Does Paying Rent Build Credit?

Paying rent does not build credit unless your payments are reported to a credit bureau.^[1] You can have rent payments count towards your credit by either signing up for a rent reporting service yourself or asking your landlord to sign up for one.

Because landlords and property managers aren’t considered creditors — rent isn’t considered debt — they don’t automatically report your payment history to Experian, TransUnion, and Equifax, the three major credit bureaus. So rent payments aren’t usually included as part of your credit history.

Key points

• Rent payments do not automatically build credit unless reported to credit bureaus by you or your landlord through a rent reporting service.
• Only newer credit scoring models, such as FICO 9, 10, and 10T, and VantageScore, consider rent payment history when calculating your credit score.
• Late rent payments can damage your credit score if they remain unpaid for 30 days or more and are reported to credit agencies or sent to collections.

How rent payments may affect your credit score

If your landlord reports rent payments to a credit bureau, your rent payment history may affect your credit score the way your general payment history can. On-time monthly payments can have a positive effect over time, potentially elevating your credit score, while missed or late payments can hurt your score.

Which credit scoring models consider rent payments?

Rent payment history currently may be factored only into your VantageScore®^[2] and FICO® 9, 10 and XD scoring models.^[3]

FICO® has many versions, and the difference between the models is essentially what information they consider in your score calculations.

The following credit scoring models do take rent payment history into account. While they’re not the commonly used credit score models, they may still be considered by certain lenders:

• FICO® 9^[4]: FICO® 9 is the first FICO® score to take rent payments into account. Consistent, on-time monthly rent payments should positively impact your score.
• FICO® 10^[5]: Similar to FICO® 9, the FICO® 10 is a newer FICO® score that also takes reported rent payments into account, with a positive payment history positively impacting your score.
• FICO® XD^[6]: FICO® XD is a score designed to help previously unscorable borrowers who haven’t been able to get credit access due to low or limited credit history. It takes rent payments into account as a way to be more inclusive to those who would be unscorable under other models.
• FICO® 10T: Rental payment data that is reported to the credit bureaus is factored into FICO 10T and VantageScore 4.0, along with other newer scoring models. The use of these models is expected to increase recognition of rent reporting among mortgage borrowers.^[7]
• VantageScore^[2]: VantageScore® considers rent as well as utility payments in calculating credit scores, if they’re reported by either a landlord or the borrower uses a third-party rent reporting service. Self offers a free rent reporting service* that reports positive rental payments each month to Equifax, Experian, and TransUnion, with no credit history required and no hard credit pull.

How to report rent payments to credit bureaus

As mentioned before, there are two main ways for rent payments to count towards your credit score: either you or your landlord has to sign up for a rent reporting service. That service then furnishes the data to credit bureaus.

If you’re concerned about the accuracy of your records, note that rent payments, like any information collected by credit reporting agencies, are covered by the Fair Credit Reporting Act.^[9] FCRA requires that all information reported about a consumer is accurate, so that extends to anything your landlord can report when using a third-party service or sending general information: tenant screenings, payment history and so on.

Rent reporting services for individuals

Some rent reporting services allow consumers to report and manage their information directly, with little or no landlord involvement. Some of these services include:

• Boom: Boom is an app that partners with the three major credit bureaus, Experian, Equifax, and TransUnion, to allow tenants to report rental payments. It charges a $5 per month (billed at $60 annually) for ongoing reporting, with an additional $25 fee for historical reporting (up to 24 months).
• Rent Reporters: RentReporters reports rental payment history to Equifax, Experian and TransUnion for its subscribers, offering up to 24 months of historical reporting. It charges a $94.95 fee to enroll with an ongoing monthly fee of $10.95..
• Rental Kharma: Rental Kharma partners with TransUnion and Equifax to report rent payments from your current residence. There is a $75 fee for historical reporting of all past payment history at your current address. For ongoing reporting that keeps your account open and current, you pay $8.95/month.
• Self: Self's Free rent reporting service reports positive rental payments each month to Equifax, Experian, and TransUnion. There's no credit history required and no hard pull. You can also add utility and cell phone payments by upgrading your subscription for $6.95 a month.

