But what do you do if there is a chargeback? 

Risk of chargebacks is the reason that many landlords have avoided accepting credit card payments, but it really isn’t as scary as it seems. A non-fraudulent chargeback is what happens when a cardholder disputes a payment. The funds are then pulled back from the account they were deposited to and the payment is investigated. 

When a non-fraudulent chargeback happens, you always have the opportunity to dispute it. You can set yourself up for a positive outcome in a dispute if you’ve prepared well. 

One way to do that is to state the terms and conditions of your rent collection policy clearly in your lease. Be sure to include information about late fees, pet or smoking policies, and lease cancellation policies and procedures. Have your tenant sign the document and initial important clauses. 

Another way to prevent disputes is to provide excellent service to your tenants. If you are slow on necessary repairs then your tenant might have a case. Keep your tenants informed about repairs and make accommodations when necessary. It could save you a chargeback down the line. 

At the end of the day, you know your tenants better than any article on the internet. It’s up to you to decide whether you’d be willing to accept a credit card payment from them. Chances are you already ran a credit check before you accepted them into your property. Just be clear about it in your rent collection policy, arm yourself with important documentation, and provide excellent customer service.