Planet Rent: Lettings managed on your phone
Mary-Anne Bowring 17/11/2023
2535
Avoiding Rent Arrears
Everyone tries to avoid falling into rent arrears, but sometimes it happens due to financial difficulties or simple mistakes. Rising rents in property hotspots are exacerbating the issue. However, utilizing a payment automation platform might help alleviate this problem.
The Role of Payment Automation Platforms
A simple SMS message generated by an automated system could be the key to keeping most tenants on track, according to PropTech entrepreneur Neil Cobbold. He explains that using an automated system to monitor rent payments can help manage arrears more effectively.
Real-Time Arrears Management
Neil Cobbold, Chief Operating Officer at Pay Prop UK, explains that letting agents can quickly view the live status of a property portfolio, showing which tenants are in arrears in real-time. This transparency allows agents to act swiftly.
Automated Rent Reminders
Once tenants are identified as being in arrears, they can be automatically reminded via their mobile phones to pay their rent. Neil mentions that around 90% of text messages are read within three minutes, and 64% of tenants in arrears respond within 48 hours of being reminded.
Benefits of Automation for Letting Agents
Neil Cobbold believes that automating arrears management processes could save letting agents and their clients thousands of pounds each year. Moreover, he suggests that increased automation could help future-proof agents against growing transparency and regulation in the lettings sector.
Client Money Protection and Transparency
With new laws requiring mandatory Client Money Protection scheme membership and banning upfront fees, letting agents must demonstrate transparency in managing payments. Automated payment systems can help agents comply by providing a clear record of all incoming and outgoing payments.
Planetrent Properties
info@planetrent.co.uk
0208 0599 550 (for sales)
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Let Agreed: This term indicates that a landlord has provisionally agreed to enter into a rental agreement with a prospective tenant, pending additional checks and referencing. It doesn't require the prospective tenant to have paid a holding deposit.
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