Kansas City, KS · Member since 2015 · 33 posts · 2 votes
I am using Cozy.co to do my background checks among other things. While the credit check normally comes out instantly the background checks are taking up-to 5 days (for someone with past issues). Cozy.co uses another service called checkr.com for the same. The 5 day wait is a big pain IMO.
I agree, a 5-day wait would be a huge pain. I'd think you'd lose out on good tenants and vacancy holding costs.
We partner with TransUnion the major credit bureau, which is also one of the largest (if not the largest) rental screening organization in the US (maybe world?). They have over 200 million criminal records that get searched.
Best part is, like the credit report, it is instant upon tenant approval.
I agree, a 5-day wait would be a huge pain. I'd think you'd lose out on good tenants and vacancy holding costs.
We partner with TransUnion the major credit bureau, which is also one of the largest (if not the largest) rental screening organization in the US (maybe world?). They have over 200 million criminal records that get searched.
Best part is, like the credit report, it is instant upon tenant approval.
Kansas City, KS · Member since 2015 · 33 posts · 2 votes
10y
Great. So if it's completing checks instantly regardless of issues or not, I would be a good choice. Can the tenant choose not to share the report after completion?
When do you estimate the online payment to be available?
I'd imagine the reason your screening is taking a while is the background service is trying to see if your Joe Tenant is the same person as another Joe Tenant (of the same name) with a record.
Because TransUnion has the full credit information of an applicant, in addition to the criminal data, they can apply advanced logic to eliminate false-positive results for 2 people of the same name. Thus, the secondary name-matching issues are factored in instantly and further name investigating becomes unnecessary.
Once the tenant approves the sharing of the report it will be provided to the landlord instantly, so the tenant can't review it, then decide not to share. Once they agree to share - the landlord has the full credit and criminal report within a few seconds.
Rent payments will be released very soon and we are currently accepting users. Feel free to reach out to me directly via private message for further details and to be among the first to try it.
Kansas City, KS · Member since 2015 · 33 posts · 2 votes
10y
Cozy is great other than the screening process. You can still use it for other steps including online payments. The Bank transfer also takes 5 days but they are working on it to make it faster.
Buy & Hold Owner · Redlands, CA · Member since 2015 · 5k+ posts · 2k+ votes
10y
@Sarnen Steinbarth: "Once the tenant approves the sharing of the report it will be provided to the landlord instantly"
With the right access to TransUnion, the tenant does not need to approve sharing and the LL gets it all online, immediately. The rental application must state
I declare the above statements are true and correct and agree that they are part of the rental / lease agreement. I hereby authorize a background check, verification of references, employment and a credit check as a condition of occupancy; Signature _______________________________ Date __________
The signature is the pre-authorization.
I've been getting TransUnion CRs since 1998 using RHOL.COM
Commercial Real Estate Broker · Fort Collins, CO · Member since 2015 · 308 posts · 151 votes
10y
@Jeff B. mentioned above). You are referring to CreditRetriever.
There are and pro's and con's to both, but for our typical user of 1-100 units SmartMove is the more logical option:
It does not require that a landlord have a physical onsite inspection at their place of business (so landlords can begin screening immediately upon signup)
Since the consumer essentially pulls their own report it is a "soft inquiry"
This method of inquiry does not lower or affect the tenants credit score in any way, where a "hard hit" does. If a tenant is applying to a lot of units this could be a deterrent and I've had tenants ask me what type of inquiry it is.
The tenant does not have to publicly share their SSN with the landlord - something tenants are becoming more and more sensitive to.
You still get a full credit report, with the score
It can be completed 100% online, no need for paper applications or re-typing tenant information
Both services pull from essentially the same data, as they are both back by TransUnion. They both provide credit reports, criminal reports and (optionally) eviction reports.
For us, I'd say the most important reason is the top one - the fact that our landlords can immediately screen a tenant, and not have to jump through the regulatory hoops of an on-site inspection.
I've personally screened over 1000 tenants and have used both TransUnion products listed above.
Roseville, CA · Member since 2015 · 57 posts · 26 votes
10y
The source of criminal data is a County Court. Some, but NOT ALL counties report their criminal records to databases. A record found in one of these databases must be verified with the County Court before it can be reported. This is the reason your searches are sometimes taking several days to complete.
Keep in mind that if you are relying completely on a database for your criminal records, there will be false positive hits, discrepancies, inaccurate records and information that is not up-to-date. A database search should be used as a safety net or preliminary search. Just because a database offers million of records, doesn't mean the county your applicant is coming from is covered in the search.
I understand the inconvenience of waiting several days for the results of a background screening report. This issue boils down to a matter of speed versus quality information. Consult with your Consumer Reporting Agency to make sure you are receiving a report that helps you achieve your property goals.
The fast ones are trouble. When they take long you can be sure it is done right!
I am not sure about that Jeff. I had seen the background check with one of my applicants, now a tenant, be clear and then one month later, it reverted to having problems. The applicant had a misdemeanor which did not show up initially and they revised the report later. The tenant is now giving me problems.
