Rent payments are some of the biggest monthly expenses for most renters. That’s why it’s important to get those payments counted in your credit score. However, simply paying your rent each month won’t automatically get it counted towards your credit score. Here are a few things you need to make sure to do.
Always Pay Your Rent Online
What actually goes into a credit score, and does paying rent online contribute? According to Experian, credit scores are determined by your applications for new loans and credit, your use of credit cards, and your payment history.
When you pay rent online, as opposed to paying with a check, those payments become part of your payment history. Submitting your online payments on time and in full each month will help you increase your credit score.
If Possible, Pay with a Credit Card
One way to make sure that your rent is reported is to pay with your credit card. This makes rent show up automatically in your payment history, and credit bureaus have started to include rent payments in their reports.
If you decide to pay rent with a credit card, make sure your landlord accepts credit card payments. Here at The Evergreens Apartment Homes, we accept credit cards and encourage residents to pay with a credit card to get the full benefit of their payments toward their credit.
Make Sure Your Payments Are Reported to Bureaus
If you pay online, but not with a credit card, you will need to make sure your online payments are seen and recognized by credit bureaus. Rent payments are not automatically reported to them. This can be done through rent reporting, which is “the reporting of monthly on-time rent payments to credit bureaus in order to boost an individual’s credit score,” according to RentTrack. This process doesn’t happen automatically, but using a reporting agency such as RentTrack will make sure your payment is seen by credit bureaus.
At The Evergreens, we have made online payments easy for you through our online resident portal. As you pay online with our portal, use your credit card, and make sure those payments are reported to credit bureaus, you could see your credit score increase in just a few months!