Tenants Credit Reports and Credit Scores – Episode #74

Tenants have rights when it comes to credit reports and credit scores.  Landlords need to make sure they are following FCRA guidelines when it comes to these reports.

When can a landlord pull a credit report?

• If you own, manage, or are an agent for a property you may pull a credit report and credit score on a prospective applicant
• A landlord cannot pull reports for friends, relatives, himself/herself or for any fraudulent purpose

Legally landlords don’t need to show reports to consumers regardless of whether or not the application is accepted.  In fact, some do

Adverse Action – FCRA requires the landlord to send a notice to the applicant informing him of the action taken and advising the tenant of his rights under the FCRA, including the right to obtain his consumer report from the screening service or credit bureau.

Tenant prospects don’t need to provide credit reports when they are applying for an apartment.  However, many tenants strengthen their attractiveness by printing out their own credit reports and credit scores and including them in the application.  Back in the heyday of a frenzied rental market in San Francisco, people would show up with a folder that included a blank check, an apartment resume, and their credit score and credit report.

Plus, you could save some money as 1 report with FICO score will cost you about $16, whereas the apartment landlord may charge you $30 for pulling your report.  You won’t be able to force him/her to use your score, but some landlords will not check your report again saving you that charge.