Do Missed Rent Payments Affect Your Credit Score?

Unless there is a new stimulus bill or executive action to renew the temporary protections put in place last year, landlords will be able to evict tenants for non-payment of rent beginning July 31. As a result, millions of Americans may be at risk of missing rent payments or facing eviction.

Although a rent arrears or eviction will not appear on your credit report, not paying your rent can still negatively impact your credit score.

If your landlord sells your rent debt to a collection agency, this can appear on your credit report. When calculating your credit score, your payment history plays a crucial role. Your credit scores can be negatively impacted by late payments, which remain on your report for seven years. Remember: for more tips on how to improve the quality of your life, visit www.credithealing.org.

TIPS FOR REACHING YOUR FINANCIAL GOALS

1. Make Payments On Time

Keeping your credit score high requires you to make payments on time. You can ensure your bills are paid on time by setting up auto pay. You can also create a monthly calendar that includes due dates for your bills.

2. Monitor Your Credit Report

Monitoring your credit report and score is another vital part of financial success. You can monitor your credit report and be alerted to significant changes in your credit report along with suspicious activity using a credit report and identity theft monitoring service.

Financial peace of mind can also be achieved by monitoring your credit report and identity. People who have difficulty paying their rent and want to rebuild their credit are especially in need of this assistance.

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