Owner Paying a Security Deposit

This article will show you how to apply an owner contribution to a lease as a security deposit

 

Step 1 - Collect the owner contribution

(There are two ways to do this. Options are listed below.)

  • Option #1 - Owner Contribution through the Owner Portal (ACH or CC payment through the Owner Portal)

The owner can sign into their owner portal and pay via eCheck or credit card (Note this will typically make the contribution into the operating trust bank account) You can  Go to Step 2

  • Owner Contribution Option #2 - CHECK/CASH/MONEY ORDER

Record a payment in Rentvine if the owner gives you a check/cash/money order

        • Click on Accounting on the left side

        • Click on Money In from the drop down
        • Click on the green Actions button on the right,
        • Select Record Owner Payment

You can also use the Quick Actions Menu at the top right of the screen --> Click on Record Owner Payment

 

In the Record Owner Payment screen, complete the fields belowSnip20211112_161

        • Select the Portfolio
        • Select the Owner
        • Enter in the Amount of the security deposit/owner contribution
        • Enter in the Date Posted
        • Select the Payment Type - choose Other
        • Enter in the Description - 
        • Enter in the Reference
        • The Account will default to your default account for an owner contribution, but you can change this if needed
        • The Bank Account account will pre-fill to your default trust account, but you can update this if needed
        • Click the green Save button

*Note: For option 2, remember to record this transaction as deposited in Rentvine

Step 2 - Create a security deposit lease charge on the lease

If the lease charge already exists please skip to step 3

  • Search for the lease
  • In the lease view page, click on the green Actions button
  • Select Add Charge from the drop down

  • In the New Lease Charge screen, complete the fields
    • Select the Account for your security deposits
    • Enter in the Amount of the security deposit
    • The Date Posted will pre-fill, but you can change this if needed
    • The Description will pre-fill to the name of the account, but you can change this if needed
    • Click the green Save button

Step 3 - Record a credit on the lease and apply it to the security deposit lease charge

A credit is applied to the lease to show that the owner is paying the security deposit and to show a tenant credit as well.

  • In the lease, click on the green Actions button
  • Select Add Credit from the drop down

  • In the Add Tenant Credit page, complete the fields to record the credit
    • Top Section - Details 
      • Account - Choose the account that you want to credit. i.e, Income or Equity account.  In this example we have chosen an income account, "Security Deposit Transfer from Owner"
      • Amount - Enter the amount to be credited
      • Date Posted - will pre-fill, but you can adjust this if needed
      • Description - Enter text to describe the transaction
    • Bottom Section - Charges
      • Apply the credit to the lease security deposit charge that was recently created
    • Click the green Save button



    Step 4 - Record a bank transfer (if applicable)

    You only need to perform this step if you hold security deposits in a different bank account and you have transferred the owner's contribution from the Operating Trust bank account to the Escrow/Security Deposit Trust bank account.

    • From the left navigation menu click on Accounting then click on Banking.
    • Click on the green Actions button and select New Bank Transfer from the dropdown menu.
    • In the New Bank Transfer form, fill out the fields to record the bank transfer.
      • Top Section - Details 
        • Source Bank Account - Select the appropriate source bank account.
        • Destination Bank Account - Select the appropriate destination bank account.
        • Amount - Enter the amount that was transferred.
        • Reference -  Enter text. i.e., transfer id 234.
        • Description - Enter text to describe this transfer.
        • Date Posted - will pre-fill, but you can adjust this if needed.
      • Bottom Section - Transactions
        • Ledger - Select the unit that the lease is linked to.
        • Amount - Enter the amount.
      • Click Transfer Funds at the bottom of the form.

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