A Tenant Credit Check aka Consumer Credit Report is an important aspect of your tenant screening process. It allows you to determine the truthfulness of the prospective tenant by comparing the personal information on the credit report to the personal information on the rental application. i.e. name, date of birth and ssn, current and previous addresses. Fraudsters and High Risk Tenants often provide false information!
A tenant credit report shows you the kind of pay pattern the prospective tenant has. i.e. always late, collections, bankruptcies, unpaid accounts. This is valuable information for a landlord and establishes whether or not the prospective tenant meets your credit worthiness criteria.
Tenant Credit Checks are a valuable tenant screening tool.
A tenant criminal record search minimizes risk of landlord liability. Landlords should conduct as much due diligence as is reasonably necessary to ensure the safety of other tenants, neighbors and themselves. Given the litigious society that we live in today, it is wise to minimize risk and to do what is reasonably necessary to prevent occurrences of criminal activity that negatively impact or harm other people. Ask yourself... that in the event of an incident, would I be seen to have conducted a reasonable amount of due diligence to minimize risk to other tenants or the community? Should I have known that I rented to a career criminal that had the potential of putting other people at risk of bodily harm? The answer is YES.