Credit check service when renter has no credit

[Nicole A.]

I've been using https://www.tenantbackgroundsearch.com/, which I think is connected to the MySmartMove site and I came across an issue. One lady was going through the process of verifying herself and the online system basically said the info she gave could not be verified. I called the company and they said that she didn't have enough background to answer the systems verifying questions. Instead, she'd have to send a copy of a recent utility bill and a copy of her ID or something. This seems like a hassle.

I'm renting in the Baltimore area and many renters have either bad credit or possibly no credit. Have you all run into my situation? I was hoping these credit/background check companies would just require plugging in her SSN, name, and birthday....but apparently that's not always enough.

I have a new applicant who I think may have the same issue of no credit background...and I don't want to run into this issue again.

[Nicole A.]

Oh, ok! Well, like some of us were talking about, depending on your market, credit isn't always the best factor to look at. In a working class/low income area, many people don't have good credit or they don't use credit cards. Some don't even have bank accounts!

So what you look for is rental history. Look for past evictions. Look for judgments against them. Be diligent in checking past landlords (not just one if they've moved around). Perhaps ask for paystubs to know they make enough to make rent. Stuff like that.

I do credit and background checks, but mostly just to see if they conveniently left something off of their application questionaire.