Homeowners’ associations (HOA) often struggle to elicit the payments of their monthly fees from residents in their communities. Although homeowners are aware of their financial obligations to their HOAs when they buy their property, all too often when budgets are tight, this is the first payment to go by the wayside. As a result, those who run HOAs are very familiar with the excuse, “The check must be lost in the mail.” And, while this does not negate the responsibility of the homeowner to pay, it does delay the receipt of funds that are so essential to the smooth running of the organization. However, accepting ACH property management payments could be the perfect solution to this ongoing dilemma.
ACH Payments – The Way to Improve Revenue Management
Although some HOAs have moved into the 21st century and have adopted property management payment systems that are appropriate for today’s advanced technological environment, many are still highly dependent on outdated manual systems, which only compound the problem of receiving outstanding fees on time. When residents are only able to make payments in cash or in paper check format, it becomes a lot more difficult to make sure there is a timely receipt of payment. Homeowners find it more difficult to mail checks in time or to get out to make a physical payment, and, of course, the excuse of the check that is lost in the mail is sometimes the truth.
How can homeowners’ associations prevent this problem from occurring? The key is to adopt ACH payment processing solutions. An electronic payment processing gateway that allows payments to be made through the Automated Clearing House network makes sure that property management companies, such as HOAs, can better manage their cash flow and speed up the availability of funds.
One of the best features of ACH payment processing systems is that they allow for real-time payment authorization, so HOAs can be confident that the money that they are owed has been transferred and is in their own account ready for use.
Benefits for The Homeowner
Of course, the benefits of adopting an ACH property management payments system are not solely for the HOA. In fact, the residents themselves also find a number of advantages from this way of paying their regular fees.
For a start, because the payments are made electronically, there is no need to write out paper checks, go to a bank or post office, or make a cash payment in person. Electronic ACH payments can be made from the comfort of their own home at a time of their own choosing, making it a breeze to facilitate those regular payments.
Lower Processing Costs
One of the other advantages for HOAs when adopting an ACH payment system is that the costs of processing payments are considerably lower than those of processing paper checks. This is especially important in today’s budget-conscious environment and is just another reason to upgrade to a more reliable and specialized system.
BillingTree can provide the ideal solution to the problems faced by today’s homeowners’ associations when it comes to eliciting fees from residents thanks to its industry-leading payment solutions that are designed to meet the needs of property management companies. Its ACH property management payment processing software is fully PCI-, SSAE-16-, and HIPAA-compliant for the peace of mind of all parties and offers a cost-effective and flexible solution for receiving homeowner fee payments. By eliminating the burden of manual processing and by automating the resident fee payment cycle, BillingTree’s payment solutions greatly reduce the pressure placed on HOAs today.