Global information and insights company TransUnion has partnered with CreditLadder, the UK’s first and largest rent reporting platform, to incorporate UK tenants’ rental payments into their credit information.
Rental payment history of those individuals using CreditLadder can now be recorded in their TransUnion credit report, giving finance providers a more holistic view of financial standing and creditworthiness.
Anyone renting can sign up to the service by providing details of their bank account, rent amount and tenancy details, enabling CreditLadder to capture and track rental payments automatically, via Open Banking.
Kelli Fielding, managing director of consumer interactive for TransUnion in the UK said: “We want to empower consumers to take control of their credit information to help them access the finance they need. By helping to ensure that those that are not on the property ladder can benefit from the reporting of their rental payment behaviour, renters can strengthen their credit score and, in turn, access to finance, so we’re delighted to be partnering with CreditLadder to support UK consumers in this way.”
Mortgage payments are already visible within credit information so by including rental data, TransUnion aims to help lenders make more informed assessments about affordability and help ensure consumers are offered the finance that is appropriate to their situation.
Sheraz Dar, CEO at CreditLadder, said: “At CreditLadder, our sole mission is to help UK tenants access fairer finance. Working with TransUnion we are achieving this by helping to innovate the credit reporting process. Having a strong credit report and score can help tenants improve their access to credit and accomplish their financial goals, whether for everyday living or for bigger ticket items like buying their own home or going on holiday.”
Gareth Howell, head of data solutions at TransUnion in the UK added: “Harnessing property rental data will help credit providers to make informed assessments, whilst empowering consumers to utilise their rent payments to help build stronger credit profiles. These insights will also help improve financial inclusion by recognising positive rental payment behaviours.”