Pay Rent Online to Build Credit
Why Credit Is Important
Creditors use a credit score to determine the financial risk of lending money, so if you’re looking to make a major purchase or rental, creditors can assess the likelihood of being paid back (on time). Credit is important when you are looking make an important purchase, like buying a car or renting an apartment. However, maintaining a good credit score and building credit is not always easy, particularly for those without a long credit history. There are many factors that can hurt a credit score. We know that it can be tough to rent an apartment with a low or no credit score, which is why CYM Living offers the ability to pay rent and build credit.
Does paying rent build credit? – YES!
Since the mortgage crisis of 2009, there has been a noticeable increase in the amount of consumers choosing to rent property. There were about 5 million more renter households in 2013 than were reported in 2007. Thanks to the introduction of the pay rent to build credit system, it is no longer necessary to own property and pay a mortgage to build a healthy credit history. A majority of the renter population is capable of benefiting from this new system by paying rent online and having it included in credit reports.
- CYM Living has formed partnerships to help our renters* get the credit they deserve for on-time monthly payments.
- Around the middle of each month, our partners will submit a rent payment file to Experian.
- As long as you pay your rent on time each month, you will remain eligible for the service. Late or missed payments will result in unenrollment.
- You will be able to establish, build and improve credit, giving you access to more financial products and better interest rates.
Pay Rent, Build Credit
Until recently, rent payment was not factored into your credit score. CYM Living offers the ability to pay rent and build credit by paying rent online and on-time. We submit rental payment information, including the amount, the timeliness of the payment, and any balance owed, to include in credit reports. Rental payment information will then appear on consumer files alongside their other financial obligations such as auto loans, credit cards, and student loans. The inclusion of rental payment history in credit reports allows you to build your credit score through timely rent payment.
‘Pay rent, build credit’ programs are particularly useful for anyone who rents, particularly non-credit-active and cash-based customers. These programs are also useful for young people in their 20’s who have little or no credit history, as they allow them to begin building credit consistently. With our easy-to-use online rent payment portal, CYM Living makes building your credit simple!
Information Reported
By paying your monthly rent on-time, your on-time payment history will be reported to Experian and can be reflected in your credit report.
The Benefits of Paying Rent Online
Paying rent online has many benefits beyond building credit!
- Avoid late fees with automatic rent payment
- Track your rent payment online
- Paying rent online makes sharing rent with roommates much more convenient
- No annoying checks! That means no dealing with envelopes and stamps, or the landlord saying it didn’t arrive on time
- Paying rent online is better for the environment. Save a trip to the post office!
Learn More about Credit
Your credit score may be used in many scenarios - auto loans, mortgages, credit card applications, and more - so it is important to build and maintain credit.
*Available at select CYM Living, LLC properties only
