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Home Forums Background and Credit Reports charging applicant for background and credit check

charging applicant for background and credit check

Page: 1
UserPost

3:48 pm
January 5, 2009


Jane

Guest

 Report Post
1

I am asking for $40, un refundable to cover the cost of checking their credit rating.  Is this legally or allowable in California?

I asked this from a person who gave me a signed application and they informed me it was illegal to ask for such a deposit.

Thanks for your help.  Jane


3:51 pm
January 5, 2009


shawndra

Member

posts 39

 Report Post
2

Jane,

 It sounds like they just don't want to pay it. The price you are asking is quite a bit lower than most application/ processing fees. The going rate is $50.  Background and credit reports are common practice for landlords now. Especially with the liability associated with renting to a known criminal. Allowing someone to live in your property is very much like a lending situation. Any lender would require a credit report to guarantee the applicant can pay each month.

We've also found that the application/ processing fee helps keep the applicant from “shopping around” and thus wasting your time and money.

 

I hope this helps. Please let me know if there is anything else I can help with.

 

Thank you,

 

Shawndra Crowther

Shawndra Crowther

Renting Authority

888-674-9181

http://www.RentingAuthority.com

 


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