Can you Trade first rent for Cash?
So need some advice, I have a sister that has never had a credit card and therefore no credit. She is having to move out of the friend's house that has been letting her live there free and cant find anywhere that will take her without a credit score or any rental history.
So in the meantime I am looking at a deal that I am short of cash for but want to move on if things all are above board. She seems interested in giving the cash for this to go through but wants it paid back in rent to give her time to get a credit card and build up a score and even rent it afterwards potentially.
So is there any downside, will the lender protest? (Besides the obvious doing business with family issue)
-Zachary Hite
Most Popular Reply
I don't but did look into it at a potential renter's request. I ended up renting to another person so did not follow up with it.
According to Bankrate :
"Experian RentBureau
If your property management company or landlord works with Experian’s RentBureau, your rent payment data can be reported to Experian for incorporation into your credit report with the bureau. If your landlord doesn’t report through RentBureau, you can also sign up through a rent payment service that does, such as RentTrack, PayYourRent or Cozy.
Rental Kharma
Rental Kharma reports rent payments to TransUnion. In order to qualify to use the service you must rent from a property management company or from the owner of the property. Rental Kharma will verify your payment history with your landlord or property manager, and include six months of past rent payments in its reporting. There’s a $50 startup fee to begin using the service, after which you’ll pay $8.95 per month."