How To Get Rent Payments Added To Your Credit Report

For many renters, monthly rent is the single largest recurring payment they make, yet for years that payment history simply did not show up anywhere on a credit report. That is starting to change. A growing number of tools now let renters get their on time rent payments counted toward their credit history, which can be especially helpful for first time home buyers who have not built up much of a credit file yet.

Here is generally how it works. Either your landlord or property manager already reports payments to one or more of the three major credit bureaus, Experian, Equifax, and TransUnion, or you sign up with a third party rent reporting service that verifies your payment history and forwards it to the bureaus on your behalf. Some services report to all three bureaus, others report to only one or two, so it is worth checking before you sign up if your goal is to boost your score everywhere it counts.

A few practical steps. First, ask your landlord or leasing office whether they already participate in a rent reporting program, some property management companies do this at no cost to residents. If they do not, look into a reputable rent reporting service and compare which bureaus each one reports to, what it costs, and whether it can include past rent history or only payments going forward. Keep paying on time once you enroll, since a missed or late payment can now show up on your credit file just as a positive payment would have helped it.

Building this kind of payment history will not replace the other basics of good credit, like keeping credit card balances low and paying every bill on time, but it can be a meaningful head start for renters who plan to buy a home down the road. If you are working on your credit while you plan a future move to new construction in the Katy, Texas area, it is a step worth exploring now rather than waiting until you are ready to apply for a mortgage.