How To Credit Check Foreign Students

[rforgiel]

A foreign student from Kazakhstan took an application to rent an apartment I have in Hamilton. He seemed like a decent enough chap. He is going to an English language college and then will be going to Trent University.



How could I run a credit check on him. He says he has a credit card. Would getting a copy of his passport be of any use.

 

[reinvestors88]

Based on our experience, most of them are good natured, well mannered individuals and have good financial backing from family back home. For us, copies of passport, international student visa and letter of acceptance from school they will attend or attending are enough, plus of course, FMR, LMR and security deposits. We also verify authenticity of school's acceptance letter by giving them a call. If we can pull their credit history so much the better. But, since they are from other countries, chances are it may be difficult to obtain. Other REIN members may have some thoughts on this. Just sharing.

 

[invst4profit]

It is to my knowledge not possible to do a credit check on foreigners as there records are not available through North American credit check companies.

Renting to non Canadians is strictly hit and miss. There is know way to actually do any form of reliable back ground check. The only leverage you have is the fact that as foreign students they do not want to place there residency or reputation in jeopardy while attending school.

Aside from collecting first and last up front in cash before turning over a key (we can not collect any other deposits in Ontario) you have no other guarantees.

The major risk is that should there school financing dry up or they are for any reason forced to quit school they will likely disappear without notice leaving you without a tenant until you can re rent.



Your best defense is to immediately issue a N4 on the second of the month in the event of a non payment of rent. You will only have the LMR as a buffer so you must move quickly considering a eviction takes 3-6 months and in your case there will be no way to collect any money owing once he leaves the country.



With no reliable screening process available to you there are much greater risks associated with renting to non resident students.

 

[housingrental]

If possible, local guarantor can help with screening process

 

[OlegP]

Ramon,



If it were an American student, you could ask for a copy of their US bureau file. Otherwise, credit will not be something you can use as one of the factors. Often these students are sponsored or at least supportex by a local community centre (Russian, Ukrainian, Polish, etc.). You may want to ask if the community is willing to co-sign as a guarantor.

 

[rforgiel]

Thank you to all for your replys. It is all good advise and I will take into consideration.