How to choose a rent reporting service

If you already have good credit, adding your rental payment history may not be necessary. For bad credit, however, a solid, positive payment history may impact your score if it is reported by rent reporting services.

When looking for a rent reporting service, keep in mind some of the following factors:

• Consider the cost and benefits. Is your rental payment history good enough to justify the cost of enrolling in a service and paying an ongoing fee? Make sure the benefit of reporting your on-time rent payments is worth the cost of using the service.
• Ask your landlord if they already use a reporting service. If your landlord already uses a rent reporter, it may be easier and less expensive for you to opt in.
• Shop around for reputable companies, Be sure that the company you’re interested in using is legitimate before sharing your sensitive data with them. You can cross-reference its information with resources like the Better Business Bureau.
• Consider whether roommates or other household members can be added. Some services may allow joint accounts, while most are meant for individuals.
• Look at which credit bureaus are contacted by the service. Not all rent reporting services have relationships with all three credit bureaus; many report to one, or two. Opting into a service like Self gives you the advantage of having your positive payment history reported to TransUnion, Experian and Equifax. The more credit bureaus your payments are reported to, the more credit history you have at each bureau.
• Evaluate if the service reports past rent payments and how far back they’ll report. Many services offer to report some range of past rent payment history, often for an additional fee. Some can go further back than others, which may be a better option if you have a long history of consistent payments at your address.

Are landlords required to report rent?

Landlords aren’t currently required to report rental payment information. In most states, though, recent legislation has created new requirements and programs. As of 2025, California requires residential rental property owners to offer tenants the option of having their positive rental payment information reported to at least one nationwide consumer reporting agency, with this offer required at lease signing and annually thereafter for leases entered into on or after April 1, 2025. ^[10]

Colorado completed a pilot program in April 2024 that demonstrated the effectiveness of rent reporting, with participating tenants seeing an average credit score increase of 62 points. ^[11]

The general idea behind these laws/programs is to help low-income tenants build credit when they may otherwise lack opportunities to do so.

Whether or not a landlord is required to report rent is up to the discretion of each state. Check in with your state’s specific laws online to see how you might be affected.

Do late rent payments affect a credit score?

Late rent payments can negatively impact your credit score. The three major consumer reporting agencies, Experian, Equifax, and TransUnion, utilize rental payment and related debt collection information in their credit reports, although the methods they employ to handle this information vary.^[12] Missing a rent payment by a few days won't hurt your credit, but if you leave your rent unpaid by 30 days or more, it could damage your credit if your landlord reports the delinquency to one or more credit reporting agencies.^[13]
The impact may also apply if you're delinquent on rent payments, even if you aren't using a rent reporting agency, because your landlord could attempt to collect on your missed payments through a debt collector or collection agency. If your landlord can't collect the debt on their own, they may opt to sell it to a collection agency, and the collection agency will typically report the debt to the credit bureaus.^[13]

Does paying rent with a credit card build credit?

In addition to using a rent reporting service, using a credit card to pay your monthly rent payments may help you build credit, as long as you also make your credit card payments on time. Making credit card payments on time positively impacts payment history, the most important credit score factor.

However, making rent payments on your current credit card doesn’t create a new, positive item on your credit report. Instead, you increase the balance that you must pay off each month to avoid high interest rates associated with credit cards. So unless you have a new credit card dedicated to rent, putting rent on an existing card you use each month already may have little impact on your credit.

More ways to build credit

Even if you’re able to have rent payments count towards your credit score, you can find other ways to build credit that you shouldn’t ignore. Some strategies to help build your credit include:

• Considering a credit builder account. A Credit Builder Account may help you build positive credit history and build savings. Unlike a traditional loan, where you receive the money upfront, with a credit builder loan you make monthly payments, which are put into a certificate of deposit (CD) or savings account. You receive your lump sum (minus interest and fees) as soon as all your payments are made. Each payment gets reported to the credit bureaus.
• Getting a secured credit card. A secured credit card requires a security deposit to open an account. As long as you make on-time monthly payments, you can build a positive payment history.
• Becoming an authorized user. Being an authorized user with someone who has a good credit score not only helps you begin building credit if you have poor or limited credit history, but it can also increase your creditworthiness by association. Just make sure the authorized user has a low credit utilization ratio (the total amount of revolving credit balances divided by their total revolving credit limits) has been paying the account as agreed and has had the account open for some time.
• Checking your credit report for errors. Be sure to inform credit bureaus of any incorrect information or missing payments on your credit report, so that they’re not held against you.

