Direct deposit for rental payments for our apartment. What is it?

Direct deposit is where the money is held out of your pay check and sent to the person whom you list it to be sent to..Done through the bank.

2

Hi there!

I'm in the apartment-renting business, and direct deposit works just like it does with your paycheck (I have my paycheck set up this way, and it's awesome. The money is always there. I never have to go to the bank).

What you do is set it up with your bank and the apartment community. You select a date, in the case of rent it would probably be on the 1st of every month. On that date, the bank would automatically deduct the rent amount from your account and deposit it to your landlord's account.

I personally don't have this option at my community, but I'm sure it's becoming more common. I'm kind of on the fence about it. On the one hand, it's good to not have to worry about always remembering to write a check. On the other hand, what if you don't have the funds immediately available at that very moment? We give a grace period of 5 days where I work.

Is this optional or do you have to use it? It might be a good thing, however, if your landlord has a strict late payment fee.

Good luck to you!

They will probably set something up with you so that your rent gets paid right from your bank account into theirs...so you don't need to write a check to make a payment. Good for anyone who is forgetful or always late with payments, but just be sure to have enough money in your account so that your account doesn't get over drawn.

Some places now also let you make rental payments using your credit card, which is nice if you want to earn airline miles or rewards. When you have to make big payments every month, like rent, the rewards add up quick!

Direct Deposit Rent

This Site Might Help You.

RE:

Direct deposit for rental payments for our apartment. What is it?

My new landlord wants us to do direct deposit for rental payments.

I have never heard of it.

What is that? How is it done?

It means that you deposit your rent money directly into one of their accounts on a monthly basis instead of writing a check.

It is really easy to do (especially if you have the same bank) - all you have to do is go in and set-up an automatic transfer to transfer the money from your account into theirs when rent is due.

If you do not have the same bank, you can set something up with your bank to deposit the funds into their account on a specific day every month. Just go into your bank and tell them you'd like to set up a monthly transfer/deposit into so in so's bank account at this bank.

It is also really easy to set-up if you do online banking. Just check out your bank's website for instructions.

It means that the Rent comes directly out of your bank account every month, and goes into HIS/HER bank account. It's an Electronic Transfer, that gets set up on a certain day. You don't write a check or give him cash. It's a guarantee for your landlord, that you will pay your rent, on time, every month ... IF, of course, you have the money in your bank account! BE CAREFUL! :o)

You would authorize your landlord to be paid directly from your account to his account each month. You would provide your bank's routing number and your account number. You may also want to speak to someone at your bank.

This is pretty normal procedure for many companies. My insurance company is paid monthly from my checking account as is the electric and phone companies. Your part is making sure there is money in that account on the day agreed on with the landlord.

it is an automatic draft every month from your back account to his for the amount of your rent. It is safe, and it has benefits on both ends. He gets his money on rent day, you don't even have to worry about writing a check or anything... just make sure the rent money is there and you're done!

they want a CC and your voided check because they wil attempt to direct draft your checking account which by law they cannot do without a voided check on file. If there is no money in the checking account they will bill your CC. No way in hell would I give anyone that kind of power. and it is not a common practice, and for a fact their request is illegal in most states. do not trust them