Credit Check Fallout

[Mark Wareham]

I own a “renovate and hold” duplex in FL that I just finished. I had a strong response to my ad with several very well qualified candidates competing. I ran a credit checks through RentPrep and after rejecting a highly qualified candidate the candidate called me and advised that due to RentPrep’s inquiry his credit took a 32 point hit.

This is the first time I have had this come up and wanted to know if this is standard for all credit check companies or can it differ between the service providers. I used there $18.95 Background check with the $9.95 Credit Decision Report with RentPrep. This report does not provide a full credit report but identifies if the candidate meets my stated qualifications for FICO score. I assumed that because I used the least invasive product they offered potential tenants would not be significantly impacted by the check.

Does anyone have a opinion on the situation and the service providers in this space? Is a 32 point hit normal? While I need solid information to make a decision I would prefer that potential tenants not be materially harmed by my credit check.

Thanks