How to Report Rent Payments to Credit Bureaus
Having a good credit score is the key to opening many important doors in your life: it helps qualify you for car loans, mortgages, credit cards, and more. A solid, positive credit track record also can also enable you to procure bigger loans at better rates.
There are many factors that can make (or break) your credit. Take for example, how you handle your credit cards. From making payments to overuse, opening simultaneous new accounts, and how long you keep your accounts open, how well you manage your credit card use (or not) impacts your credit history.
This is because credit card companies and networks report your card balances, limits, and late payments to credit bureaus on a regular, monthly basis. The credit bureaus have vetted these entities to be sure that the information that is being transmitted is accurate, valid, and secure.
Now think about credit card fraud – have you ever been in a situation where your credit card has been compromised? What did the financial institution or network that issued your card do?
Chances are they quickly shut down that card and issued you a new one. Identity theft is a serious matter, and your privacy and security are of the utmost importance to financial institutions and networks.
Similarly, credit bureaus understand that the integrity of your credit history is crucial, as that’s what lenders rely on when deciding whether or not to grant you a loan or otherwise extend credit to you. They take your files extremely seriously, and go to great lengths to protect your privacy. This is why, for example, the government advises people to contact all three main credit bureaus when they’re victims of identity theft to place a “fraud alert” on their credit account.
All of this is to illustrate why it’s not possible for just anyone – including you – to report information directly to credit bureaus.
Regardless of where you are in building your credit, be it just starting out, working towards upping your scores in order to qualify for bigger and better loans, or taking steps to improve it if you’ve made missteps, it’s always wise to find ways to positively influence your credit scores.
One relatively new way to help build your credit scores is to get your rent payments properly reported to the three main credit bureaus.
Again, not just anyone can facilitate this for you. You need to be sure that you are dealing with a certified credit reporting agency. There is a rigorous verification process necessary to achieve this status, as each credit bureau has its own requirements. In our case, it took more than half a year of vetting and approvals with each of the top three credit bureaus (TransUnion, Experian and Equifax).
We did this in large measure by implementing and maintaining incredibly high standards when it comes to privacy and security. (You can read more about the lengths we’ve gone to and security systems we have in place here.)
While we hold up the high standards set and required by credit bureaus to allow us to report renters’ payments, on your end, you’ll need to go through a few verification steps as well.
We ask prospective RentTrack customers to provide the necessary information to ensure that their identities are authentic (and not stolen), that payments are going to valid landlords, and that the payment method is authorized for use. This is why we require that you share with us a driver’s license or other official form of ID and answer some verification questions provided by the credit bureaus.
It’s a quick and painless process, yet designed to allow us to maintain the accuracy and integrity necessary to get your rent reported properly.
Once we’ve verified your identity, we help make things easier for you by being reporting your rent to all three major credit bureaus. We were the first to do this and remain one of the very few online rent-reporting companies who can.
And best, of all, you can relax knowing that not only is your private information safe and secure, but also you’re getting credit for paying your monthly rent on time where it really is due AND makes a difference – on your credit scores.