You are here: Home - Saving-Banking - News -

Renters to pay £8/month to report data to big credit reference agencies

Written by:
CreditLadder has introduced an £8 a month fee for new customers who want to report their rental payment data to both Equifax and Experian.

Rent reporting platform CreditLadder allows users to provide their rental payment information to either Equifax, Experian or both credit reference agencies.

Renters, who typically have ‘thin’ credit files due to limited borrowing history, were offered a lifeline when services such as CreditLadder launched allowing them to add on-time rental payments to strengthen credit ratings.

Originally, it partnered with Experian three years ago before partnering with Equifax in March this year. With both services, there was no cost to the tenant and as such, tens of thousands of renters signed up to the scheme.

And while renters can report to either Experian or Equifax for free, for those who want to report to both the credit reference agencies (CRAs), CreditLadder has introduced an £8 a month fee as of September.

However, those who pay for the year upfront will be able to pay a lesser amount at £60 a year, the equivalent of £5 a month.

Further, the changes are for new customers while existing customers will switch to the new pricing model once they move rental property. They can of course continue to just report to one CRA to avoid a monthly fee.

One user took to Twitter to express his dismay at the move. He wrote: “Just read about @creditladder’s new £8 per month charging just to report that someone’s rent has been paid to the CRAs. I accept that there’s probably costs involved in running the system, but not £8 per month… As if renters don’t have a tough enough time as it is.”

Sheraz Dar, CEO of CreditLadder, said: “As with all businesses, it’s important they are commercially viable. The rent reporting service, open banking platform and the customer service we provide (rated 5* on TrustPilot) comes at a cost.

“We have therefore introduced a ‘Freemium’ model that continues to allow tenants to benefit from the service for free, but with enhanced features attracting a fee.”

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Everything you wanted to know about ISAs…but were afraid to ask

The new tax year is less than a fortnight away and for ISA savers or investors, it’s hugely important. If yo...

Your right to a refund if travel is affected by train strikes

There have been a wave of train strikes in the past six months, and for anyone travelling today Friday 3 Febru...

Could you save money with a social broadband tariff?

Two-thirds of low-income households are unaware they could be saving on broadband, according to Uswitch.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

DIY investors: 10 common mistakes to avoid

For those without the help and experience of an adviser, here are 10 common DIY investor mistakes to avoid.

Mortgage down-valuations: Tips to avoid pulling out of a house sale

Down-valuations are on the rise. So, what does it mean for home buyers, and what can you do?

Five tips for surviving a bear market mauling

The S&P 500 has slipped into bear market territory and for UK investors, the FTSE 250 is also on the edge. Her...

Money Tips of the Week