Advanced Account Verification is poised to become a multifamily game-changer.

Remember the days of rent check drop boxes? If a cold shiver just went down your spine, you’re not alone.

Automated banking services and online resident portals came to the rescue and helped prevent situations such as lost checks, delayed approvals and strained relationships with prospects and residents. They were, and still remain, the solutions that the apartment industry needed.

On the surface, the current system feels fairly foolproof. But it doesn’t necessarily prevent protracted delays in approving prospects or in verifying that their reported funds are actually current.

Most verification methods are predicated on the assumption that the resident’s reported banking account information is valid and that prospects are accurately and honestly representing their financial standing. As the industry knows all too well, fraudulent payments remain a reality, as do dreaded “non-sufficient funds” alerts.

Fortunately, new tech tools are available that can determine whether a bank account is genuine and verify real-time balance information. Whereas automated payments and resident portals removed some of the potential for human error a decade ago, the real-time capability of new tech platform marks the next step in the evolution of rent payment.

This technology can serve as an industry game-changer for leasing teams and prospects alike.

The ability to have residents link their electronic payment methods with tech tools that instantly confirm valid bank accounts and verify account balances erases the need for what has historically been a laborious and often inconclusive verification process for leasing teams. The increased efficiency, which could reduce payment returns to almost zero, saves leasing teams a substantial amount of time and energy.

While the upfront benefits of account verification and account balance confirmation are well apparent, it won’t be long before the technology becomes a requirement. Beginning in March 2021, the National Automated Clearing House Association (NACHA), which establishes the standards and rules followed by financial institutions for transferring payments, will update its regulatory policies to mandate account verification.

But waiting a year to implement this technology isn’t just delaying the inevitable, it’s perpetuating inefficient leasing practices. Real-time account verification and balance confirmation is the future when it comes to rent payment, and for those seeking greater efficiencies in the leasing process, the future is now.