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Updated over 8 years ago,
Should you rent to a tenant who filed Chapter 13 Bankruptcy one year ago?
What are your thoughts to renting to a tenant who went under Chapter 13 bankruptcy? Tenant that applied has a very low credit score of 545 and is under Chapter 13 bankruptcy. Credit check reported bankruptcy on 03/07/2013. It is now 12/16 and not sure of the risks to renting to someone like him.
Here are the other details:
- Told me up front that he had low credit due to his marital issues and he filed bankruptcy but is working that out. Is in middle of getting divorced from her now.
- He makes 100,000/year and I was able to see that in his paycheck stub. (rent is 1275)
- Has had same job for 6 years and I saw on paycheck stub a bankrupcy amount of around 300 being auto deducted each paycheck.
- 3 other mortgages showed up on his credit check and he said those are being rented out.
- He has 2 daughters that would live with him who in college in town.
- He says he is looking for inexpensive place to live and help pay for kids college and is able to provide me with 2months security deposit.
- Left bank account / checking information blank though on our application so dunno how much money he has in the bank.
We like him but are just scared to rent to him due to his bankruptcy and low credit score. Thoughts?