Rethinking Rent Payments: Why Payment Options and Digital Inclusion Matter More Than Ever

In an industry where time, efficiency, and reliability are essential, rent collection continues to present a persistent challenge for property managers. While many aspects of property management have benefited from digital innovation, rent payments still lag behind, especially for renters who don’t have access to traditional banking services.

The result? Missed payments, time-consuming manual processes, and frustrated residents. Fortunately, new solutions are emerging that not only modernize the process, but also expand financial inclusion in meaningful ways.

The State of Rent Payments Today

According to a study published by the Joint Center for Housing Studies of Harvard University, “the number of renter households reached 44.3 million in the third quarter of 2023—representing 34.1% of U.S. households.”

And a 2023 study conducted by the Federal Deposit Insurance Corporation (FDIC) found that 5.6 million American households don’t have a bank account with a traditional financial institution. Further, an additional 19 million households were considered “underbanked.” The study also reported that:

“Compared with fully banked households, higher shares of underbanked households used online payment services and prepaid cards in ways that substitute for some of the core financial transactions that can be conducted using a bank account, including paying bills, receiving income, and saving or keeping money safe.”

Some renters operate entirely outside the banking system, not because they want to, but because they have limited options. Some work multiple part-time jobs and aren’t paid through direct deposit. Others have incurred many overdraft fees, low-balance fees, and late fees from banks. Some simply don’t trust traditional financial institutions.

What they all share is a common challenge: paying rent is unnecessarily complex and expensive. Consider this scenario:

• A tenant without a bank account receives wages in cash or via a reloadable card.
• To pay rent, they have to purchase multiple money orders (typically capped at $500 or $1,000 each).
• To purchase money orders, they must find a local pharmacy or retail store that sells them.
• Residents wait in line during business hours, pay service fees, and then deliver the money orders by mail or in person.
• If rent is late or lost in transit, additional fees or eviction notices may follow.

In this system, the simple act of paying rent can cost time, money, and peace of mind, for both the resident and the property manager.

The Shift Toward Digital Wallets and App-Based Payments

In recent years, peer-to-peer (P2P) payment platforms have become a common way for people to move money quickly and easily. According to the “Expanding Access & Financial Inclusion” report, published by Block, the parent company of Cash App, there were 57 million active Cash App accounts, as of June 2024.

 Apps like Cash App are especially popular among underbanked users because they:

• Don’t require a traditional bank account
• Offer lower transaction fees
• Are accessible via smartphone 24/7
• Provide instant payment confirmation

In short, they meet users where they are, financially and technologically. So why aren’t more rent payment systems embracing this shift?

Unfortunately, many online payment services don’t support these apps. That forces renters to find workarounds, which increases payment friction and administrative headaches. Delays in rent collection, manual tracking, and reconciliation errors all become more likely.

One prominent solution to this is Occupi. The platform centralizes digital payment tools like Cash App, Venmo, PayPal, Chime, SoFi, ACH, and more, while integrating seamlessly with Rent Manager. For residents, Occupi delivers easier, flexible payments; for property managers, streamlined deposits and fewer late payments.

Why Payment Flexibility Matters for Property Managers

For rental housing communities, offering flexible payment options isn’t just a nice-to-have feature, it’s increasingly a business necessity. Here’s why:

• Reduced late payments: When renters can pay using familiar tools, they’re more likely to pay on time.
• Operational efficiency: Automating payments and reconciliation reduces manual work for staff.
• Better tenant retention: Making the payment process easier can improve satisfaction and reduce turnover.
• Expanded renter pool: Accepting alternative payment methods helps attract and retain residents who may otherwise struggle with traditional systems.

Moreover, payment flexibility reflects a property manager’s willingness to adapt to changing demographics and tenant behaviors. Today’s renters expect convenience, especially in mobile-first, gig-economy households. Meeting those expectations improves your bottom line and reputation.

Moving Toward an Inclusive Future in Rent Payments

The property management industry has long been built around standard assumptions: tenants have checking accounts, they get paid by direct deposit on the 30th, and they mail or schedule a bank transfer on the first of the month. But for millions of renters, that simply isn’t reality.

It’s time to align rent collection with how people actually live and manage their money. Doing so is not just a matter of convenience—it’s a matter of equity, inclusion, and business resilience.

By offering flexible, app-based payment options, property managers can:

• Improve cash flow and reduce delinquencies
• Serve a broader range of residents
• Reduce administrative burden on their employees
• Position their business as responsive and forward-thinking

Conclusion

Rent is the most important bill that residents pay each month. The process for collecting it should be just as modern and accessible as other financial transactions, from ordering groceries to paying for rideshares.

As renters increasingly rely on mobile wallets and digital payments, property managers who adapt will see smoother operations and stronger tenant relationships. And with tools like Occupi, offering that flexibility is easier than ever.