easyProperty welcomes RICS’ payment history referencing concept
7 December 2016
London – Rob Ellice, easyProperty CEO, supports RICS’ lobbying for a database of renters’ payment histories to replace credit checks. He believes the Deposit Protection Service (DPS) should work with referencing companies to ensure landlords secure tenants with no previous history of withheld deposits or rent arrears.
Currently, County Court Judgements (CCJ) are issued to rogue tenants for rent arrears but the process for a landlord to pursue this course of action is significantly timely and costly according to Ellice.
He said, “Many undesirable tenants know it is difficult and often more expensive to pursue them for money owed, which is why they don’t have CCJs and are allowed to repeat their behaviour. This gives good tenants a bad name and is often why deposits are six to eight weeks’ worth of rental income.
“However, if the DPS could tell referencing companies if an individual has a flawless record where deposits were repaid in full or the majority has been repaid, then landlords have more peace of mind. Equally, if the DPS can score those tenants who’ve consistently had rent arrears or deposits withheld, then it gives landlords the foresight to choose another candidate instead.
“Basically, it will work like a credit score for the private rental market.”