Below is How To Do A Credit Check On A Tenant In South Africa
In South Africa’s highly competitive rental market properties are in high demand and short supply. With economic uncertainty and the rising cost of living placing pressure on consumers, many have put their homeownership aspirations on the backburner and are opting to remain in the rental market for the meanwhile.
“Any missed, or slow payments will have a negative impact on a consumer’s credit score.
However, it is also important to be mindful of the less obvious credit infractions such as opening too many accounts, numerous credit inquiries, co-signing for a third party, or only paying the minimum required payment. All of these things will impair your records and could scare off landlords,” Goslett explains.
He provides prospective tenants with tips to avoid adverse information on their credit history:
Read all clauses before signing a contract with a creditor.
Make regular payments to creditors by the 7th of each month.
Keep a list of all creditors, the basis of credit and the amount to be paid.
Keep a record of all payments made to creditors.
If you relocate, notify all creditors of the change of address.
Attend to all correspondence from creditors or their legal representation.
Tenants can get a free credit report from the following sites:
www.transunion.co.za
www.experion.co.za
www.xds.co.za
www.compusan.co.za
Can I ask the tenant to pay for a credit check?
Your landlord or letting agent shouldn’t force you to pay a fee for a credit check. If they do you can report them to Trading Standards.
If you fail a credit check, explain why you think this might have happened.
If you know you can pay the rent, tell your landlord or letting agent.
How do I do a credit check on a potential renter?
The Tenant’s Full Legal Name.
Addresses for at least the Last Two Years.
Social Security Number.
Date of Birth.
Current Employer.
Current Landlord.