Before Accepting a renter, you must obtain your prospecdtive tenant's credit history that includes judgments and evictions
Renter Credit Checks are an Essential Part of Examining the Background History of Your Prospective Tenants
Even in these unprecedented times and era of widespread financial upheaval, you simply cannot ignore the relevance and significance of obtaining an extensive investigation of your rental applicant’s financial background history. Unless your applicant is very young or has just only recently come to the United States from another country, your prospective tenant will have a personal credit history. We highly recommend that you acquire renter credit checks for every single applicant regardless of your gut feelings or personal impressions of the credibility the individual you are evaluating.
Avoid Reliance Upon a Traditional Credit Report from the Big 3 Reporting Agencies: Trans Union, TRW, and Experian
This may come as shocking news but one of the most common mistakes is to base your decision on accepting a tenant upon a standard credit report.
Compelling Reasons Why You Should Never Base Decisions on a FICO Score from a Credit Report:
- Credit Reports are Notoriously Inacurrate and Contain Excessive Errors
- Key Records Such as Judgments and Evictions are Not Reported on many credit history verification reports
- Credit Agencies are not the best source for obtaining data and analyzing credit history for tenant screening
- FICO Scores are an unreliable indicator and should not be used to evaluate a prospective tenant
