Digital Payment Processors for Landlords and Small Businesses

With the rise of modern technology, digital payment accessibility is evolving faster than ever. It’s easy to pay a friend for dinner or split the cost of this month’s bills using new electronic payment options such as Venmo, PayPal, and Zelle… But are they something your business should consider?

For a lot of people, cash isn’t king anymore. With more and more people using digital payment systems to make purchases and pay rent, the question of whether to accept these payments is arising regularly for small businesses and landlords.

And it makes sense- cash is becoming increasingly rare as many purchases move online. Instead, people are using credit cards and plastic payment systems to make purchases and pay rent – is it worth turning away business for something as simple as a card machine?

Utilization of PayPal

PayPal is a quick, easy and free way to pay and get paid online – directly from your PayPal account or credit card. You can send payments to anyone with an email address; if they don’t have a PayPal account, they can open one right in their browser and make the payment that way.

You know those people who say they’ll get you the cash in a week? They’re liars. With PayPal, you get fast and secure online payments without waiting for a check to clear. PayPal also alerts you to any potentially fraudulent activity on your account and gives you the chance to resolve any problems.

One drawback for business owners is that banks will not always give small businesses loans based on the amount of money in the business owner’s PayPal account.

Zelle and You

Many people also use Zelle, a simple way to send money to anyone’s email or mobile number. You can use it either through your bank’s mobile app or the Zelle app.

Similar to Venmo, Zelle isn’t meant for merchant transactions. It is designed to facilitate consumer-to-consumer payments only, meaning it doesn’t have buyer or seller protection features. The site recommends that you shouldn’t use Zelle if you don’t know the person paying you.

Venmo for Digital Payment Processes

Venmo is a digital wallet that allows you to send and receive money. You can use it free of charge if you pay with cash; credit card payments incur a 3 percent fee. As a digital wallet, Venmo offers simplicity and security.

To help protect your privacy and security, Venmo encrypts all sensitive data, monitors fraud attempts, lets you block a phone from accessing your account, and can add multifactor authentication to every account.

Venmo takes your security seriously and uses the latest encryption technology to protect your account and any sensitive details. Venmo is not a payment service and does not offer buyer or seller protection. It’s best to use when you know your customer well.

Collecting With These Processors

The best landlords in the business run their properties with the goal of making their tenants happy. By offering various electronic payment options, property managers can ensure that their clients are paid on time. This is always a plus for both the landlord, who assures timely payments, and the tenant, who can avoid troublesome fees.

So, if satisfaction is essential to you, one of these three great payment processors might help. We have further tips on our Thompson Law website.