Credit Checks

[adonaghy]

I’m going to be advertising and renting out a property soon and I’m looking for some advice about credit checks. My stepson rented a house in another area recently and they asked him to produce copies of his credit reference checks, meaning he paid for these himself. Am I allowed to do this? I thought I would not be allowed to ‘charge’ tenants for processing such information -but if I ask them to go ahead them self is that ok? Also what credit check companies would you use? 

[Richlist]

I do hope that you have considered either taking rent guarantee insurance or asking for a home owning guarantor. Going for insurance would mean they would do the checks. 

[adonaghy]

Hi yes I did thanks Richlist. I took forums advice and have this cover with Direct Line     and considering also asking for home owning guarantor . My impression from Direct Line though was that I had to have checks done 

[Richlist]

Wouldn't it be best to talk with Direct Line first and find out how their insurance cover operates. I'm not quite sure what you mean by 'impression'.....surely you need to know exactly what they do and what they expect you to do.

 

[Mortitia]

Do your own checks and don't rely on 3rd party advice.   Why not join the RLA/NLA and get checks done at a preferred rate.  Fees are tax deductable too.  I also double check with the employer that the applicant actually works there.  I have had the situation where a would be renter has given notice on his job and used them as a reference.  Time in employment with a particular company is important too.  Check it out yourself is my recommend.

[adonaghy]

On the direct line blurb it says ‘ you need a reference for each tenant and each guarantor from a licensed referencing service before tenancy begins’ . When I took out the insurance I asked and they repeated this verbatim. I was hoping to ask any potential tenants to provide said references ( at their cost) if possible .