Despite having a super simple user-friendly interface, PayPal has some downside to collecting rent. The biggest shortcoming that creates inconvenience for landlords is its higher charge for every transaction.
PayPal charges the seller 2.9% of the total transfer amount for each transaction which is applicable for the recipient. The landlords who have a lot of properties or tenants have to spend a large amount for this charge which can bite into their profit margins. So, using PayPal for collecting rent can be surprisingly costly in the long run.
The COVID pandemic has influenced every aspect of our life. It also changed the way of money transactions. People including renters are now comfortable using online payment methods by using different mobile-payment apps like PayPal.
This online payment procedure help people to maintain social distancing. Now renters prefer to utilize electronic payment methods instead of sending cash or a paper check to ensure contactless activities.