Rental software company Stessa launches Stessa Cash Management, a new banking product to help automate rent collection, according to a company blog post on Wednesday (June 1).
Stessa Cash Management will add ways for investors to automate the manual parts of rent collection, like depositing checks and charging late fees, and allow tenants to set up recurring payments.
It comes as payment tools have become more problematic for rent collection, with landlords unable to block partial payments in the event of eviction. Additionally, peer-to-peer (P2P) payment platforms prevent users from using free consumer accounts to obtain rent, as rent payments are considered business transactions.
The company said the benefits of a dedicated checking account for a real estate portfolio include easier tracking of income and expenses and prevention of asset mixing. Stessa Cash Management will add more features like competitive cashback and annual percentage return, no account maintenance fees, no hidden fees, and seamless integration with financial tools.
It will also help investors tackle the most cumbersome elements of the banking and money management system, the statement said, allowing them to create property-specific checking accounts and account-linked debit cards to add to the expenditure management control.
Last year, PYMNTS wrote that Stessa’s parent company, Roofstock, was looking to innovate property management and streamline some of the time-consuming manual processes.
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Roofstock’s idea was to allow investors to buy and rent homes through a simplified property management process with a rental market, with a “neighborhood score” calculating the possible profitability of an investment, including including whether or not there is an existing tenant.
At the time, CEO Gary Beasley said the company was breaking down geographic barriers for real estate investors so anyone could buy and rent a home.