"I just learned that my new tenants do not have a bank account for personal reasons. So, right now they can't pay electronically or by check.
What would be the best way to collect rent? I believe money orders have a limit and cannot exceed $1,000? The rent amount is ~$1,500.
Does that mean I have to go and collect in cash?"
- From SilentConcert1104 on Reddit
TurboTenant’s Take
While it may seem strange that your tenants don’t have a bank account, they’re not alone. According to the Federal Reserve, 6% of U.S. adults (the “unbanked”) don’t have a checking, savings, or money market account.
That said, you don’t have to collect cash from your tenants every month. There are a variety of potential rent payment options they could use, including:
- Paying with multiple money orders
- Using a chain grocery store’s bill pay service, which converts cash payments into electronic payments (as available)
- Making cash deposits directly into your rental account at your local bank
- Leveraging cashier’s checks
Note that you should keep close tabs on your rental account if you elect to have your tenants make deposits directly.
While there are perfectly valid reasons that 6% of U.S. adults don’t have checking, savings, or money market accounts, we hope this landlord did his due diligence when it came to the credit check and tenant screening.