How Do I Do a Credit Check on a Prospective Tenant?

Most landlords who have been in the rental business for a while have a common concern – can you guess what it is? According to TransUnion, a whopping 85% of seasoned rental-property owners experience anxiety over whether or not a prospective tenant will be reliable with making monthly payments, consistently.
 

Unfortunately, the COVID-19 crisis has been a significant contributor to the rise in rent debt – so much so that the number of renting households who are experiencing rent debt has doubled, compared to pre-pandemic statistics.
 

You may have asked yourself, “How do I do a credit check on a prospective tenant?” – that question is an important one, considering these challenging times. Here, you will be introduced to three easy steps that will allow you – as an independent property owner or property manager – to acquire a comprehensive credit check on any prospective client that comes your way – at no cost to you!
 

You want and need to do a credit check before you approve a rental applicant. When you hear statistics like this from CNBC – close to 1 in 5 rental households in the US owe back rent, you realize you must be very selective during the vetting process – your finances will thank you.
 

On average, a delinquent renter owes an astounding $5,600.00 in rent debt – some sources put that number a bit lower and some put it a bit higher. The bottom line, however, remains: don’t put yourself in the position where you find yourself behind this kind of ‘8 ball’ and must use your own money to pick up the financial slack.

When You Do a Credit Check, You Feel Peace of Mind

The beauty of a credit check is that it will list the payment history of a prospective tenant that would include credit cards, student loans, car loans etc. which would cover at least seven years of debt management. A credit check will provide you with an applicant’s financial landscape – good or bad. You can, quickly, narrow down your search for tenants who have had the moxie to be financially responsible and who will, predictably, pay the rent in full, on time, every time!
 

Efficiency is here to act as your business ally to optimize smart landlording. Efficiency is your tech tool that will allow you to:
 

1. Run an applicant’s credit-check report and background-check report, within minutes, at no cost
2. Automate time-consuming, manual tasks related to tenant-screening – savor more free time
3. Sign up for free – your credit card is not needed
4. Reduce vacancy periods – $$ saved
5. Store tenant documents, securely
6. Obtain report results quickly, on any device, 24/7 – mobile-optimization = on-the-go convenience
 

Efficiency allows you to obtain vital insight regarding a prospective tenant’s financial history and personal background, which would include any criminal history. As a result, you maintain the welfare of your current tenants, the safety of your property, and the stability of your business’s finances.
 

Efficiency acts as your layer of protection that helps you to, immediately, garner prospective tenants who show promise with paying their rent in full, on time, every time!

Doing a Credit Check – Let’s Get Started!

Efficiency allows you to collect online applications and comprehensive tenant screening reports, swiftly and at no cost to you! Efficiency is all about making tenant-screening, as easy as 1-2-3:
 

Step #1: Create a free efficiency account to initiate the tenant background check

Creating an account is so easy – Sign up now, and in less than two minutes, you’re ready! And remember: independent landlords and property managers don’t pay a cent to gather the online rental applications, credit checks, and background-check reports they need.
 

Step #2: Invite potential tenants to apply

With your efficiency account established, you are ready to invite tenants to fill out the user-friendly online rental application. With efficiency, inviting tenants to apply for your rental property takes 30 seconds or less! It’s quick; it’s easy! Take a moment to view this short video – it sums up efficiency’s simplified process regarding tenant invitations.
 

Step #3: Review the results of the tenant-background check

Once your prospective tenant completes the application and tenant background check, you will be notified and can view the results on your efficiency dashboard – within minutes!
 

The tenant background-check report will include a credit report, criminal report, and eviction report you can view from any device– anywhere, at any time, concerning anyone. You have the right kind of property waiting to be filled – you want the right kind of tenant to enhance your landlording experience and give you something money can’t buy – peace of mind!