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Refund a Lease Deposit After a Lease Has Ended and is Inactive
Refund a Lease Deposit After a Lease Has Ended and is Inactive

How to handle lease deposits after a lease has ended and is inactive.

Samuel avatar
Written by Samuel
Updated over a week ago

Overview

You can refund a lease deposit as part of the Ending a Lease wizard, however, you might need to do this after you already ended a lease. Perhaps you go through a move-out checklist after one of your colleagues already ended the tenant's lease. No worries, you can still refund a deposit even though the lease is now inactive.

The Steps

Use this if you are giving the security deposit or any other deposits back to the tenant after the lease has ended.

  1. From the main menu, click Leases and then click Inactive Leases.

  2. Find the lease you want to refund a deposit for and click on it. You can either sort the list by the various columns and filters or use the Search Leases search bar.

  3. Click on the Deposits tab and then the Refund Deposit button.

  4. Enter the following information:

    • Paid To Tenant: pick the tenant on the lease you are refunding (there might be more than one tenant on the lease.)

    • Pay From Account: choose the property bank account you are using to pay back the tenant. (This should be the same bank account holding the lease deposit.)

    • Payment method: pick among several options to remind yourself later of how you paid the tenant.

      • (The Check payment method allows for entering an optional check number and the ability to print the check later.)

      • If you select the ePay option, you’ll be able to send a payment electronically if you already have your Checkbook.io account set up for sending payments.

    • Description: enter an optional explanation for the refund.

    • Amount to Refund: enter the amount of the deposit to refund. If there is more than one lease deposit, you can refund multiple deposits, or put $0.00 in the deposits you don't want to refund.

    • Due Date: change the date for the refund if needed.

    • Add memo: add an optional memo for your reference when reviewing the refund later.

  5. Add any relevant files and click Save.

Good work! You refunded a lease deposit. Now this deposit is no longer a liability on your balance sheet. If you choose the ePay payment method, you’ll need to go to the next step in the process to finalize the payment.


Refund the tenant via ePay using Checkbook.io

This step in the process is only necessary if you chose ePay as the payment method for the refund. If you also have Checkbook.io active, you’ll be able to send an outgoing payment to issue the refund electronically through DoorLoop. Learn more about Checkbook.io.

  1. To send your refund payment to the tenant electronically, the first step is to click Accounting on the main menu and then click Send Payments.

  2. Once on the Send Payments screen, you should see an entry in there from the refund you created before. Look at the Actions column and you should a link labeled Add Info. (You'll see this if you've never sent the vendor an outgoing payment before). Click it.

  3. Here you’ll need to enable send payments for this payee you are sending the payment to.

  4. Scroll down to the Email Settings portion and enter the tenant's Billing Email. This is where the eCheck will be sent.

  5. (optional) You can also enable Ask the payee for a PIN before accepting this payment. If you enable this, you’ll need to provide a PIN Code and a Hint that will give the payee an idea of what the PIN is.

  6. Click Save.

  7. Under the Actions column, you should now see a Send link. Click it.

  8. On the Payment popup, check to make sure all the information looks correct, and then click Confirm to send the payment.

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