With TransUnion SmartMove, you can check potential tenants and co-signers in minutes without having to store their personal data. SmartMove offers a rental credit report, a rental background review and a national eviction report so you have a more complete picture of their context. With reliable information from TransUnion, you may feel safer in your decision to accept a client with a co-signer. RentPrep compares a co-signer to insurance if you are considering a candidate who would otherwise not meet your rental criteria. According to You Check Credit, a co-signer`s contract should make the co-signer co-responsible for all of the tenant`s financial obligations, including surety, tenancy, costs and damages. In the search for a place to live, the search for a dream apartment is just one step. A potential tenant must also be approved by a real estate administrator or landlord to reside there. If the tenant has little rental history, bad credits or income less than three times the monthly rent, the landlord cannot find the potential tenant who is qualified for renting the apartment. However, there are ways to prove to a landlord that someone is trustworthy and pays the rent consistently and on time.
One way to do this is to have a co-signer. If you are asked to bring you with you, make sure you understand what it means before agreeing to co-sign a lease. What if you want to help your friend with the extra roommates in the rental agreement? Things can be negotiated, which means you can only cover part of your friend`s rent. You may need a lawyer to help you work out the details and develop a new agreement. This will help you to be covered by all financial risks. A co-signer could help you protect your rental income while remaining more flexible with your rental criteria. For example, university students or young tenants may not have had enough time to build their credit history. There may be other circumstances, such as medical bills or unemployment, that can make a tenant good on paper risky. You are your training partner tells you nothing about your financial responsibility. Remember that your relationship with the tenant must be able to withstand all the low and down and from this agreement.
If you don`t think you know this person well enough to remain your friend if your lease is wrong, it`s probably not a good idea to sign up with them. Make sure you know your financial habits before signing on the polka dot line. Do you know their spending trends and, preferably, their credit score. Are they fiscally responsible? Do they pay their bills by the hour? Are they employed and can they cut a job? As they are comfortable asking you to become their co-signer, you should feel the same feeling when you have to see their bill statements to check after late fees and credit history.