Our lease agreement states that the rent is due on the 1st of the month. Texas law says that we have to give the tenants a grace period. Therefore, the tenants have to midnight on the 3rd before they are considered to be late with their rent.
So consequently, when we open our office on the (4th), we have a lot of rents that were dropped off late on the night of the 3rd. If the 4th falls on a Saturday or Sunday, or a holiday, in which case we are closed, this will further delay the process. The checks that we receive on the morning of the 4th, we have to post into the property management software. Then we have to do deposit slips for the bank, so then on the afternoon of the 4th, if all goes smoothly, we can take the deposits down to the bank. The bank then has to post these deposits to our account, which again, if it falls on a weekend or a holiday, does not happen until the following Monday, or workday for the bank. Therefore, if the funds for us to send you your money are not credited or put into our account before we send out checks then some of checks we send out could be returned for Non-sufficient funds, causing numerous other problems for all of us.
We process statements and rent proceeds between the 7th and 10th of each month. You should receive your statement and rent proceeds no later than the 15th providing the property is occupied and the rent has been paid on time.
Disbursements are made by check ($5 handling fee) and mailed with the owner’s statement or ACH direct deposit into the owners’ accounts and statements are emailed the same day. We now email owner’s statements that receive their rent process by ACH.
When we send out the ACH payments the banks take two business days to process the payments. Payments to Owners who had late rents (received after 5th) and before the 15th are processed between the 15th and 20th of the month. Late payments received after the 15th of the month are processed the following month.
We request that any unpaid balance be brought current within thirty (30) days. Accounts in arrears more than thirty (30) days will be charged 10% interest on the unpaid balance.
If you have not received your statement and rental proceeds by the 15th of the month, please call our office, but calls prior to the 15th will just delay the processing of your funds and statement. Your cooperation is greatly appreciated.