| As a private landlord, I'm betting you would like to | | | | When it comes to checking your tenant's credit |
| have tenants that take good care of your | | | | worthiness, make sure you include a clause in the |
| property and most importantly, pay their rent on | | | | rental application form that clearly states that the |
| time all the time. | | | | prospective tenant has given you permission to |
| During the initial interview process, most | | | | run a credit check. |
| candidates will be reluctant to admit that they | | | | In order that you do not bear the costs of |
| may have bad credit. Despite the fact that all | | | | checking the credit history of several applicants, |
| potential tenants may seem pleasant, as a | | | | you might consider an application fee. If the |
| businessperson, your aim is to run a profitable | | | | prospective tenants are legitimate they will not |
| property investment business. | | | | object. |
| So rather than run the risk of accepting tenants | | | | Tenant Credit Check Services |
| that may turn out to be perpetual rent defaulters, | | | | There are a number of organizations that private |
| a private landlord must carry out a tenant credit | | | | landlords can use to check your tenant's credit |
| check without exception. | | | | worthiness. Knowing what type of report you |
| Running a full tenant credit check is part of the | | | | want and what should be in the report will help |
| tenant screening process and an important part. If | | | | you decide which service to go with. |
| you thoroughly check your tenant's credit history, | | | | Some services will provide you with a standard |
| it will help you make that all-important decision | | | | credit report as well the prospective tenant's |
| "which tenant is best for my business"? It also | | | | credit history. Others provide a much broader |
| helps you avoid future costs that you would have | | | | service and offer tenant screening which will |
| to incur in order to manage a problem tenant if | | | | include the prospective tenant's rental history as |
| you get it wrong. | | | | well as any criminal history. |
| When you check credit history on all potential | | | | Tenant Credit Check Scores |
| tenants, you steer clear of troublemakers and | | | | When you check your tenant's credit scores it is |
| zero in on dependable tenants. When conducting a | | | | important that you get results from reliable |
| tenant credit check there are a number of steps | | | | sources. You can go to one or more of the three |
| to follow. | | | | major credit checking agencies |
| Written Rental Application Form | | | | - Equifax |
| First have your prospective tenant fill in a rental | | | | - Experian |
| application form, you can draft this form yourself | | | | - Trans Unionor use a service that will get data |
| using the information you want to know as a | | | | from each of them. |
| reference point or you can download one from | | | | Evaluate this information thoroughly for each |
| the internet free. The Landlord Protection Agency | | | | prospective tenant, it will be time well spent now |
| is a good source. | | | | rather than cause for regret at a later date. |
| The application should have a place where the | | | | Request for Personal References |
| prospective tenant can fill in their basic information | | | | In some rare cases, the applicant may not have |
| such as name, date of birth, telephone number | | | | any credit history. In such cases, ask them for |
| and social security number. They should also | | | | letters of reference from individuals that you |
| provide you the contact details of their previous | | | | regard as trustworthy, such as their pastor, |
| landlords and two credit references. | | | | employer or even their former landlord. |
| Credit References | | | | Follow up personally with the person providing the |
| The credit reference can help you decide if the | | | | reference, don't take references for granted or |
| prospective tenant should be shortlisted, while | | | | at face value. |
| contacting the former landlords can help you get | | | | You are safeguarding your business when you |
| information on whether the tenant used to meet | | | | check your tenant's credit worthiness. |
| their rent obligations on time. | | | | |