In an effort to cut down on the confusion caused for residents as it relates to prepayments and how they appear on payment reminders or resident statements, we've made some changes to simplify the resident statement so that it shows payments and charges and does not show extra accounting transactions needed by the property manager to ensure income shows in the appropriate month.
What is a prepayment?
Holding an early payment as a liability until the payment becomes due.
When resident is charged, the prepayment is applied to the balance and becomes income on the books.
What is changing?
We're introducing changes that will hide the prepayment charge and applied prepayment transactions from the following:
- Tenant statement
- Association owner statement
- Payment reminder email
What will this help with?
Residents are sent a payment reminder when their charges post in advance of the due date. They get confused seeing a balance, when in fact, they have prepaid.
Residents don’t understand why they statement does not match what they see in the Resident Center and Property managers are left having to explain balance details to their residents each month.
Hiding the prepayment charge and applied prepayment transactions from tenant and association owner statements should mitigate the previous confusions.