Make rent payments work to your advantage

If you’re looking for a way to help build your credit score, and know you’ve made consistent, on-time monthly payments towards your rent, it may be to your advantage to try to have rent payments reported to credit bureaus.

Rent reporting services like Self can help you get started in making your rent payment history work for you.

When it comes to building credit and maintaining a good credit score, leave no stone unturned: Any positive payment history you have is just more evidence to show potential lenders how reliable you can be.

*Results vary. You may not receive an improved credit score. Not all lenders use scores impacted by rent/utility payments.
The Rental Reporting Company information in this article is provided as an informational resource only. It is not inclusive of the entire industry. While the information has been verified prior to publication, we can not guarantee pricing or features will not change.

Sources

1. U.S. News. “How Can You Get Credit for Paying Rent?” https://money.usnews.com/credit-cards/articles/how-can-you-get-credit-for-paying-rent. Accessed August 1, 2022.
2. VantageScore. “VantageScore Data Shows That Rent Reporting Can Positively Impact Credit Score,” https://vantagescore.com/resources/knowledge-center/vantagescore-data-shows-that-rent-reporting-can-positively-impact-credit-score-the-new-york-times/. Accessed on August 19, 2025.
3. FICO®. “FICO® Scores Versions.” https://www.myfico.com/credit-education/credit-scores/fico-score-versions. Accessed January 9, 2023.
4. FICO®. “FICO® Score 9 Now Available to Consumers at myFICO.com,” https://www.fico.com/en/newsroom/fico-score-9-now-available-consumers-myfico-com. Accessed August 1, 2022.
5. FICO®. “FICO® Introduces New FICO Score 10 Suite,” https://www.fico.com/en/newsroom/fico-introduces-new-fico-score-10-suite. Accessed August 1, 2022.
6. FICO®. “FICO® Score XD,” https://www.fico.com/en/products/fico-score-xd. Accessed August 1, 2022.
7. FHFA. “Credit Scores,” https://www.fhfa.gov/policy/credit-scores. Accessed September 26, 2025.
8. VantageScore. “How to Build Your Credit.” https://vantagescore.com/consumers/how-to-build-your-credit/. Accessed on August 19, 2025.
9. Federal Trade Commission. “Fair Credit Reporting Act,” https://www.ftc.gov/legal-library/browse/statutes/fair-credit-reporting-act. Accessed August 1, 2022.
10. California Apartment Association, “New 2025 Laws For The Rental Housing Industry” https://caanet.org/new-2025-laws-for-the-rental-housing-industry/ Accessed September 19, 2025
11. CHFA, “Rent Reporting for Credit Pilot Program” https://www.chfainfo.com/getattachment/58566fbc-ad82-47a5-8957-66a83d4e2006/CHFA-Rent-Reporting-for-Credit-Pilot-Program-Report.pdf Accessed September 19, 2025
12. Consumer Financial Protection Bureau. “Does Late Rent Affect My Credit Score?” https://www.consumerfinance.gov/ask-cfpb/does-late-rent-affect-my-credit-score-en-1815/. Accessed on August 19, 2025.
13. Experian. “Can Late Rent Payments Hurt My Credit Score?” https://www.experian.com/blogs/ask-experian/can-late-rent-payments-hurt-my-credit-score/. Accessed on August 19, 2025.

About the author

Ana Gonzalez-Ribeiro, MBA, AFC® is an Accredited Financial Counselor® and a Bilingual Personal Finance Writer and Educator dedicated to helping populations that need financial literacy and counseling. Her informative articles have been published in various news outlets and websites including Huffington Post, Fidelity, Fox Business News, MSN and Yahoo Finance. She also founded the personal financial and motivational site www.AcetheJourney.com and translated into Spanish the book, Financial Advice for Blue Collar America by Kathryn B. Hauer, CFP. Ana teaches Spanish or English personal finance courses on behalf of the W!SE (Working In Support of Education) program has taught workshops for nonprofits in NYC.

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