Some of the biggest housing associations in England are planning to hand over rental payment data to a credit ratings giant in order to build their tenants’ credit history and help them access more affordable finance.
Later this month Big Issue Invest, the social investment arm of The Big Issue, is launching a national scheme with credit agency Experian that could help 5.2 million social tenants establish or improve their existing credit ratings based on their track record of regularly paying rent on time.
Spurred by the welfare reforms, which are expected to increase tenant debt and require increased digital inclusion, the housing associations plan to use the free service to help them tackle loan sharks and doorstep lenders.