Tenant Credit Check Canada: A Landlord's Guide

What a tenant credit report shows, why consent is required, how to read it fairly, and what to do if an applicant disputes something.

A credit report is one of the most common checks landlords run. Used well, it helps you understand how an applicant has handled payments in the past. Here's what to know before you order one.

Consent comes first

You need the applicant's consent before pulling their credit. Tell them why you're checking and how the result will be used. With Vcheck, the applicant gives consent and verifies their identity through a secure link before any check runs.

What a credit report usually shows

• A credit score
• Open and closed accounts, such as credit cards, loans and lines of credit
• Payment history, including late or missed payments
• Collections and certain public records
• Recent credit inquiries

Reading it fairly

• Look at patterns, not a single number. A recent, steady payment record can matter more than an old problem.
• A thin file isn't a bad file. Newcomers to Canada and young renters may have little credit history.
• Apply the same standard to every applicant, and don't use the report to screen out protected groups.
• Remember the report is one input. References and rental history matter too.

If an applicant disputes something

Only the credit bureau can change credit information. The applicant should contact Equifax Canada or TransUnion Canada directly. Vcheck is a facilitator that passes on results as the source returns them; once a bureau corrects a record, Vcheck updates the report at no cost.

Keep it secure

Credit reports contain sensitive personal information. Store them securely, share them only with people involved in the decision, and don't keep them longer than you need.

This guide is general information, not legal or financial advice.