What Information Can You Find in an Applicant’s Credit Report?
Since landlords want to be sure their tenants will pay on time, having access to a credit report can give you an idea of a tenant’s history of on-time payments.
A credit score is based on information from a credit-reporting agency (Equifax, Experian, or TransUnion). The higher the applicant’s credit score, the better the credit history, and the more likely they are to fulfill their tenant obligations.
A credit report usually covers a timespan of seven to ten years. Some of the information you find may be state-dependent, but might include some of the following:
If the applicant has ever filed for bankruptcy
If the applicant has ever been convicted of a crime, or if they have ever been arrested
If the applicant has ever been evicted
If the applicant has ever been involved in a personal injury claim
If the applicant has ever been delinquent in paying rent or loans
If the applicant has been financially active enough to establish a credit history
Depending on the agency, you might find the applicant’s credit score, which indicates the risk that an individual will default on payments.
- What Is a Rental Application Form?
- Should You Use a Rental Application Form in the Tenant Screening Process?
- Where Can You Get an Applicant’s Credit Report?
- What Should You Look for in an Applicant’s Credit Report?
- Can You Refuse an Applicant Based on a Poor Credit Report?
- How Can You Verify the Income and Employment History of an Applicant?
- Can You Require Applicants to Pay an Application-Screening Fee?