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How to Rent With Bad Credit and No Guarantor

Written by, Marija Petkova

Updated July, 21, 2022

If you’re searching for apartments, but have a bad credit score, you’ve probably already figured out that it can be difficult to find a landlord who will rent to you without a guarantor.

Luckily, there is a way around that. Here’s how to rent with bad credit and no guarantor.

Why Do Landlords Run Credit Checks on Tenants?

When you’re looking for a new place to live, your credit score is one of the few things that can make or break your chances of getting a landlord’s approval.

Landlords use credit checks to determine how likely potential tenants are to pay their rent on time.

Having a County Court Judgement (CCJ) or insolvency solution on a tenant’s credit report often signals to landlords that the potential tenant might have trouble paying rent in the future.

The main reason why landlords rely on credit scores as much as they do is that it takes time to get a tenant out of a property once they stop paying rent. They will have to give the tenant a written notice of eviction and might even have to get a court order to get them to live.

 A good credit score indicates that the tenant is unlikely to end up in arrears and the landlord won’t have to resort to eviction. 

Renting Without a Guarantor and Bad Credit: How Can You Do It?

Renting with bad credit is no easy task and might be even more difficult if you don’t have a guarantor to back you up. 

But, there are things you can do to improve your chances of getting approved, even if you’re looking for no guarantor renting deals.

Check your credit report

Before you start sending applications to the landlord, you should check your credit report to see whether there are any errors on it. If there are, you can dispute the inaccuracies, which will improve your credit score. 

You should also check your credit score to get an idea of what kind of renting arrangement you can get. Knowing your credit score will help you focus your search on landlords that are willing to consider applicants that are in a similar situation.

Clear any outstanding debt

If possible, you should pay off any debt you have before you start looking for places to rent. This will boost your credit score and your chances of finding a good place.

Ask for references from your last landlord

If you’ve rented before, you can ask your previous landlords for good references. Your potential landlord or letting agent may ask you to provide a letter from a previous landlord anyway.

Offer a larger deposit

Regardless of how bad your credit score is, most landlords will likely consider your application if you’re willing to pay a larger lump sum upfront.

Find a housemate

If you’re struggling to rent a house with bad credit on your own, one option is to find a housemate. 

This can help split the cost of rent, which would make it more affordable, and the landlord will look at your credit score collectively, which could help you improve your chances of getting approved, especially if your housemate has a good credit score.

Choose a private landlord

Private lenders are typically more lenient with credit-related requirements. They’re also more open to negotiations.

Be honest with your potential landlord

It’s never a good idea to hide information or provide inaccurate details about your credit history. If you’re realistic about your budget, the landlord might offer to meet you halfway.

Pay rent in advance

Paying your rent in advance will show your landlord that you can afford the rent and are a responsible tenant. Note that most landlords ask tenants to pay their first month in advance.

Provide proof of income

Any landlord will want to see that you have a steady income before approving your application. This can be in the form of a bank statement or a pay stub.

Did you know? Londoners may find themselves spending as much as 23 percent of their monthly income on rent!

Bottom Line

Renting with bad credit in the UK might be challenging, but there are plenty of landlords who are willing to let places to tenants with a less-than-perfect credit score. 

If you have a bad credit score and no guarantor, you can try to improve your credit score by disputing any errors. The most important thing you should do is show the landlord that you can afford the rent.

                           

Frequently Asked Questions And Their Answers

Do all private landlords do credit checks?

Credit checks are not required by law and most landlords can’t do one without your consent, but they’re highly unlikely to consider an application without looking at your credit report first.

How can I convince my landlord to let me rent with bad credit?

If you’re wondering how to rent with bad credit and no guarantor, you can improve your chances by offering a larger deposit, explaining your financial situation better, or working to improve your credit score. 

How can I rent if I have no guarantor?

If you have a good credit score and can provide proof of income, you’re unlikely to need a guarantor to find a place to rate. You’re more likely to need a guarantor if you want to rent with bad credit in the UK.

My name is Marija, and I'm a financial writer at DontDisappointMe. Although finance might not be everyone's cup of tea, my 10+ years of working in one of the biggest banks in my country, and my interest in extensive research on everything finance/investment-related, have made me somewhat of an expert in the field (if I do say so myself). No longer having the passion to work in a corporate setting, I decided that I couldn't let all of this knowledge go to waste so I started writing. And, here I am! Today I try to share my knowledge with my audience in the hopes of making this topic as simple and interesting as possible. In my leisure time, I like spending time with my family and travelling to new locations.