My property manager at our North Carolina community just got a notice from a tenant that she will be late with her rent for the next 3 months because her wages are being garnished for student loans and she can't get a hearing until then.
I heard about this and now I am actually seeing what I suspected would happen, late payments.
In the past, we have not counted student loans during the credit approval part of the application. Now, we have to reconsider that.
I think I need to count them the same as a judgement. If they are on the credit report as "in collections," they have to be paid in full for us to approve the application.
I need to hear from those of you who consider student loans during the approval process. How do you handle it with your resident criteria?