Are you a tenant? Do you pay your rent on time? If so, read on…
A tenants largest expense is most likely to be rent. What surprises most tenants is that currently, this DOES NOT count toward their credit score.
What I could see is the ability for someone to add their rental payments and opt into having them reported to a Credit Reference Agency via an integration with a company such as CreditLadder. The CreditLadder reporting service is free. This, in turn, would help to build their credit score through their Starling account and as a result, provide them better deals and savings when seeking credit agreements for mobile phone contracts, white goods, a car or a home.
Rewind a couple of years and The Big Issue Invest (their investment arm) partnered with Experian to create The Rental Exchange following the success of the established Rental Bureau in the USA. The idea is for social and private tenants in the UK to have rent reported helping with identity checks and allowing for access to better credit. Whilst they have been successful in helping 2m social tenants it is now the turn of private tenants. CreditLadder is recommended by Experian for tenants to report their rent and make it count towards their credit file. See: http://www.experian.co.uk/rental-exchange/tenants.html
What are your thoughts on this concept?