December 18, 2024
Tenant Rent Payment Credit Reporting
Under Civil Code §1954.7, landlords must offer tenants the option to report on-time rent payments to credit bureaus. For leases signed between January 1, 2025, and March 31, 2025, the offer must be made by April 1, 2025. For leases signed after April 1, 2025, the offer must be made at the start of the tenancy. Tenants can be charged up to $10 per month if reporting incurs costs, but no charges are allowed if it’s free for the landlord. Tenants can opt in or out, with a six-month waiting period to rejoin after opting out. Landlords should prepare written offers, track costs, and ensure compliance with fair credit reporting laws when reporting late payments.
