When Bad Credit Affects in Renting a House, What Should We Do?
It seems difficult to move and plan for your next step when you know that your credit can get in your way. Consumers with clean credit can make long-term decisions easily, but for those who have slipped up financially before; it's always a different story. Almost everything you do now is tied with your credit, because its one way creditors can evaluate your trustworthiness. When it comes to leasing apartment, landlords and property managers also inspect their clients' credit to determine whether they are risky or not. Your credit plays a big factor during this time! You may be lucky to find rental properties that don't check your credit history, but these are limited.
The following tips below can help strengthen your options to rent with bad credit.
Request for a letter of recommendation from your previous landlord
When you get denied of your rental application because of your credit, you can always request for a letter of recommendation from your previous landlord. Apartment owners basically check your credit history because they want to see how you behaved with your past payments. This means that despite you have missed with auto loan or credit card payments but you have a good rental payment record, there's still a good chance landlords will accept your application. Your situation can only worsen, especially that you're carrying a mark on your credit, if you are constantly late with payments or have been evicted from your previous apartment.
Check your report
Before your landlords request a copy of your records, you should do it first. Checking your own credit [http://www.creditdata.com/checking-credit-report/] won't necessarily get you an instant apartment, but its effects can be long lasting. Another good thing about checking your report is that you can make long-term plans to re-establish your credit. By doing this, you can get mortgages, car loans and future rentals easier. Examining your credit report helps you review your record and determine the factors that contributed to the problem. It also gives you the opportunity to explain the problems to your landlord what caused the problem. More importantly, you can identify mistakes and issues that aren't yours, which could possibly affected your credit. By scrutinizing every detail, you can make long-term plans of paying your debts one by one to undo the damages. This may take some time, but getting back on track is one way to boost your chances of getting that dream apartment you want.
Learn to negotiate - pay the rent at least several months ahead
If your application is refused due to poor credit or unreliable rental payment, be clever enough to look for ways that can impress your future landlords. The best way to ensure your application doesn't get ignored is through offering advanced payments or making larger deposits. Negotiate and establish a good arrangement with your landlord. The trick here is to save in advance and use the cash to pay for the expenses. This kind of effort also displays your willingness and determination to cooperate. Take note that you should make this arrangement before submitting and completing your rental application.
Look for co-signers
Co-signers can be a friend or family member of yours, and when they sign the rental with you, they also make themselves responsible for the payments associated with the rental. This can help you ease your load, especially if you didn't qualify for the rental application with your own merit. The rental contracts are listed under the name of the co-signer, so they need to have a clean credit history. Keep in mind that you should be capable of meeting the monthly payment and you should not miss with payments, because your co-signer will also be affected and not only you.
The following tips below can help strengthen your options to rent with bad credit.
Request for a letter of recommendation from your previous landlord
When you get denied of your rental application because of your credit, you can always request for a letter of recommendation from your previous landlord. Apartment owners basically check your credit history because they want to see how you behaved with your past payments. This means that despite you have missed with auto loan or credit card payments but you have a good rental payment record, there's still a good chance landlords will accept your application. Your situation can only worsen, especially that you're carrying a mark on your credit, if you are constantly late with payments or have been evicted from your previous apartment.
Check your report
Before your landlords request a copy of your records, you should do it first. Checking your own credit [http://www.creditdata.com/checking-credit-report/] won't necessarily get you an instant apartment, but its effects can be long lasting. Another good thing about checking your report is that you can make long-term plans to re-establish your credit. By doing this, you can get mortgages, car loans and future rentals easier. Examining your credit report helps you review your record and determine the factors that contributed to the problem. It also gives you the opportunity to explain the problems to your landlord what caused the problem. More importantly, you can identify mistakes and issues that aren't yours, which could possibly affected your credit. By scrutinizing every detail, you can make long-term plans of paying your debts one by one to undo the damages. This may take some time, but getting back on track is one way to boost your chances of getting that dream apartment you want.
Learn to negotiate - pay the rent at least several months ahead
If your application is refused due to poor credit or unreliable rental payment, be clever enough to look for ways that can impress your future landlords. The best way to ensure your application doesn't get ignored is through offering advanced payments or making larger deposits. Negotiate and establish a good arrangement with your landlord. The trick here is to save in advance and use the cash to pay for the expenses. This kind of effort also displays your willingness and determination to cooperate. Take note that you should make this arrangement before submitting and completing your rental application.
Look for co-signers
Co-signers can be a friend or family member of yours, and when they sign the rental with you, they also make themselves responsible for the payments associated with the rental. This can help you ease your load, especially if you didn't qualify for the rental application with your own merit. The rental contracts are listed under the name of the co-signer, so they need to have a clean credit history. Keep in mind that you should be capable of meeting the monthly payment and you should not miss with payments, because your co-signer will also be affected and not only you.