The Question
The idea of RentPlus was born in answer to a question. The question? Well, it is likely a question that the majority of people who have paid rent have asked or at least thought about; “Why can’t the rent I am paying each month, my largest expense, do something more for me than simply give me another month with a roof over my head?”
One-third of all housing in the United States is made up of rental properties. That is 43 million American households that are paying rent and not receiving much in return. More people are renting now than ever. Renter households increased from 34 million in 2005 to the 43 million households that rent today, with no signs of slowing down. The increase of nearly 9 million renter households between 2005 and today exceeds rental growth during any 11-year period in recent history.
The Answer
Again, with such a large amount of us paying rent “Why can’t the rent I am paying each month, my largest expense, do something more for me than simply give me another month with a roof over my head?” The answer? With RentPlus it can!
Simply put, RentPlus reports your on-time monthly rent payments to the three credit reporting agencies (TransUnioin, Equifax, and Experian). The credit reporting agencies then records your monthly rent payment as a positive payment on your credit report. Paying your monthly rent on time will help build your credit profile and your credit score.
A HUGE benefit of RentPlus is that up to 24 months of your previous on-time rent payments can be reported to the credit reporting agencies at no additional cost. This has provided a significant instant increase in the credit scores of thousands of individuals!
The Reason
Having worked in the banking industry for nearly 10 years, I clearly recognize how important having a good credit score is. In fact, it is my opinion that it is more important now to have good credit than it has been in times past. The reason? Interest rates on all types of loans and credit products remain near an all-time low. This allows us to save thousands on interest that we would pay with higher rates of the past and the likely future.
On the flip-side, due to the recent credit crisis and increased regulations, banks and other financial institutions are generally far more scrutinizing when considering loan approvals, interest rates, and amounts. Having good credit could be the difference between getting approved or declined for an auto loan. It also could be the difference in paying thousands more in interest if a loan is approved based on a higher-than-market interest rate due to a low credit score.
Having a good credit profile can also help with obtaining lower premiums on auto insurance. Auto insurance companies have found that people with poor credit tend to file more claims and are often penalized with higher insurance premiums. Many services including utilities, cell phones, TV, and internet require up-front deposits. With good credit you can receive waived or lower deposits which can save you hundreds of dollars when moving to a new location.
I had been employed by a large national bank for several years when my team’s manager informed us that every employees’ credit report was going to be pulled by the company. If there were any blemishes on our credit reports we would be required to give an explanation to the company. It was implied that poor credit could also lead to loss of employment.
More employers today than ever before are looking to potential or current employers credit reports to determine whether to hire or even retain certain employees. If we have a good credit score, employers may interpret that as us being more trustworthy and responsible, which are qualities employers are looking for.
The Conclusion
Renters, of all ages and circumstances, make up a large portion of our nations population. We at RentPlus believe that someone who is renting should have the opportunity to build their credit by paying their rent on time. An individuals ability to build or maintain credit shouldn’t be limited to high-interest credit cards or similar high-risk expensive alternatives. Your rent payment is highly likely to be your largest monthly expense. We will help you get the credit you deserve by paying your monthly rent on time.
Everything we do at RentPlus is to assist our customers in being financially strong, financially smart, and financially prepared. Your credit score is just one part of that. RentPlus offers engaging and entertaining personal financial education online through our FinStrong program. After all, financial knowledge is financial power.
Powerful automated tools are key in managing personal finances. RentPlus provides you with RentPlusMoney, an empowering personal financial management tool that allows you to organize, track, and control your money. You can pull all of your accounts into once place, view your income and spending by category, create a powerful budget, and set meaningful and attainable financial goals.
Ask your property if they are a RentPlus property. If they are not yet, let them know that you want the benefits of RentPlus.
