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    • happypuppy
    • By happypuppy 10th Oct 16, 9:13 AM
    • 156Posts
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    happypuppy
    Private landlord -Credit and Right to rent check
    • #1
    • 10th Oct 16, 9:13 AM
    Private landlord -Credit and Right to rent check 10th Oct 16 at 9:13 AM
    Hi All ,
    I am a private landlord. Is it possible for me to do the relevant checks such as credit check and right to rent, for the potential tenants I have found myself?

    If this is not possible is there another option without having to use a letting agent?
    Thank you so much for any information.
    TIA
Page 2
    • Miss Samantha
    • By Miss Samantha 11th Oct 16, 9:43 AM
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    Miss Samantha
    It is very different - why should I show you as a landlord my credit report? You have no need to know that.
    Originally posted by Brightspark87
    Of course there is a need.
    The landlord is providing credit and has a very valid reason to check your credit-worthiness. This is the same when you wish to buy a mobile phone plan or when companies want to check new customers.
    • DaftyDuck
    • By DaftyDuck 11th Oct 16, 10:05 AM
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    DaftyDuck
    It is very different - why should I show you as a landlord my credit report? You have no need to know that. I am not borrowing any money from you and you are NOT FCA authorised therefore not offering any form of protection from my point of view for managing money - simply entering an agreement to pay you money for a service - do you have to show your credit report for joining a gym? Of course you don't. You can see public records etc and that covers you for insurance if you have to make a claim if I fail to pay rent.
    Originally posted by Brightspark87
    I am, in effect, loaning you my £500,000 house, on promise of payment that may, or may not, come.

    Why should a landlord not expect to see some indication or proof you are likely to pay what you say you can/will?

    As to the "joining a gym" analogy - there are frequently threads on here from folk who have cancelled (or tried to cancel) a membership, and are chased through the courts.
    • Guest101
    • By Guest101 11th Oct 16, 10:20 AM
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    Guest101
    I am, in effect, loaning you my £500,000 house, on promise of payment that may, or may not, come.

    Why should a landlord not expect to see some indication or proof you are likely to pay what you say you can/will?

    As to the "joining a gym" analogy - there are frequently threads on here from folk who have cancelled (or tried to cancel) a membership, and are chased through the courts.
    Originally posted by DaftyDuck
    That's the point though, you can always go through the courts.

    You'll only get desperate people to agree to show you their credit report, desperate people aren't the ones you want as tenants
    • Pixie5740
    • By Pixie5740 11th Oct 16, 10:20 AM
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    Pixie5740
    Since rent is paid in advance landlords are not extending a line of credit to tenants. Therefore, much like an employer credit check, there is a limit to how much information landlords can see when credit checking tenants.

    Lenders and card issuers get more information when they credit check applicants because they are extending lines of credit.
    Annual income twenty pounds, annual expenditure nineteen pounds nineteen and six, result happiness. Annual income twenty pounds, annual expenditure twenty pounds nought and six, result misery.
    • DaftyDuck
    • By DaftyDuck 11th Oct 16, 10:38 AM
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    DaftyDuck
    Rent should be paid in advance - the problem comes when rent isn't paid as it should be. If the rent is paid (all other things being vaguely equal), and the house supplied and maintained (again, vaguely =), there's no problem.

    I'd certainly expect/support some form of mutual landlord/tenant credit reporting; where tenant is asked to show his, so should ll be willing.

    A good clean credit report is, of course, just historic, and shows no real clue as to future reliability. I'm sure there are many with poor credit history who'd pay the rent come what may, whilst many with perfect scoring will not.

    Frankly, credit ratings don't matter at all to me; most of my tenants are just starting out, and few have any credit history at all. I'd much rather know my tenants, let them judge me as much as I'd pigeonhole them...

    Problem is, those with the least good records also have little choice - and far less money to fall back on!
    • DaftyDuck
    • By DaftyDuck 11th Oct 16, 10:52 AM
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    DaftyDuck
    That's the point though, you can always go through the courts.

    You'll only get desperate people to agree to show you their credit report, desperate people aren't the ones you want as tenants
    Originally posted by Guest101
    ... and, I guess there's only some point in chasing through the courts if there's some cash worth chasing, so you are back to wanting some financial info beforehand...

