tips to get 50% or more of your residents paying rent online

Tips to Get 50% or More of Your Residents Paying Rent Online

Welcome

Todd Smith – Sr. Manager, Training, AppFolio

Presenters

Approximately 40 MinWebinar Length

Tips to get 50% of more of your residents paying rent online

Content

Jennifer Rapp - Director, Value Added Services, AppFolio

Agenda

• Why Online payments?

• AppFolio Payment Platform

• Overview of Electronic Cash Payments

• Overview of Credit Card for Rent

• Overview of E-Check

• 4 Tips to Drive Online Payments Adoption

Please ask questions anytime!

Use the Questions section

of the GoToWebinar panel

On right of desktop

AppFolio’s Payment Platform

Polling Question

What is your biggest challenge during rent week?

•Extended office hours

•Manual entries

•Multiple bank runs

•Security around cash on hand

•All of the above

Why Online Payments?

Consider an Effortless Rent Week

Now a Complete Payment Platform

AppFolio now provides a variety of online payment options that allow your residents to pay rent 24/7 in

convenient and secure ways!

Payments Platform – Transforms Rent Week

Property Managers

•Streamlined – Rent collection seamlessly integrated

•Efficiency – Reduce operational costs

•Security – Online vs. cash in office, traceable transaction history

•Fast – Improved cash flow

•Free – No additional costs

Tenants

•Choice – Multiple payment options

•Flexibility – Can pay anytime anywhere

•Simplicity – Easy to use

AppFolio E-Check

E-Check: no more paper checks

• Electronic funds transfer from resident’s checking account

• Perfect alternative to paper checks which typically cost your company $2 each to process

• So easy and free = amazing adoption rates

• Saves you time and residents will love the convenience

E-Check – Tenant Experience

Click “Make a Payment” in Portal Select E-Check Option

Enter Payment Details

Enter Account Info

Verify DetailsReceive Confirmation

E-Check – Tenant Experience

AppFolio Credit Cards for Rent

Credit Cards for Rent and Application Fees

• Residents can use a credit/debit card through their online tenant portal

• Easy and Secure

• Free to the PM

• Resident pays the online payment fee based on the amount they are charging on their credit card:

$.01 - $900 $17 Charge

$900.01 - $1250 $27 Charge

$1250.01 - $3000 $37 Charge

CC for Rent – Tenant Experience

Click “Make a Payment” in Portal Select Credit / Debit Card Option

Enter Payment Details Enter Card InfoVerify Details

Receive Confirmation

CC for Rent – Tenant Experience

CC for Rent – Tenant Experience

AppFolio Electronic Cash Payments (ECP)

ECP: No more cash or money orders

• 24% of U.S. families use cash or money order to pay rent.

• Residents can avoid having to go to your office to pay.

• Secure way to pay rent from convenient 7-Eleven and ACE Cash Express locations.

• Your staff can avoid manual data entry and eliminate the risk of money order theft.

ECP – Tenant Experience

Property Manager provides reusable PaySlip

Over 7,750 7-Eleven and 1,600 ACE Locations

www.paynearme.com/locations

Tenant charged a $3.99 transaction fee

Limit of $1500/transaction

Under Eviction will be declined

Provides instructions for the cashier

Funds deposited within 5-7 business daysTenant takes PaySlip to participating

location and pays rent

Increasing Adoption

Polling Question

How do you feel about your current payments adoption?

•Right where I want it to be! All my residents pay online.

•Pretty good but I think with some extra effort, we could have more.

•Not enough but I don’t know how to change this.

•Residents can pay online?

Industry Stats

68% Check

15% ACH

2% Credit Card

15% Cash / Money Or-der

Industry Stats and AppFolio

53% Check35%

ACH

12% Cash / Money Order

68% Check

15% ACH

2% Credit Card

15% Cash / Money Order

Industry AppFolio Property Manager

Online / Offline Comparison

Online (eCheck)70%

Offline(Cash, Money Order, Check)30%

E-Check Online/Offline Comparison

Online / Offline Comparison

Online (eCheck, CC)80%

Offline(Cash, Money Order, Check)20%

E-Check and CCOnline/Offline Comparison

Online / Offline Comparison

Online (eCheck, CC, ECP)90%

Offline( Check)10%

E-Check, CC and ECP Online/Offline Comparison

Tips to Drive Online Payments Adoption

Sign Lease + sign up for resident portal at the same time!

Tips to Drive Online Payments Adoption

Add cost for receiving paper (+$2)

Tips to Drive Online Payments Adoption

Resident Contest:

Sign up for portal

Entered to win prize (iPad, Dinner, Discounted Rent, etc.)

Tips to Drive Online Payments Adoption

Staff Incentive:

Get to 60% adoption

Everyone gets an award ($, Gift, Trip, etc.)

Tips to Drive Online Payments Adoption

www.appfolio.com/blog/2013/06/10-tips-to-drive-online-rental-payments/

More Info:

blog.appfolio.com: 10 Tips To Drive Online Rental Payments

Tips Cont.

As with many issues, the best way to encourage your tenants to agree to online payments is to communicate with them

clearly, transparently and often.

Once they realize there are benefits to them as well as you, they may be more

willing to sign on.

Case Study – Real Estate Mgmt Group

Case Study – Renters Warehouse

• Bonus incentive for staff to get to 60% of renters using ACH in 60 days.

• No longer accept personal checks for rent payments

• Set up payment stations in our offices

60% of Renters Pay Online – Saves 2-3 days/month

Improve your Business with Online Payment Options

Securely Accept Payments 24/7 The modern renter wants to pay online and has quickly become a requirement for many renters when choosing a new apartment.

Simplify Reconciliation and Reporting AppFolio’s Payment Platform is built right into your accounting records so there is no need to enter data in multiple systems. This means less work when it is time to do your bank reconciliation at the end of the month.

Cut Time Spent on Rent Week By 50% Online payments can save your staff so much time during rent week. Full integration with AppFolio means your staff has time to spend on more productive activities like growing your portfolio. It also means less trips to the bank and less data entry errors.

Polling Question

What adoption method will you be using?

•Sign up with lease

•Add small charge for managing paper checks

•Create a resident contest

•Create a staff incentive

•I like them all!

Questions?

More Info

Thank You!

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