Does RentCafe help build credit?
Summary
- RentCafe offers rent payment reporting through RentCafe Rewards, which can help build your credit score when you pay your rent on time.
- When you sign up for rent payment reporting, your on-time monthly rent payments are automatically reported to all three major credit bureaus (Experian®, Equifax® and TransUnion®), which can contribute to a stronger credit profile over time.
- As a RentCafe Rewards member, you can sign up for rent payment reporting for free, with no changes to how you pay rent.
Most rent payments aren’t automatically included in your credit report, which means you may miss out on a chance to build credit through a payment you’re already making.
Rent payment reporting is a service available through RentCafe Rewards and powered by IdentityIQ® that automatically sends your monthly rent payment data to the major credit bureaus, allowing your on-time payments to count toward your credit history and help build it over time.
Lenders and creditors can then see a more comprehensive picture of your financial responsibility; not just credit cards and loans, but your rent payments too. This can be especially helpful if you’re just starting to build credit or looking to strengthen an existing credit profile.
Adding consistent, on-time rent payments to your credit report can support your score in a few essential ways. It can:
- Help build a positive payment history (one of the biggest factors in your credit score).
- Diversify the types of accounts in your report.
- Give lenders more confidence in your financial habits.
Keep in mind: While many renters see positive results, individual outcomes may vary. Different lenders may use different credit scoring models when evaluating your creditworthiness. Rent payment reporting is a helpful tool that can contribute to a stronger credit profile, but it’s one piece of a bigger financial picture.
How to activate and use rent payment reporting
You can sign up for rent payment reporting for free if you are a RentCafe Rewards member. Services must be available at your property to be able to sign up.
Follow these steps:
1. Sign up for RentCafe Rewards
Log in to your RentCafe account.
2. Activate rent payment reporting for free
Once you’re a RentCafe Rewards member, you can turn on rent payment reporting in your account at no cost.
3. Pay your rent on time each month
Continue paying rent the way you normally do; there will be no changes to your payment process or lease terms.
4. Your payments are reported automatically
IdentityIQ® collects payment data and reports to all three credit bureaus (Experian®, Equifax® and TransUnion®) on the 24th of each month.
Tip: If you sign up on or after the 24th of the month, your payments will begin appearing in the next month’s reporting cycle.
Upgrading your rent payment reporting service
Once you activate rent payment reporting, you can upgrade your service at any point. With a Credit Advantage membership, you can access additional tools designed to help strengthen your credit profile even faster.
What the upgrade includes:
- Historical Rent Reporting: Get up to 24 months of past rent payments added to your credit history, even payments made before you signed up for the service.
- Credit protection tools: Access identity theft protection and fraud alerts to help safeguard your financial information.
- Real-time credit monitoring, including access to your credit reports and scores.
- Credit and debt budgeting platform and financial wellness tools.
- Extra RentCafe Rewards points.
This upgrade is entirely optional. The free rent payment reporting included with RentCafe Rewards is a powerful tool on its own. The upgrade simply gives you more ways to help build credit and earn rewards.
You can upgrade your service in the rent payment reporting section within your RentCafe account.
FAQ
When you join RentCafe Rewards, signing up for rent payment reporting is included at no charge. It’s a built-in benefit of the program with no additional fees and no points required. The optional Credit Advantage upgrade with extra features does come with a membership.
You need to join RentCafe Rewards to be able to activate rent payment reporting, which can then help you build your credit score.
IdentityIQ® will initially report the last three months of rent payments to the bureaus. You will have the option to include additional months of rent payments from the same address if you upgrade your service.
The service only reports on-time payment history to credit bureaus, so a late payment won’t show up as “late” on your credit report. You may have a late fee, but there’s no negative impact on your credit if you miss a single month. If you miss three months in a row, the rental tradeline will be removed from your credit report.
Yes. You can sign up for rent payment reporting even if you’re already using a different service. The credit bureaus have systems in place to identify and consolidate duplicate data, so your credit report stays accurate, and your score won’t be affected by using multiple services. While you don’t need to cancel your other service, you may want to compare the benefits of each and decide what works best for your goals.
While the bureaus are responsible for ensuring accurate reporting, you should review your credit reports regularly. If you notice discrepancies or have questions, you can contact the IdentityIQ® customer service team at 1 (888) 739-0906.