If you’ve been renting for a while, you might have occasionally wondered, “Can I report my rent payments to credit bureaus? Or can my landlord?”
Even though mortgage payments can count towards improving your credit, it’s difficult for individual tenants (or landlords) to report rent payments to credit institutions to help boost a renter’s credit.
When it comes to credit, it only takes one missed or late payment to affect your credit score. So it can be even more frustrating, especially if you’re a good tenant who pays your rent on time, to not be able to use your on-time rent payments to boost your credit.
Unless your landlord is a RentRedi landlord, and you use RentRedi to pay your rent! 😉
Why Is It Important to Report My Rent to Credit Bureaus?
Credit scores are compiled from a statistical analysis of your credit history which factors in your number of open accounts, total debt, payment history, new credit, and length of credit history. Entities use these scores to determine your risk factor in repaying loans in a timely manner.
For landlords, they might be looking at a tenant’s credit history to determine if they consistently pay their bills as an indicator of whether or not they will pay their rent on time.
For tenants, it can be beneficial to report your on-time rent payments if you have a lower credit score, as these are consistent payments that can improve your score for long-term or future goals:
- Access lower interest rates for car loans, home loans & other loan types
- Waive or reduce deposits to open utility or cell phone accounts
- Increase your credit limits
- Be a more attractive tenant
Can My Landlord Report My Rent to Credit Bureaus?
In general, Experian, Equifax, and TransUnion (the 3 biggest credit bureaus) only allow larger landlords to report their tenant’s rent payments to credit bureaus.
However, landlords who use RentRedi can offer tenants the ability to report rent payments made through the RentRedi app.
While landlords can’t do it directly, tenants who are on the RentRedi mobile app because their landlords use can opt-in for a rent reporting subscription plan
How Can I Report My Rent Payments to Credit Bureaus?
When you pay rent through the RentRedi mobile app, you can report all on-time rent payments to TransUnion to boost your credit score. 60% of renters even see improvements after 1 month!
- Login to the RentRent mobile app for tenants
- Tap the “Rent” button on the home menu and tap “Report Rent”
- Select “Report Entire Lease” to share current & future rent payments
- Select “Add Past Payments” to report past rent payments & to get you to 12 full months of reporting!