Many of the common household expenses people pay do not affect your credit score because they are not reported to the credit bureaus. As a result, you are not getting the benefit of paying various bills on time. Esusu is working to change that, allowing people to report their on-time rent payments to boost their scores. To help you decide if the service might be right for you, here’s a quick Esusu review.
What is esusu?
Esusu is a platform that reports rent payments to the major credit bureaus, allowing renters to get credit for their timely payments and potentially boosting their scores. There are two programs available; One for renters who rent property through a participating owner or building manager and one for independent renters.
Additionally, Esusu benefits property owners and managers by essentially encouraging their tenants to make timely payments. This can increase earnings, lower eviction rates and even increase tenant satisfaction as they are getting a chance to raise their credit score.
How does Asusu work?
How Esusu works is relatively simple. The company receives data from renters and property managers and owners, allowing them to report rent payments on time to credit bureaus. Since it helps renters build a positive payment history, it can boost their credit score based on their other lending and payment activity.
It is important to note that people actually have multiple credit scores, not just one. Additionally, while paying on-time rent will boost some of those scores, it doesn’t cover all of them, even if positive activity is reported to the credit bureaus.
As a result, Esusu is not guaranteed to boost your credit score across the board, and based on the score a lender uses when assessing your creditworthiness, Esusu will always help you increase your eligibility for all credit products. does not make.
Does Esusu report late rent payments?
While the company will report your positive rent payment history to the credit bureaus, late rent payments are not reported. As a result, Esusu won’t directly hurt your credit score by virtue of being late with your rent.
However, a late rent payment may mean that Esusu will stop sending rent payment activity to the credit bureaus. In addition, the Company may close your account. If so, you will need to wait at least a minimum of time – usually at least six months – before using the service again.
Benefits of Using Esusu
In most cases, the biggest benefit of using Esusu is the ability to see an increase in your credit score by paying rent on time. Without a rent reporting service, renters typically don’t get credit for this positive financial behavior. As a result, it can help people with poor or no credit build a better score. For those with good credit already, this could potentially make them transition into excellent credit territory.
The Esusu app also provides the option for renters to monitor their credit scores. As a result, they can see a positive impact on making timely payments from the app. Plus, they can keep track of changes in their scores that could indicate other issues, such as identity theft.
With the Esusu app, renters can be able to make better credit decisions. For example, the ability to view your credit score can help renters determine their odds of approval if they need to apply for other forms of credit.
Finally, if you may be late with payments, the Esusu Rent Relief Fund may be able to help. It gives renters a way to protect their credit scores when they experience an unexpected financial hardship.
What is Esusu Rent Relief Fund?
Esusu Rent Relief Fund is a program that helps provide financial assistance to renters if they experience financial hardship in the form of 0 percent interest loans. Any tenant in the United States who lives in a property that Esusu works with and is covered by the program can apply.
The application process takes only a few minutes to complete, requesting basic information about your situation and your rental agreement. Applications are reviewed by ISSU, and a decision is usually made in four to six weeks. If you are approved, the rent relief payment is sent directly to your landlord, which includes the rent you could not pay. Then, you pay off the 0 percent loan based on the terms outlined in the agreement.
A nice advantage is that you can review your terms for loan repayment before applying. As a result, you can see how payments will affect your budget before proceeding.
How much will Esusu boost your credit score?
Ultimately, how much your credit score will change once you sign up for Esusu can vary. While the company claims an average increase of 51 points, you can see a smaller or bigger impact individually. It all depends on your broader credit position and your lending activities, so keep that in mind.
Is Asusu Right For You?
In many ways, Esusu is all reward and no risk. If you pay rent on time, that positive activity gets reported to the three major credit bureaus, which can boost your credit score. Additionally, Esusu will not report missed payments, although they may close your account if you delay your fare.
The main challenge is that the data reported by Esusu may not boost your credit score across the board, as not all scoring models factor into that information. One example is the FICO score of 8, which is a calculation most lenders use to assess creditworthiness for financial products such as credit cards, mortgages or personal loans. As a result, the benefits of using Esusu to increase your score may be a bit limited.
However, as mentioned above, Esusu won’t hurt any of your scores. Since this is the case, it is worth considering.
Did the Esusu review above help you determine if it’s right for you? Have you used Esusu and want to share your experience with others? Share your thoughts in the comments below.
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Tamila McDonald has worked as a Financial Advisor for the Army for the past 13 years. He has taught personal financial classes on everything from credit to life insurance, as well as all other aspects of financial management. Mrs McDonald is an AFCPE Accredited Financial Consultant and has helped her clients meet their short term and long term financial goals.