeframe (say 4 months) that they have to get setup with ClearNow or move out?

--70.92.xx.xx




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 8:46 PM
Message:

Roy, You might not like me or my delivery , but Iím not a know-it-all by any means. However, I am a sponge for new info and I will give almost all new ideas a try. I tried clear now and the self rent raise letters. Both great changes to my business to name a few. I switched from quickbooks to Buildium, disaster for my business. I tried Latchel, another disaster. I tried tenant Turner, that was not only business changing, but a LIFE CHANGING decision.

Of course Iím going to push what Iíve found to be good choices hard onto anyone who is looking to improve.

And I donít even get paid for it! --24.152.xxx.xx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 8:48 PM
Message:

Jeffrey,

I have read the Mr. LL/directrentdeposit page and the ClearNow website also. I understand the fees now. However, the Clearnow website said all rents drafted on the 1st,...will be deposited in the LL's account 3 days later,...which I assume means on the 4th day of each month. Does this mean that all rents that I collect now on the 1st (via direct bank deposit) I will then have to wait till the 4th day to collect via ClearNow? --71.207.xxx.x




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 9:38 PM
Message:

NE,

It is not you, but your delivery! All fricking afternoon you have been waving the Clearnow Memorial Flag like it was the greatest thing in rent collection in all of rental history. I was beginning to think that who ever owns Clearnow had paid you to come here and preach to me all afternoon about how great and wonderful Clearnow is!

I am going to try out Clearnow with my next tenant. It will either work out great or not work,... if the rent money is not where it should be on the 1st. Clearnow's website said if the 1st draft fails, there will not be a 2nd draft attempt that day,...you the LL will have to collect from your tenant by some other means.

--71.207.xxx.x




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 13, 2022 9:51 PM
Message:

It is the greatest thing in MY history of rent collection. --24.152.xxx.xx




Using ClearNow or ACH (by LisaFL [FL]) Posted on: Feb 13, 2022 10:30 PM
Message:

Roy,

I agree with NE, using Clearnow as my only means of rent collection it is one of my greatest decisions ever as well.

If their draft ďfailsĒ you do have to collect from them directly.

I have a separate bank account for mostly rental stuff and I require they make the deposit themselves directly, including late fees or my ďpaying outside of Clearnow feeĒ. I charge a fee for paying outside of Clearnow even if the rent is paid on the first but they turned off their draft which they can do.

I have had people who have money turn it off over fear of something not clearing on time and wanting to be sure they have no over draft. Not often but with several dozen properties over 16-17 years it has happened.

My lease also indicates Clearnow is required. And if there are 2 or more ďfailedĒ or ďturned offĒ drafts in a six month period the lease is subject to termination. Because whatís the point if youíre not using it properly?

I have had very few issues with people turning off the draft or it flat out failing. And itís always only the same one or two. I give them a warning and the problem gets solved. In one case the tenant opted to switch to twice a month drafts which they seem to manage better.

Tenants can opt in the credit reporting with Clearnow as well. Several of my tenants use that feature to build their credit.

Since Covid started I have had not a single failed or turned off draft. In this market they are all on their best behavior.

--75.89.xxx.xxx




Using ClearNow or ACH (by Otis [IL]) Posted on: Feb 13, 2022 11:23 PM
Message:

I use a company called Rentec Direct. I have 24 units and it is $35/month to use their software. I donít use the expense tracking side of their software, I only use it for the ACH rent collecting.

As long as a tenant links their ACH payment to a bank account, there is no charge for the draft. If they pay with a debit or credit card it charges the tenant a small fee.

Their cost is on a sliding scale by how many units you have. That $35 I pay per month is for both the expense tracking software and also for all ACHís. You can set it up to where it draws once a month, bi weekly or weekly. --24.245.xx.xxx




Using ClearNow or ACH (by Otis [IL]) Posted on: Feb 13, 2022 11:25 PM
Message:

Also going forward any tenant that does not want to do ACH, that is fine but it will be another $10/payment for dropping the money off at the bank. That will help defray the software cost and also add a little more profit to the bottom line. --24.245.xx.xxx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 13, 2022 11:41 PM
Message:

Lisa,

On all of your 1st day drafts, does Clearnow wait 3 days and then make your deposit on the 4th? And if the 4th is on a Saturday or Sunday when your bank is closed, what happens then?

