This post was originally written by Kerry Sugrue, former Social Media Specialist at Apartments.com.
It shouldn’t come as a surprise that, according to credit agency Experian, the lowest credit scores belong to those 18 to 29 years of age. In fact, a recent National Multi Housing Council (NMHC) survey found this age demographic also happens to account for the largest segment of renters in the United States. In the past, renting an apartment had little to no effect on a person’s credit score, but thanks to Experian’s recent acquisition of RentBureau, you can help residents increase their credit scores by reporting timely rent payments!
“Experian is now incorporating rental-payment history data from its recently acquired RentBureau unit into its traditional credit file, which it says will make it easier for college students, recent graduates and immigrants to boost their credit scores — if they pay their rent on time”, as reported by The Chicago Tribune blog. How can you use this information to help your residents? Be sure to report their payments properly so they can get credit for paying their rent. Not only will this boost their personal scores, but it will also encourage your residents to get their rent in on time! This is what I call a win-win situation.
What do you think? Will helping those who pay their rent on time lead to happier residents and improved resident satisfaction?
Kerry, this is an interesting topic. In addition to your question, I wonder if apartment companies, or even the apartment industry itself, can start marketing renting as a way to build good credit. Is there any history of companies doing that in the past?
Jeffrey, I have not heard of any specific apartment management companies using this as a marketing tool, but I would be very interested in hearing about it if they are!
How exactly is this information posted to their credit report. This process is usually handled thru our collection agency only if the owe money after they move out.
Debbie, that is a great question! Here is a link to Experian’s explanation of how this works: http://www.experian.com/ask-experian/20110216-rent-payments-may-now-be-part-of-your-experian-credit-report.html
Thanks for the comment!
Thank you for discussing the importance credit plays in renting. Reducing risk for property clients through rent assurance is our core competency, and helping enrolled residents to rebuild credit is a key benefit we work hard to get across. Look forward to continuing the discussion.
Thanks for the comment, Richard!
Thanks Kerry for making this public.
We will see if Experian gives me the next step.
I will keep this link posted.
Dear Kerry, I live in Apt 405 and we have had problems with our bathtoob backing up for some time now, But everytime they come out they same there isn’t anything wrong with. I took a picture of it to show the office. they said they would have someone out today, I’m still waiting. Can you please?
Hi Leslie -
Unfortunately, that is not something that we can help out with. Definitely continue to reach out to your landlord or management company.