Paying your rent on time? Make it count! Discover how the Rental Exchange can boost your credit score and unlock better financial deals, just like mortgage payments do for homeowners.
The Rental Exchange is a scheme that puts your rent payments on your credit report, just like mortgage payments already appear for homeowners.
It was created by Experian (one of the UK's main credit reference agencies) and a social investment organisation called Big Issue Invest.
Here's what it does:
💡 Adds your rental payment history to your credit report
💡 Helps lenders see your financial reliability
💡 Makes your good payment habits count toward better credit
💡 Creates a fairer system for the UK's 13 million renters
Best of all? It costs absolutely nothing for tenants or landlords to participate.
⚠️ Just a quick heads-up: Once you're signed up, missed or late rent payments may be recorded too—and that can negatively affect your credit score, just like with other types of credit.
The process is straightforward: your landlord or letting agent shares your rent payment information with the initiative. When you make timely rent payments, these are recorded on your credit report, just like any other credit activity.
The best part? All three major UK credit reference agencies (Experian, Equifax, and TransUnion) can now access this data, so more lenders can see your excellent payment record.
Be mindful that rent payment data is treated like other credit data. That means consistent payments are a plus—but missed or late ones can dent your score and stay on your report for up to six years.
Normally, paying rent on time doesn’t affect your credit score. Unlike mortgage payments, rent payments have traditionally not been reported to credit reference agencies.
However, with the Rental Exchange, this is changing. By joining the scheme, your on-time rent payments can be added to your credit report, helping to build a positive credit history—just like mortgage payments do for homeowners.
That said, it’s important to remember that missed or late rent payments could also be recorded and could negatively impact your credit score.
So, while the initiative can help you boost your credit score, it’s crucial to ensure your rent payments are always made on time. If you’re not confident in your ability to pay on time, this might not be the right option for you.
You've got three easy options:
💡Tip: Before signing up to a rent-reporting service, double-check how they handle missed or late payments, and whether you'll get notified if an issue is reported.
CreditLadder has been helping tenants boost their credit scores since 2016, making them one of the longest-running rent reporting services available.
Here's how it works:
Pricing options:
The benefit of the paid service is that whichever lender you approach for credit in the future, they should be able to see your payment record, which could significantly improve your chances of approval.
Canopy offers both RENTTRACKING™ and RENTPASSPORT™ tools to build a digital record of your rent payments that you can show to agents, landlords, and mortgage providers.
Like CreditLadder, Canopy uses open banking technology to monitor your rent payments:
Pricing options:
You don't need your landlord's permission to use services like Canopy or CreditLadder, as they don't change how you pay your rent. However, your landlord might be able to set up rent reporting for you directly.
Many housing associations, local authorities, and large landlords or agencies are already part of The Rental Exchange. If your landlord participates, they can report your payments directly to Experian at no cost to either of you.
If your landlord isn't part of The Rental Exchange (they're not legally required to be), you can still sign up for one of the services mentioned above.
The Rental Exchange initiative isn't just a nice idea – it delivers real, practical benefits that can improve your financial life in several ways:
Every on time rent payment gets recorded on your credit file. Over time, these regular payments show lenders you're reliable and responsible with money. Many renters see their credit scores climb within just a few months of joining the scheme.
Better credit score = better deals. You'll not only be more likely to get approved, but you'll also get lower interest rates too.
Traditionally, to build a credit history, many people have relied on credit cards or loans. However, the Rental Exchange now allows your biggest monthly expense—rent—to help build your credit profile automatically, without taking on any extra debt.
This can be a great option for those who want to build credit in a more manageable way, especially if they’re not ready or willing to take on a credit card or loan. It’s an additional tool to help you build your credit, but it’s not the only way. You can still build a solid credit history through responsible use of other types of credit as well.
Many rent reporting services provide digital proof of address – no more hunting for paper bills!
Just starting out? New to the UK? The Rental Exchange gives you a head start on building your financial identity without taking on debt.
Remember, every on-time payment helps build your financial future. The sooner you join, the quicker you'll see the benefits!
Disclaimer: We make every effort to ensure content is correct when published. Information on this website doesn't constitute financial advice, and we aren't responsible for the content of any external sites.
Fiona is a personal finance writer with over 7 years’ experience writing for a broad range of industries before joining Ocean in 2021. She uses her wealth of experience to turn the overwhelming aspects of finance into articles that are easy to understand.
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