I am going to call Clearnow in the morning in hopes of getting answers to all of the questions I can't seem to get answered here. Obviously some LL's here love Clearnow but not many here seem to know that much about them other than what they do. I do know I have mentioned Clearnow to 2 bank managers at 2 different local banks and they have never even heard of Clearnow. Their typical response was,...'Clearnow must be one of those Internet only banks'

--71.207.xxx.x




Using ClearNow or ACH (by Still Learning [NH]) Posted on: Feb 14, 2022 1:18 AM
Message:

Roy, I have not made the switch because around the time I was going to that one company swept all rents and went bankrupt before paying the landlords. I also didnít want to wait too many days before receiving the money since so had mortgage payments due early in the month (now I am down to one and have more money in the operating account so itís not an issue). Instead I set up a deposit only account and gave tenants the routing and bank account information for online payments at no cost to me. Unfortunately some banks still send a paper check instead of direct depositing. So far it is working for me, but this month and next month, my sister is going to the PO Box and making the deposit for me since I will be traveling. It might be time for me to look at it again. --76.89.xx.xx




Using ClearNow or ACH (by Jason [VA]) Posted on: Feb 14, 2022 7:42 AM
Message:

Roy, it varies month by month. They let you know what each date will be with monthly emails:

IMPORTANT DATES FOR UPCOMING DEBIT(S):

The deadlines for the debit(s) on Mar 1, 2022 are:

To change rent amounts - 12:00pm (noon) Eastern Time Feb 19, 2022.

To submit complete enrollment materials for a new tenant - 5:00pm Eastern Time Feb 18, 2022.

To finalize a tenant enrollment - 12:00PM (noon) Eastern Time Feb 21, 2022.

To update an expired lease-end date - 12:00PM (noon) Eastern Time Feb 21, 2022.

To unenroll a tenant or block a debit - 12:00PM (noon) Eastern Time Feb 28, 2022.

When rents will have cleared and your bank account will be credited - Mar 4, 2022.

To print a blank Tenant Enrollment Agreement, click here.

TENANT LEASE EXPIRATION(S):

The following tenant(s) have an expired or upcoming lease-end date: --50.202.xxx.xx




Using ClearNow or ACH (by WMH [NC]) Posted on: Feb 14, 2022 8:29 AM
Message:

The only place I have heard of Clearnow is here.

Although I trust Jeffrey and his long-time sponsors, I too remember the rent company (NOT a sponsor) that went bankrupt overnight and disappeared with everyone's rent. It wasn't that long ago.

I guess that's why I haven't put all of my apples in one basket yet. I get my rents paid electronically but from several different companies. --50.82.xxx.xxx




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 14, 2022 8:56 AM
Message:

Whatever happened with the company that didnít forward the landlords rents? Did the fact checkers ever fact check that story? Because it wasnít talked much about after it was posted here one or two times. --24.152.xxx.xx




Using ClearNow or ACH (by WMH [NC]) Posted on: Feb 14, 2022 9:04 AM
Message:

An article about it:

Google

/landlords-missing-tenant-payments-company-bankruptcy/ --50.82.xxx.xxx




Using ClearNow or ACH (by NE [PA]) Posted on: Feb 14, 2022 9:08 AM
Message:

Iíll have to read it later. What did all the tenants do in that situation? --24.152.xxx.xx




Using ClearNow or ACH (by Roy [AL]) Posted on: Feb 14, 2022 9:33 AM
Message:

Any 3rd party company that may handle my rents, I will check that company out backwards and forward. It is called Due-Diligence. I need to first make sure they are based in U.S. When I call their number and if the person who answers is speaking broken English with an Indian accent,..that tells me all I need to know. If my call goes straight to voice-mail, the game is over right then.

My big question is: why do they hold all rents for 3 days? If 80% of my rents are paid by the 3rd,..then why I do need Clearnow to pay me on the 4th? --71.207.xxx.x




Using ClearNow or ACH (by Jason [VA]) Posted on: Feb 14, 2022 10:16 AM
Message:

ď If 80% of my rents are paid by the 3rd,..then why I do need Clearnow to pay me on the 4th?Ē

You donít. Keep doing things your way. Why waste everyoneís time asking questions when youíre just going to rebut any input you receive? --50.202.xxx.xx




Using ClearNow or ACH (by Jeffrey [VA]) Posted on: Feb 14, 2022 10:46 AM
Message:

Jason, the questions Roy brings up are valid questions. I believe many of his questions have actually already been answered. However, one of the main purposes of this site is to ask questions and receive feedback, so I surely do not knock him for asking questions. People process information differently which I understand, so it is never a waste of time for people to ask questions and to even rebut some of the feedback. This forum would not continue to exist if people do not feel comfortable to ask any landlord related questions.

Questions were asked about another rent collection company that had problems. According to their own current website, it states: "In October 2017, we switched to direct ACH processing... after encountering payment issues with our former third-party payment processor. We no longer use a third-party payment processor to ensure a similar issue does not occur again."

