Build Your Credit Score with Online, On-Time Rent Payments

April 29, 2020

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Sam Fangman

RentTrack blog

Nearly every renter has heard the line, “Renting is throwing money away.” This timeless adage refers to the renter’s lack of ownership of the space they’re occupying, as well as the absence of building credit on a home equity loan. What this sweeping statement fails to account for are the massive financial implications of owning a home. Between property taxes, HOAs, repairs, renovations, and large appliance purchases; homeowners are taking on much more than a monthly mortgage payment. For those who simply cannot commit to the tremendous costs of home ownership without accruing major debt, but who still want to boost their credit score, RentTrack is an ideal solution. RentTrack is revolutionizing the multifamily rental industry with online payment technology that provides renters the option to report rent payments to all three major credit bureaus: TransUnion, Experian, and Equifax with no added monthly cost. In addition to the rent reporting and the convenience of online payments, renters will have access to a comprehensive dashboard displaying their credit score and credit summary, empowering them to easily track and monitor their progress.

Tenants Can Boost Their Credit Score Without Acquiring Debt

RentTrack debunks the common misconception that you must take on a mountain of debt in order to build a good credit score. This game-changing platform allows renters to build credit with their online, on-time rent payments. For most tenants, rent is their largest monthly expense. Giving them the option to report rent to credit bureaus incentivizes your residents to continue making those prompt payments—which equates to faster, more convenient payments for you as the property manager. And a consistent and reliable track record makes for satisfied creditors.

To report payments to a credit bureau, renters must work with a certified data furnisher. RentTrack achieved this status after undergoing and passing a vigorous verification process. The RentTrack team prioritizes security and the integrity of the renter’s personal data through strict identification processes, data encryption, and adhering to PCI compliance practices.

An Advantage During Circumstances Caused by COVID-19

As the COVID-19 situation continues to be omnipresent in our lives, online rent payments eliminate unnecessary contact with your leasing office staff. Gone are the days of handling potentially contaminated documents and rent checks. Beyond the pandemic, implementing a digital payment structure will seamlessly streamline your receivables and save you time.

According to data collected by the National Multifamily Housing Council, nearly one-third of 13.4 million U.S. renters did not pay rent between April 1st and April 5th, 2020. Offering a unique and influential service like rent reporting during these challenging and unprecedented times gives your residents an additional reason to pay rent on time. Building a solid credit score during these uncertain days encourages a stronger financial future when the inevitable economic boom happens once social distancing requirements are lifted.

Save Time, Integrate RentTrack with Rent Manager

Ensure that your portfolio stays entirely up to date and in-sync with all facets of your operation by integrating RentTrack with Rent Manager. When tenants make rent payments, the funds are transferred to you by the next business day for all payment types, without complicated processing fees.

In a recent case study conducted by RentTrack, Horizon Land Company, a mutual Rent Manager and RentTrack user, reported that their residents increased credit scores by an average of 59 points over a 21-month period.
Kate Costello from Horizon Land Company shared, “RentTrack provides our company with a major selling feature, encourages timely rental payments, and increases usage of the online payment option (which reduces onsite workload).”

Empower tenants to make smart financial decisions while simultaneously generating more revenue for your business. Attract more residents and give your business a competitive edge in today’s ever-evolving industry with RentTrack.

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