TOPIC: What do you do when the spouse of an applicant (with excellent credit) has NO credit score?

What do you do when the spouse of an applicant (with excellent credit) has NO credit score? 6 months 3 weeks ago #47191

This happened to my husband and I. Our score was 750 and we decided to get totally out of debt and stop buying on credit. We did! However, several years later we thought, Hey, maybe it's time for a NEW car. We had been purchasing used cars and paying cash. When we applied for a new car loan, we were turned down and told our score dropped to zero because we had not used credit in over 2 years. We literally had to start over and build up our credit again. We started with a secured credit card - like an 18 yr old just out of high school. ????‍♀️. BUT here we are 3 1/2 years later and our credit score is 830.
  • Keri Parker Clark
  • Keri Parker Clark's Avatar

What do you do when the spouse of an applicant (with excellent credit) has NO credit score? 6 months 3 weeks ago #47192

I always say no credit is better than bad credit!
  • Briana Downs
  • Briana Downs's Avatar

What do you do when the spouse of an applicant (with excellent credit) has NO credit score? 6 months 3 weeks ago #47193

Unless you’re prepared to change your entire company guideline with regards to your credit requirement moving forward, you have to unfortunately deny or it’s a fair housing issue. We’ve lost what I’m sure are great residents to this issue (we require a minimum of 6 months credit or rental history) but if we allowed it solely because they are married, it opens up a can of worms. And that my response to them exactly. Plus, what if a couple isn’t or can’t get married?
Someone suggested they add themselves to a spouse’s existing credit and that’s a great workaround. They assume that credit history and then fit within your boundaries. It just takes 30 days to appear on a credit report.
If you think this policy is hindering your leasing, you need to discuss the criteria with your company first, before altering the policy. While we probably lose some good residents with our criteria, I know we avoid some potential issues too. It’s never a perfect system.
  • Lauren Orsi
  • Lauren Orsi's Avatar

What do you do when the spouse of an applicant (with excellent credit) has NO credit score? 6 months 3 weeks ago #47194

I believe you answered your own question. You have a minimum score requirement for each applicant. They don’t meet that qualification. However, do you use a screening agency? If so, what was their decision.
  • Jay Thompson
  • Jay Thompson's Avatar

What do you do when the spouse of an applicant (with excellent credit) has NO credit score? 6 months 3 weeks ago #47195

We process people together so, if the spouse has “excellent” credit - they’d be approve with no additional deposit with my company, more than likely.
I’ve been doing Dave Ramsey for 2 years now. I have 0 credit cards and I don’t plan on ever using them again. So, I understand why some people have never used “credit” - it’s sad they could be punished for it in certain situations... not your fault but to me, I see it as a good thing.
  • Crystal Buchanan
  • Crystal Buchanan's Avatar

What do you do when the spouse of an applicant (with excellent credit) has NO credit score? 6 months 3 weeks ago #47196

I have had parents be a guarantor and ran their credit and it come back that way. The reason for it was because they have it locked with credit reporting agencies. They have to call to unlock to have it ran.
  • Wendy Nemmer
  • Wendy Nemmer's Avatar

What do you do when the spouse of an applicant (with excellent credit) has NO credit score? 6 months 3 weeks ago #47197

Depends on how old that person is. If they're early 20's, I can believe they don't have any credit. Any older than that, they're likely lying. They would have at least some credit history, a car loan or even just inquiries for phones, apartments, electric service, etc.
  • Tammie Birdwell
  • Tammie Birdwell's Avatar

What do you do when the spouse of an applicant (with excellent credit) has NO credit score? 6 months 3 weeks ago #47198

We need proof of being able to pay rent for a lease term. We go by past debts owed to landlords/utilities, savings and/or employment. Some people don’t want to be in debt (have any kind of credit score), and I’m married to one of those folks. Lol
  • Chris Peterson
  • Chris Peterson's Avatar

What do you do when the spouse of an applicant (with excellent credit) has NO credit score? 6 months 3 weeks ago #47199

No credit Is better than bad credit
  • Linda Kogen
  • Linda Kogen's Avatar

What do you do when the spouse of an applicant (with excellent credit) has NO credit score? 6 months 3 weeks ago #47200

We would just add them as an occupant that way credit doesn’t come into play.
  • Jessica Renee Stranger
  • Jessica Renee Stranger's Avatar

Multifamily Discussions

More Topics »