I’m interested in everything having to do with personal finances and enjoy sharing my knowledge of personal finances with others. My friends know I have an unusual passion for discussing personal finances. Some years back I discussed what a good credit score for renting an apartment is with a friend. My friend didn’t like the idea of having credit cards.
An established history of good credit can produce a good credit score for renting an apartment. Property managers and landlords investigate a person’s credit history before allowing them to sign a lease.
My friend felt that having a good credit history wasn’t important since he had cash and considered himself financially responsible. A poor credit history can keep a person from having a good credit score for renting an apartment. Landlords and leasing agents investigate a person’s credit history when processing leasing applications.
I convinced my friend to open a no-fee, low limit credit card. I told him that he could build a good credit history for renting an apartment by using his credit card to buy things like gas and groceries. My friend eventually established a good credit score for renting an apartment.
You are going to learn what it means to have a good credit score for renting an apartment and how your current credit score affects your ability to rent an apartment. You’ll also learn how to improve your credit score.
How Credit Scores Affect Your Ability To Rent
- Your credit score is a financial report card used by potential landlords and leasing agents to determine how financially responsible you’ve been in the past.
- Landlords and property companies rent to people who’ve established a good credit score for renting an apartment because they are more likely to pay their rent on time and in full.
- A credit score of 620 or higher is required for a person to have a good credit score for to renting an apartment from an individual or company. Scores lower than 620 can prevent you from renting an apartment.
- A good credit score for renting an apartment doesn’t have to be high if you have student loan debt, medical bills, and consumer debt but have a history of making your payments on time.
- Landlords probably won’t rent to you if you have wage garnishments, late payments, and unpaid items on your credit report.
What You Can Do To Have A Good Credit Score for Renting An Apartment
A credit score above 620 is considered a good credit score for renting an apartment. You can still do things to get approved for a rental even if your credit score is below 620.
You need to build a regular history of paying your bills on time over an extended period of time. Even if you don’t have a lot of time there are things you can do to become approved for renting an apartment.
- Make a thorough examination of your credit report. Visit annualcreditreport.com to get a free copy of your credit report. Check your credit report for errors that could lower your score. Report any errors to one of the three credit bureaus.
- Do your homework before apply for rentals. Your credit score can be lowered if you have your credit checked a lot in a short period of time.
- Provide evidence that you are employed. Have your landlord call your employer so he can see that you have a job and can make your rental payments every month.
- Get references from former landlords. Landlords like to get references from former landlords that testify to your having paid the full rent on time every month.
- Obtain co-signers with high credit scores. When a landlord runs a credit check on everyone who has signed their name to the lease and the average score is high he’ll feel more comfortable in renting to you.
Steps You Can Take To Increase Your Credit Score
Improving your credit score will take some time but it’s worth it. Get help to lower your debt. Eventually you’ll be able to get rid of your debt. Manage your money well once you’ve developed a repayment plan. Make your monthly payments on time, keep your credit card balances low, and pay more than the minimum amount required. Make sure to pay the full amount on your bills, rent, and credit cards.
Maintain low credit card balances low so you don’t hurt your credit score. Manage your finances well and soon you’ll have a good credit score for renting an apartment.