Real Estate Broker · Kansas City, MO · Member since 2016 · 36 posts · 38 votes
10y
Hi Ketan,
I've lurked on the site for a while now, but finally decided to join to I could add to your discussion/topic. I have used Cozy.co for screening in the past, and have experienced the same wait times as you for certain screening checks. The 2 times I've experienced wait times longer than 48 hours from Cozy, both missed evictions records which were easily accessible through Missouri's Public Records database. The 1st miss was an applicant that had an eviction in 2012 (less than 5 years), and the 2nd was an applicant that was undergoing an eviction proceeding at the time of applying. The Cozy check missed both items, eventually (after several days) declaring both as "all clear". Thankfully, Cozy was not the only screening service I use, and as such - both applicants were turned down. Long story short, don't rely on Cozy.co's Eviction checking as 100% accurate/up-to-date without your own research.
Residential Real Estate Agent · Twinsburg, OH · Member since 2014 · 6 posts · 1 vote
10y
I just used SmartMoves from TransUnion. I got my result within minutes for credit, criminal and evictions. It was very simple to setup. I AM GLAD I CHECKED! There seems to have been missing information and other information that was downplayed during the application process.
I used it through the Bigger Pockets site at Tools and then tenant screen.
Roseville, CA · Member since 2015 · 57 posts · 26 votes
10y
You should ask your representative at Cozy @Ketan Patel if you're not sure what kind of criminal report you're receiving. As @Jason Moore mentions, there are multiple sources for data, and some may be better than others. Consider learning more about the process and look at product options that meet your goals. I'm available to help if you contact me directly.
Roseville, CA · Member since 2015 · 57 posts · 26 votes
10y
I don't think you're using the credit report properly @Vitaliy Merkulov. Checking a credit report validates the social security number of your applicant and provides a verified address history. The history shown on the credit report should be compared to the application before completing a rental or employment verification. Otherwise, you may be contacting an unverified source of data.
A "soft" pull report refers to a consumer initiated request and doesn't come with a score. This type of request is for Employment Screening or checking your own credit. Tenant screening is not a soft pull. Some companies have catered to consumers by allowing them to check their own credit (soft) and share their report results with landlords, but screening tenants this way is not favorable to property managers.
Commercial Real Estate Broker · Fort Collins, CO · Member since 2015 · 308 posts · 151 votes
10y
Actually there are a handful of "soft" inquires used in tenant screening, including our process, that do come with a credit score.
There are some great advantages to this method, including that it does not affect the tenants credit score. Some of the best tenants out there (with the best scores) will be cognizant of the differences between "hard" and "soft" inquires and prefer not to apply to multiple rentals whose landlords use the "hard" hit process.
So by doing hard hits, you may actually be missing out on some of the better tenants that don't want hard inquires affecting their good credit.
I've had over 1000 tenants, and done both methods in the past, and am now a fan of the "soft" inquiry method.
Vancouver, WA · Member since 2016 · 230 posts · 161 votes
10y
While I think these smartmove clone type services have their places, nothing compares to getting a full report instantly without having to have the tenant do a thing. Yes it's a hit on their credit, but frankly, nobody really cares or knows it's happening. Contrary to what some people think, hits on ones credit like that are not that damaging (probably less than half a point each). Also they are aggregated so if a tenant applies at 10 different places and has 10 credit pulls, it generally just equals one. The FICO formula is a secret, but that's how everybody says it works.
Also, quality of data is a HUGE factor. There are nationwide criminal databases that are "nationwide", but only contain a few counties in each state. Talk to your screening vendor and get a list of every county they cover to see how complete their database is. "Nationwide" means nothing other than they get at least one county in each state. I'd be willing to bet most of the screening vendors being discussed here won't even give you a covered county list.
Property Manager · Sacramento, CA · Member since 2015 · 121 posts · 33 votes
10y
I do think credit report is a must, but it's not enough to know who the applicant really is.
I used the TransUnion service to pull the applicant's credit at first, but that only give me the credit score and not the full credit report that you would get if you pulled the applicant's report yourself.
@Sarnen Steinbarth does your "soft" pull give you a credit report or just a score?
Then I signed up with the service that allowed me to see the full credit report not just the score. But even after that, I was not able to see anything on the tenant's credit report to make me be cautious about approving them.
That's why I think landlord references are the best way to REALLY know who the applicant is.
Commercial Real Estate Broker · Fort Collins, CO · Member since 2015 · 308 posts · 151 votes
10y
Yes it does. In addition to the quick "snapshot" with a summary and score, we also provide all the line-item details for a more in-depth look (which could be 20+ pages of details).
Credit Report Includes:
Credit Bureau Score
SSN Verification
Employment History
Fraud Indicators
Address History
Payment History
Collection Accounts
Civil Records
Background Check Includes:
Criminal History
Violent Offender Search
Most Wanted Search
Sexual Offender Search
Compares over 200 million criminal records from national, state and local databases
Englewood, CO · Member since 2014 · 101 posts · 44 votes
9y
Hi @Account Closed
I'm a representative with TransUnion SmartMove. The difference is in the way the credit report is received. A landlord that pulls credit directly from a credit bureau will need to have an on-site inspection. SmartMove uses a process in which the renter “pushes” their credit report to the landlord, which does not require an on-site inspection and allows the landlord to view reports within minutes. The renter’s social security number is masked to protect their privacy and to relieve the landlord of the responsibility of securely storing this information. If you have other questions feel free to send me a note on BiggerPockets. Thanks!