    But, to the OP's point, I'd still rather base my decision on what I think of a prospective tenant, not some rigid, inflexible system. And I agree with Guest; those who are desperate will be the ones who have little choice, and will agree, while those who have the choice will walk!
    • Miss Samantha
    • By Miss Samantha 11th Oct 16, 10:58 AM
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    Miss Samantha
    Since rent is paid in advance landlords are not extending a line of credit to tenants.
    Originally posted by Pixie5740
    Are all tenants made to pay the whole rent of a fixed term tenancy in advance? Can they be evicted the day after the tenancy has ended?

    Like in many business situations landlords are expecting to be paid only after the 'goods' have been delivered. That's why credit checks are very important.

    As said, whilst there are valid reasons to restrict access to the full credit record there are equally good reason for landlord to access it if they could.
    Arguing otherwise does not make sense.
    Last edited by Miss Samantha; 11-10-2016 at 2:26 PM.
    • Bluebirdman of Alcathays
    • By Bluebirdman of Alcathays 11th Oct 16, 11:01 AM
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    Bluebirdman of Alcathays
    Are all tenants made to pay the whole rent of a fixed term tenancy in advance? Can they be evicted the day after the tenancy has ended?

    As said, whilst there are valid reasons to restrict access to the full credit record there are equally good reason for landlord to access it if they could.
    Arguing otherwise does not make sense.
    Originally posted by Miss Samantha
    Why don't you approach the FCA and ask for permission to access people's in depth credit files as you are a provider of credit?
    • Miss Samantha
    • By Miss Samantha 11th Oct 16, 11:10 AM
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    Miss Samantha
    Why don't you approach the FCA and ask for permission to access people's in depth credit files as you are a provider of credit?
    Originally posted by Bluebirdman of Alcathays
    I'll repeat again:
    I understand that there are good reasons to restrict access to this information.
    However, this does not mean that landlords have no need for it. It would be very useful for them.

    I don't see the point in arguing that landlords have no need for this information.
    • Bluebirdman of Alcathays
    • By Bluebirdman of Alcathays 11th Oct 16, 11:13 AM
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    Bluebirdman of Alcathays
    I'll repeat again:
    I understand that there are good reasons to restrict access to this information.
    However, this does not mean that landlords have no need for it. It would be very useful for them.

    I don't see the point in arguing that landlords have no need for this information.
    Originally posted by Miss Samantha
    If they want it, they should go down appropriate avenues to obtain it. In this thread, people are for some insane reason suggesting that LLs should be given people's login details. However, as you know, if a LL approached the FCA they would be told to Frank Bough and stop wasting everyone's time.
    • Miss Samantha
    • By Miss Samantha 11th Oct 16, 11:20 AM
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    Miss Samantha
    If they want it, they should go down appropriate avenues to obtain it. In this thread, people are for some insane reason suggesting that LLs should be given people's login details. However, as you know, if a LL approached the FCA they would be told to Frank Bough and stop wasting everyone's time.
    Originally posted by Bluebirdman of Alcathays
    Have you got anything to reply to my actual post?
    • Guest101
    • By Guest101 11th Oct 16, 11:39 AM
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    Guest101
    I actually can see the merit of a LL seeing someone full history and equally I can see the merit of a tenant seeing the LLs.
    • FBaby
    • By FBaby 11th Oct 16, 1:25 PM
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    FBaby
    I'm always amazed at how protective some people are of their credit history. I wouldn't care one bit showing mine to whoever would want to know for whatever reason... because there is nothing there that anyone would be interested in.

    Can't help but think that those who do have an issue with it do so because they have something to hide.
    • Brightspark87
    • By Brightspark87 11th Oct 16, 2:32 PM
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    Brightspark87
    Rent should be paid in advance - the problem comes when rent isn't paid as it should be. If the rent is paid (all other things being vaguely equal), and the house supplied and maintained (again, vaguely =), there's no problem.

    I'd certainly expect/support some form of mutual landlord/tenant credit reporting; where tenant is asked to show his, so should ll be willing.

