Legal Question in Banking Law in California

Tenant Landlord: managing monthly rents

I am a landlord, own a house in CA (bay area), but live out of state. I want to manage my property long distance. I have a potential tenant who wants to move in.

How can I manage to have the monthly rent paid regularly on time? I mean, other than having checks mailed to me every month, is there any other way? I don't want to consider Paypal, or Google as my first options, as they have large transfer fee per transaction.

Can I do post- dated checks, or Direct deposits? Will this make the tenant uncomfortable, obviously she does not know me to just hand over checks, or give me her account info. What else can i do?

I have had property management services until now, but my experience has not been good. I've usually done all the work, and paid them the fee! So pl don't suggest them to me, I'd like to handle it on my own this time, and feel I can.

I am insisting on a security deposit of more than 1 month, just to be sure I don't get swindled. Plus have a contract in place.

My main concern is the finance part, how to handle the monthly transactions without having her mail checks, and maybe site excuses for not reaching them to me in time - it's in the mail, or something like that! :)

Thanks in advance!!


Asked on 6/09/09, 3:53 am

1 Answer from Attorneys
Michael Stone Law Offices of Michael B. Stone Toll Free 1-855-USE-MIKE

Re: Tenant Landlord: managing monthly rents

While interstate landlord-tenant relations can be problematic for many reasons, you could receive funds from the tenant by having him or her deposit cash or checks at the teller window of a nearby bank. (You would provide the tenant with deposit slips, or just the account number). You would then monitor the account by telephone or internet; and withdraw funds by writing checks on the account, by debit/ATM card, or in person if the bank also has branches in your locality.

Make sure the account is in good standing -- I used to pay my rent this way, and the tellers would give me hold notices informing me that the landlord's funds were being held ten days because the guy had bounced too many checks!

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Answered on 6/09/09, 4:30 am


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