A returned payment means the tenant’s bank rejected the payment. PayYourRent reports return responses exactly as provided by the tenant’s bank and does not control these messages.
When Manager Action Is Required
You should take action if:
A tenant’s payment shows as returned, and
You need to take corrective steps based on your internal collection policies
When No Action Is Required
No action is required if:
You have confirmed the tenant has successfully submitted a replacement payment
What a Returned Payment Means
Returned payments occur when a tenant’s bank is unable to process a payment. The most common return reasons include:
NSF (Non-Sufficient Funds)
What it means:
The tenant’s bank account did not have enough funds to cover the payment.
No Account / Unable to Locate Account
What it means:
The tenant’s bank could not locate the bank account using the information provided at the time the payment was submitted. This is most commonly caused by an invalid account number or routing number, often due to a typo or incorrect entry.
What to Do When a Payment Is Returned
Follow your internal collection procedures
Notify the tenant that the payment was returned by their bank
Advise the tenant that:
Only the tenant can submit a replacement payment
The tenant should submit a replacement payment if they know the original payment will return, especially if doing so may help avoid a late fee
The tenant should ensure sufficient funds are available before resubmitting
The tenant should verify and update their bank account and routing number, if needed
Important Notes
Returned payments typically take 4–6 business days to fully complete
Return fees are assessed once PayYourRent is notified that a payment has returned
Return fees are set by the manager, not PayYourRent
If a payment is returned and a replacement payment is not successfully submitted before the late fee cutoff, a late fee may apply, even if the original payment was submitted on time.
Tenants often believe PayYourRent returned the payment; however, the return is initiated by the tenant’s bank
Scheduled recurring payments will continue to follow their existing schedule and will post to the most recent invoice only. Recurring payments do not carry balances from prior invoices.
When to Contact Support
Contact Support only if:
You need clarification or verification of a return status, or
A refund is needed
If a refund is requested before the 4–6 business day return window has completed, Support will issue a disclaimer explaining the risk of issuing a refund before the payment has fully cleared.