If you have been denied a rental lease, the FCRA entitles you to understand why. In this article, I will discuss what that means, and help to break down a tenant screening report process.
A Tenant Screening Report Differ from Credit Reports
When applying for a rental, the landlord will run your credit report. They will also run a tenant screening report. Federal law requires a landlord notify you of why you were denied
The Fair Credit Reporting Act provides rights to both a rental applicant and a tenant. The FCRA requires landlords who deny tenants to provide an “adverse action” and it must:
- Provided to you directly, either in written form or vocally.
- The landlord must provide the company that provided the tenant report, and all their information.
- They must advise you that you have 60 days to request your free copy of the report used to deny the lease.
- The landlord must explain your rights under the FCRA to dispute any inaccurate information.
An adverse action can also require a potential tenant to:
- Have a cosigner on the lease.
- Allow for higher deposits or rent fee, based on information on the report.
Use Your Provided Rights by the FCRA
You should dispute any errors on your tenant screening report and have them corrected, whether the information is inaccurate or outdated. Tenant screening and credit reporting fall under the same statutes, which requires them to investigate disputes within 30 days (unless additional information is required and then it is 45 days) – Note that some states have shorter time periods.
What if Your Rental Application is Denied Due to Tenant Screen Report?
If you’ve been denied for a rental:
- Discuss with the landlord why you were denied, and perhaps you are able to explain the situation. This will also allow you to provide compelling counter evidence if you have it.
- Review your tenant screening report, check for inaccurate or outdated information, and dispute any errors. .
What you can do if your rights were violated
If you think that your rights have been violated, this is a good time to contact a lawyer. You may be able to sue for violations of the federal Fair Credit Reporting Act.
You can also file a complaint with the CFPB online or by calling (855) 411-CFPB.
This article was last updated on May 13, 2022