Just so you know, Clearnow (the sponsor on this site) does not use a third party processor so as to ensure that they do not have those same issues. --70.161.xxx.xxx




Using ClearNow or ACH (by Ken [NY]) Posted on: Feb 14, 2022 2:22 PM
Message:

Roy,they hold it for 3 days for 2 reasons. number 1 to be sure it doesnt bounce back the next day, number 2 to get the interest off millions of dollars for 3 days --72.231.xxx.xxx




Using ClearNow or ACH (by LisaFL [FL]) Posted on: Feb 14, 2022 2:50 PM
Message:

--75.89.xxx.xxx




Using ClearNow or ACH (by Ray-N-Pa [PA]) Posted on: Feb 14, 2022 3:23 PM
Message:

If a tenant does not have the money they can always freeze that transaction using Clear Now . The money will not get posted to your account.

Now that isn't good news - but the good news that goes with it - is you are finding out about this the day it happens. This is an alarm bell that tells you to get off your butt and deliver the notice today that there is a non-payment in progress.

--24.101.xxx.xxx




Using ClearNow or ACH (by Ray-N-Pa [PA]) Posted on: Feb 14, 2022 3:25 PM
Message:

The huge benefit I have with my RTO residents, the payments are getting reported to the credit bureaus. If a tenant has two year history of paying $839 and then $859, will they be able to afford a $700/ month mortgage payment? --24.101.xxx.xxx




Using ClearNow or ACH (by S i d [MO]) Posted on: Feb 14, 2022 3:54 PM
Message:

I'm a bit late to this party, but yes I use ACH for many of the reasons listed above. It offers simplicity, security, scalability, and so much more.

As others have also mentioned, it eliminated the people who don't or won't use banks. I have little use for either. No offense to them personally, but it says something to me about a person who can't or won't use financial services at a bank. Either they can't use a bank because they're too irresponsible and keep bouncing checks or they won't which often means they're cash under the table types who will skip out and then I can't levy their bank account. They probably also cheat on their taxes by not reporting all their income.

My ACH is done thru my local regional bank. I have batches set up for the 1st of the month, the 15th, and every Friday. Each batch costs $7.50 total plus 10 cents per debit. It comes out to about $1.25 per property per month and I have court-admissible evidence of exactly who paid what and when. Plus book keeping is easy!

For bounces, I charge a 10% fee which includes the late charge.

Like LeePookie, I still have a few who trudge to the bank to pay their rent, but soon I'm going to be requiring all residents to get on the bandwagon. It cut my time chasing rents and trying to figure out who paid what and when down to a few minutes a week.

--108.230.xxx.xx




Using ClearNow or ACH (by GKARL [PA]) Posted on: Feb 14, 2022 4:11 PM
Message:

I set up Clear Now on one place as a test and really like it. I plan on converting all tenants to the same system. The fee is a small price to pay for the convenience and efficiency. --209.122.xx.xxx




Using ClearNow or ACH (by Paulio [PA]) Posted on: Feb 14, 2022 4:14 PM
Message:

Also late to the party.... But I just wanted to add that for any bounced ACH transactions I charge a $39 fee AND the late fee. I make sure the tenant knows this as we are setting it up and I remind them that their bank will also likely charge some kind of bounce fee. Anyone whoever bounced an ACH on me only did it once because it was just too painful to continue doing it. --50.107.xxx.xx




Using ClearNow or ACH (by Dodge [PA]) Posted on: Feb 14, 2022 7:05 PM
Message:

Thanks for posting everyone. Interesting read. --174.59.xxx.xxx




Using ClearNow or ACH (by Bonanza [NC]) Posted on: Feb 14, 2022 7:32 PM
Message:

I use clearnow and I like it. The main reason is I don't have to wonder if the tenant is going to pay. They just do. If for some reason they don't, I get an email that says the draft failed and then I contact the tenant.

Roy [AL]) asked "..especially if your tenants are bi-monthly and you use ClearNow. Is it $14.95 times 2 draws per month or (4) times $14.95 draws per month for weekly rent payers?"

Possibly because I have most of my people on 1 time a month payment, my 1 tenant that pays 2 times a month (3rd and 17th) I get charged $4 a pull, so $8 a month for my $1000 in rent.

I still have a few hold outs that pay by check or money order. I hope to transition them via stick and carrot. All new tenants have no choice. They must use clearnow as a condition of renting.

--65.188.xxx.xxx




Using ClearNow or ACH (by Still Learning [NH]) Posted on: Feb 15, 2022 2:37 PM
Message:

Here is a new one for why to use it. Got home from vacation last night and found what I thought was a bounced check notice from my bank. This is my new tenant and the first rent payment that wasnít money orders to get keys. My tenant was shocked when I called today saying they didnít understand since the money was in the bank. At first the tenant thought maybe they used the wrong account since they had closed an account. Then I noticed it read unable to locate account. The tenantís signature dropped below the line and the pen crossed a 6 so the computer reader read it as an 8. This tenant is now moving to online banking for rent payment so we donít repeat that. --75.67.xxx.xxx





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