Landlords using eRentPayment missing rent checks
Intermediary bankruptcy causes some landlords to reports tens of thousands of dollars in rental payments taken from tenants but not received.
(Usual disclaimer: I'm just an investor and not a financial advisor or attorney. Consult your own financial professional before making any financial decisions).
This is for those readers directly invest in residential real estate properties like I do. eRentPayment is one of the most popular services used by landlords to automatically deduct rent payments from tenant bank accounts. Normally, using this type of service is awesome. An ACH can be much safer than trying to collect the check, since it can't bounce and you don't have to wait a week for it to clear. And it's also a huge time-saver, because the tenant does everything online, so you or your property management company doesn't have to personally visit them, or process checks, etc.. However, recent events show that they aren't foolproof either. Recently, eRentPayment's payment processor (eCheckit) went bankrupt. As a result, it took tenant rental payments from their bank accounts in early October, but never gave the