5 Benefits of Collecting HOA Payments Online
Many HOAs are still using traditional check payment methods that can slow down their cash flow and cause inconvenience to their residents. Furthermore, these traditional payment methods have annoyed residents and their HOA. But this can be avoided now. Even though integrating an electronic payment system is costly, the benefits outweigh the cost for homeowners associations. If your HOA is trying to decide how to modernize effectively and accept online payments, then consider the information below:
5 Reasons Why Your HOA Should Be Taking Payments Online
The online payment method is becoming more common every day. HOAs that decide to invest in this trend will surely have a substantial improvement in the efficiency of their operations, resident satisfaction, and overall cash flow. Consider these five reasons when deciding whether adapting the modern online system is a wise decision for your association.
By setting up an HOA online system, HOA fee collection will be hassle-free and payments are usually processed immediately. This is a great benefit to HOAs because checks take many days to clear, particularly if they are received just before a weekend holiday. Faster payment is an enormous benefit to the HOA and the residents who will know when their payments happen so that they do not accidentally miscalculate their finances while waiting for a check to be processed.
More On-Time Payments from Residents
Writing a check and delivering it to the HOAs office or sending it via mail is inconvenient for residents. Residents want to quickly pay their fees with ease. Mailing checks can cause additional waiting time for the payment to be processed. Also, delivering the check in person can be something that residents forget to do. For this reason, making the process electronic will increase the number of on-time payments.
Less Work to Keep Track of Payment History
In addition to having an electronic process, it is possible to use the electronic database to keep track of which residents have paid and which residents have not. For this reason, HOAs will have far less work related to figuring out which residents have paid and which residents they need to remind. Previously, there were extensive organizational processes required with sorting checks. By shifting it to be entirely electronic, then it is possible for HOAs to have several different charts with payment histories and to then be able to use those dues to allocate the finances appropriately affording the HOAs day-to-day operations.
Easier for Members to Know if Their Payment Has Processed
Waiting for a check to clear can take several days. By being able to pay electronically with their credit or debit card, residents will know immediately if their payment has been processed. This is very valuable for residents because they will be able to have better management of their finances. Also, they will begin to view it as a part of their typical bills rather than a massive inconvenience that they dread each month. Historically, residents truly dreaded writing checks and if this element can be eliminated for HOAs, it will have a substantial impact on the overall satisfaction residents have with their HOA.
SMS or Email Notification of Reminders or Payment Status
Certain electronic systems can text or email reminders to their residents. This tool is very valuable because it also reduces the number of late payments since residents will be reminded once the due date is soon. Also, receiving a text or email notification that it has been successfully processed or received is very valuable to both residents and the association. This can lessen misunderstandings possibly causing trouble within the community.
How Clark Simson Miller Can Help Make Your HOA’s System With Modern Electronic Payments
Make sure you carefully consider your options when deciding how to manage your community’s systems. Electronic processes can be as promising as they can be but if you settle for the wrong company, you’ll be having more troubles than you did when you used to do the check method. If you do not research your options carefully, you will find that you will run into major issues in the future.
Clark Simson Miller can serve as a source of assistance to your Community Association and how it manages its payment collection system. To learn more about how Clark Simson Miller can help, give us a call at (865) 315-7505 or contact us online.