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ContinuePortable screening reports are tenant-obtained credit and background checks shared with landlords normally valid for 30 days.
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Portable tenant screening reports (PTSRs) might not be the most common topic in landlording circles, but they offer a variety of benefits for users and as more states continue to recognize these reports, their popularity continues to increase.
In high-demand markets, landlords often receive multiple applications for their vacant properties - and applicants often apply to multiple potential properties at the same time.
During this process landlords work their way through a detailed screening process to assess which applicants are the best fit, assessing credit scores, background, and eviction history.
This means landlords need to get screening reports for multiple applicants and similarly applicants need to get screening reports for multiple applications. However, renters can stand to lose a significant amount of money if they face multiple denials as they’ll need to pay a new rental application fee for each property - this can quickly stack up into hundreds of dollars, sometimes with the applicant having nothing to show for it at the end of this expense.
To reduce this financial burden, some state legislative bodies have introduced the concept of portable, or reusable, screening reports.
To help landlords navigate this new frontier, we take a closer look at what these reports are, tips to avoid fraud, the states that currently have relevant legislation, and how you can adapt to these changes.
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Portable screening reports, or reusable tenant screenings, are credit and background checks that tenants obtain themselves and share with potential landlords, bypassing the need for individual, landlord-directed screening processes. These self-service reports are typically valid for 30 days.
Renters can also receive reports from landlords who deny their applications. In such cases, the tenant can request that the landlord email the report. Once obtained, prospective tenants can submit it to other landlords when applying for housing, streamlining the application process and saving both parties time.
That’s the goal, at least. However, landlords are not always required to accept these reports - we’ll cover this in more detail in the section below about state regulations.
Although renters can submit portable screening reports multiple times, the data on these reports is consistent with what you’d find in a standard tenant screening.
Key information typically includes:
These data points are crucial for helping landlords avoid financial hardship caused by unsuitable tenants, which can ultimately lead to eviction. While filing an eviction is not overly expensive, with fees ranging from $45 to over $200, the costs of unpaid rent, property damage, and lost time are much higher.
Therefore, regardless of the source of your report, it’s essential you carefully examine the details to protect yourself from potential issues.
Related: How To Read and Understand The Tenant Screening Report
As portable tenant screening reports become more widely used, the potential for misuse increases. Here are five tips to help you avoid fraud:
General guidelines around portable tenant screening reports include:
Related: 8 Methods for Tenants to Show Proof of Income
Now, let’s take a look at six states that currently allow portable reports.
According to landlord tenant law in Colorado, landlords are required to accept reusable tenant screening reports if the renter obtained the report within the last 30 days. There are exceptions, which we’ll cover below. The report must include:
Before charging any tenant an application fee for screening reports, landlords must inform renters that they accept reusable reports and cannot charge fees to tenants who provide their own.
However, if a landlord only accepts one application fee at a time per unit and refunds the fee to each applicant who is declined within 20 days, they are not required to accept outside screening reports or provide the aforementioned information.
Additionally, if a prospective tenant’s application leads to the landlord obtaining a report, the landlord must share a copy of it with the tenant and inform them of their right to dispute any inaccuracies with the reporting agency.
Failure to comply with these laws can result in a $2,500 penalty, court costs, and attorney fees for the landlord. However, if the landlord corrects the violation within seven days of receiving notice, they will only need to pay the potential tenant $50.
Visit Portable Screening Report For Residential Leases | Colorado General Assembly to learn more.
In California landlord tenant law, portable tenant screening reports (PTSRs) are referred to as reusable tenant screening reports. These reports must be no older than 30 days and must include the following information:
It's important to note that this legislation introduces the concept of reusable reports but does not mandate landlords to accept them. However, if a landlord chooses to accept a reusable report, they can inquire about any material changes that may affect the applicant’s eviction status or other relevant factors.
For more information read California Assembly Bill 2559.
Similar to California, Maryland landlord tenant law stipulates that landlords are not required to accept portable tenant screening reports (PTSRs). However, they must provide notice indicating whether or not they accept these reports. This information can be disclosed through rental housing listings, websites, online rental applications, and other "reasonable" forms of notification.
The report must be no older than 30 days and should include the following standard information:
Like in California, landlords in Maryland who accept reusable reports can inquire about any material changes that may affect the applicant's eviction status or other relevant factors.
You can get all the details here in Senate Bill 691.
Rhode Island differs from the previously mentioned states by allowing tenants to use screening reports that are up to 90 days old, rather than the typical 30-day limit. The primary focus of Rhode Island’s law is to prevent landlords from charging unnecessary application fees.
If prospective tenants do not provide a report, landlords can obtain one at the tenant's expense. However, landlords cannot charge more than the actual cost of the report.
Additionally, if the landlord handles the screening, the tenant must receive a copy of both the background check and the credit report.
More information is available here.
Illinois’ landlord tenant law bill HB3062 follows similar guidelines regarding screening reports. It permits landlords to accept reusable reports that are no older than 30 days.
The report must include the following information:
If a landlord accepts a report from a prospective tenant, they are prohibited from charging an application fee. Additionally, landlords can inquire whether there have been any material changes in the report since it was originally issued.
Similar to Rhode Island, New York’s reusable report legislation primarily addresses application fees. However, unlike Rhode Island, the report must be no older than 30 days. In New York law, landlords cannot charge an application fee if tenants provide their own background and credit checks.
If the landlord provides the report, they can charge a fee, but it cannot exceed the actual cost of obtaining the report.
For more, visit this New York State Senate page.
Landlord Studio simplifies tenant screening by centralizing reports in one location on the platform. You can easily locate individual reports and view them, click on the print, and then save as a PDF. You are then able to share them with the tenant should they request a copy. (Be aware that
This process is crucial if a tenant’s application is denied. A renter may request a copy of their screening report to use at other properties, or you might be required by state law to provide it. With the PDF saved, you can quickly email it to the tenant.
When accepting reusable reports in states where it’s allowed, carefully review the document for authenticity using the tips mentioned in this article. If the renter submits their application through an FCRA-accredited website, it helps ensure the accuracy of the information. Depending on state regulations, you may choose to reject the report and re-screen the tenant. Be cautious if the tenant is reluctant to comply.
Overall, tenant screening is just one component of property management. To streamline your entire management process, consider using Landlord Studio. In addition to rental listings and tenant screening, it offers features for online rent collection, maintenance management, and rental accounting, helping you reduce vacancies, save time, and increase ROI.
In states that allow reusable tenant screening reports, renters can use SmartMove to obtain their own reports. If you’re denied for a property, request the landlord to send you the report so you can use it for applications to other properties.
Landlord Studio is an excellent platform for screening tenants. Once you’ve screened a renter using the platform, you can access the report from your dashboard, save it as a PDF, and share it with prospective tenants for reuse.
To obtain a portable tenant screening report in Colorado, tenants can either use a service like SmartMove to get their own report (ensuring it's no older than 30 days) or request a copy from a landlord if previously denied. The report must include key details like income verification, rental and credit history, and criminal history.
When applying for a new rental, provide the report within its validity period. Landlords who accept the report cannot charge an application fee and must share any obtained reports with the tenant, allowing them to dispute inaccuracies. If denied, tenants can request the report for future use.
What is a tenant screening report? It is a comprehensive document used by landlords to assess a prospective tenant's suitability for a rental property.
A tenant screening report generally includes the tenant's credit history, detailing their credit score and payment record; a criminal background check, highlighting any convictions or charges; an eviction history, listing past evictions and reasons; employment verification, confirming current employment status and income; and rental history, detailing previous rental properties and interactions with landlords.
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