4-27 Implementing Screening Reviews

• A. Timing for Conducting Screening Reviews

All screening activities should occur prior to approval of tenancy. Screening generally occurs at the same time as, or immediately following, the full eligibility review but may occur earlier.

• B. Screening for Credit History

  1. Owners may reject an applicant for a poor credit history, but owners must not reject an applicant for lack of a credit history.

  2. There are two primary sources that owners use to determine credit history.

     • a. Previous landlords. It is good practice to contact the applicant’s previous landlords to determine if the applicant paid rent on time.

     • b. Credit report companies. There are a number of private companies that can provide owners with a credit report on an applicant. These private companies charge a fee for this service. Owners may use such services but may not pass on these fees to the applicant. At an additional cost, some companies can provide additional information by searching public databases for criminal records. Owners must be consistent in the use of credit reporting services.