Rent Payment History Helping Property Managers
Over the past year, there has been a lot of debate about rent payment history being made available to property managers. As I hear more about it, I see the advantages of providing property managers with additional data. And ultimately, I think it will benefit property management companies.
Until this year, a person’s rent payment history was not factored into their credit score. A prospective resident could have a great credit score but could be a repeat offender of paying their rent late. Reporting rent payment history to credit bureaus will encourage residents to pay on time and in full. Reporting the data will also help the underbanked or credit-challenged to improve their credit score by consistently pay their rent on time. Plus, if property managers have the tools to select better residents, they can spend less time on debt collection and focus on customer service and lease conversions.
Check out this article from MultiFamily Executive and let me know your thoughts. Do you think resident payment history is a valuable tool? Or is this personal information that should not be shared?