Comments on: What’s The Best Way To Collect Rent?

By: Leanne

Leanne — Wed, 02 Nov 2011 21:32:29 +0000

If there are landlords on here struggling to collect rent, my new payment service may be of interest. Email me for further info!

By: Jay

Jay — Thu, 13 Oct 2011 21:49:15 +0000

thanks for the advise cardifflandlord, the tax question was a bit of sarcastic fun but I was serious about advise from someone with experience to someone (like myself) who is new to the buisness, as for EPC’s and everything else you have mentioned it is all in order and has been before I allowed any tenant to use my property, I was simply asking what is prefered by experienced landlords. Thanks anyway, I have also been cheered up today because your not going to beleive this…. my sister is an accountant and no, I dont have to pay.

By: Cardifflandlord

Cardifflandlord — Thu, 13 Oct 2011 15:13:17 +0000

@Jay: Sorry Jay, is that a serious question about whether you have to declare cash payments to the tax man? Surely it’s not April 1st and I have been catapulted into some parallel universe?

If you don’t know the answer to that then I’m afraid you have no hope at all of becoming a Landlord with all the legal requirements and responsibilities that go along with it.

Keep paying the 10% because you are seriously going to be be so far out of your depth in this industry and whilst I am prepared to help people with genuine issues – if you can’t be bothered finding out yourself what your statutory obligations relating to tax and no doubt EPC’s, Public Liability Insurance, Gas Safety, Fire Safety and Electrical Safety not to mention your responsibilities to your Tenants and theirs to you then I’m afraid you are on your own.

Go and speak to an accountant who will help you – oh and yes, you have to pay for their services.

F*** me backwards – and I thought nothing would cheer me up today!

By: Jay

Jay — Thu, 13 Oct 2011 09:31:46 +0000

Hi, I have just recently become a landlord and so am very new to this. I had a third party collect the rent on my behalf (10% managment fee) but have decided to manage it myself as I see to all the repairs etc, the tenant has asked to pay cash, but would direct debit if i prefered, but I’m not sure of the implications and legalities of cash payments. for example, do I have to declare this to the tax man? Would very much appreciate advise from the more experienced of you all, cheers.

By: Victoria Whitlock

Victoria Whitlock — Fri, 22 Oct 2010 12:15:44 +0000

I try to avoid taking cheques – if they bounce, you get charged by the bank. Plus there’s all the hassle of cashing them and I worry they’ll get muddled up with tissues in my handbag or I’ll end up using them as scrap paper for shopping lists or something by mistake. Too fiddly.

Standing orders or direct debits are far easier. Insist the tenant sets up the payment to ensure it arrives on the due date, so avoiding delays with bank holiday/weekend closures etc.

Or take cash. I love cash. Cash is King.

By: Sherrie

Sherrie — Wed, 28 Oct 2009 01:19:51 +0000

I have a potential tenant who has a history of late rent payment, I want to set up a method to collect directly from the tenant’s credit card. Does anyone know how this can be done?

Thanks.

By: NewLandlord

NewLandlord — Sun, 20 Sep 2009 20:32:18 +0000

I have student tenants so I either take three cheques a year (just after student loans are paid) or standing order.

Are you sure you are talking about direct debit? I asked my bank about them and they cost £2000- £3000 to start up because the vank guarentees your payment and puts the onus on the tenant (hence the large setup fees). I think what you are describing is the standing order.

By: The Landlord

The Landlord — Thu, 30 Jul 2009 11:29:31 +0000

Nope, you don’t, John.
Just give your tenant your account number and sortcode, and that should be fine.

Cheers.

By: John

John — Thu, 30 Jul 2009 11:19:43 +0000

Do you need to set up as a company to arrange rent collection via direct debit?

By: The Landlord

The Landlord — Wed, 29 Jul 2009 07:29:20 +0000

Hi Tariq,
You should pay the same amount of tax regardless of which method you choose to collect rental.

Kind regards