    A good clean credit report is, of course, just historic, and shows no real clue as to future reliability. I'm sure there are many with poor credit history who'd pay the rent come what may, whilst many with perfect scoring will not.

    Frankly, credit ratings don't matter at all to me; most of my tenants are just starting out, and few have any credit history at all. I'd much rather know my tenants, let them judge me as much as I'd pigeonhole them...

    Problem is, those with the least good records also have little choice - and far less money to fall back on!
    Originally posted by DaftyDuck
    Just to let you know I have dealt with someone who had total earnings of over £1 million in 2014/15 but could not get a mortgage due to previous debts and bad credit rating - more than paid off (he moved and forgot to change address). All paid off and sorted. He more than afforded his very expensive penthouse! Therefore not everyone with a bad credit rating is cash or asset poor. Also, as a renter, doesn't mean you don't have any assets. What about people who have to move for work before selling old property? Or who are also landlords but cannot live for whatever reason in their home so rent where they need to be based? Hundreds of examples of this. Second homes etc too.

    You are all also missing the point surely? You are worried about tenants paying the rent and ruining your house as this is your investment. Fine. Do checks. Buy insurance to cover yourself. Don't treat the tenant like they have the jump through hoops so you can judge them and decide to rent to them. This is a business deal and therefore you try to reduce risk with the above steps. However, as with any investment there is still a risk - which you understand is part and parcel of owning a rental property or any investment.

    OP - do whatever you want to do. However, honestly - if my brothers or friends said they had to provide a credit report or for you to be able to log in as them on their report I would tell them to run a mile as it looks dodgy. If you do not trust your tenant after the standard tests then they are not the rights ones for you as I feel it is completely unnecessary.
    Last edited by Brightspark87; 11-10-2016 at 2:50 PM.
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    • FBaby
    • By FBaby 11th Oct 16, 3:41 PM
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    FBaby
    This is a business deal and therefore you try to reduce risk with the above steps. However, as with any investment there is still a risk - which you understand is part and parcel of owning a rental property or any investment.
    Since when do customers decide on behalf of businesses what level of risk they should or shouldn't be taking?
    • Guest101
    • By Guest101 11th Oct 16, 3:42 PM
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    Guest101
    I'm always amazed at how protective some people are of their credit history. I wouldn't care one bit showing mine to whoever would want to know for whatever reason... because there is nothing there that anyone would be interested in.

    Can't help but think that those who do have an issue with it do so because they have something to hide.
    Originally posted by FBaby
    Define 'something to hide'

    Are you one of those people that just does as they're told, without question?

    Nothing to hide, nothing to fear types?
    • Guest101
    • By Guest101 11th Oct 16, 3:44 PM
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    Guest101
    Since when do customers decide on behalf of businesses what level of risk they should or shouldn't be taking?
    Originally posted by FBaby
    Well typically customers set the market trend...
    • Miss Samantha
    • By Miss Samantha 11th Oct 16, 3:47 PM
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    • 870 Thanks
    Miss Samantha
    Since when do customers decide on behalf of businesses what level of risk they should or shouldn't be taking?
    Originally posted by FBaby
    You're wasting your time discussing and expecting genuine replies, unfortunately...
    • Brightspark87
    • By Brightspark87 11th Oct 16, 3:47 PM
    • 1,408 Posts
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    Brightspark87
    Since when do customers decide on behalf of businesses what level of risk they should or shouldn't be taking?
    Originally posted by FBaby
    What? Do you not understand my point?

    No customers have a say in how the business conducts itself or the risks it takes.

    However if they do not like the behaviour they chose not to use that service. Therefore - yes a tenant has the right to a) not move into the property as the landlord is going OTT with checks and it is worrying them or b) accept these checks move in. As the 'customer' in this situation they do still have the most important right - to be able to take their 'business' elsewhere!
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    • Sootoo
    • By Sootoo 11th Oct 16, 5:05 PM
    • 19 Posts
    • 7 Thanks
    Sootoo
    Try the Tenant Verify site - they do a comprehensive check for about £30 - don't forget to give the tenant a copy of the EPC and How to Rent Booklet as well
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