When you are facing an eviction, you may be overwhelmed and unsure how to proceed, as there are several considerations you’ll need to make during this process. However, one thing you may not have considered is the impact an eviction can have on your credit score. If this reflects your circumstances, you’ll want to keep reading. The following blog explores what you should know about these complicated matters, including the importance of working with a San Diego consumer lawyer to help you explore your options during this difficult matter.
What Will Happen to My Credit After an Eviction?
In general, an actual eviction will not appear on your credit report. This means, regardless of the reason you are evicted, the actual legal process will be listed on your report. An eviction can show up on your rental history, which can make it more difficult to find a new rental location.
However, you should note that if you are evicted as a result of past due rent and your landlord utilizes the services of a collection agency or other third-party debt collector to recover the funds they are owed, this will show up on your credit score. As such, this can result in a drastic decrease in your credit score.
If you are facing an eviction as a result of missed payments, you should try speaking with your landlord to discuss potential resolutions to help avoid an eviction. Your landlord may be willing to break your lease early and put you on a repayment plan that allows you to move out while giving them the money owed in a more manageable way.
How Can I Improve My Chances of Renting After an Eviction?
While an eviction may not appear on your credit report, the debt associated with the eviction can show up as an owed or outstanding debt, which can decrease your chances of being approved for an apartment. As such, it’s important to understand your options and how to improve the likelihood of being approved for an apartment following an eviction.
One step you can take if you have debt in relation to an eviction on your credit report is to apply for a rebuild loan. This is a small loan you can take out to help improve your credit by making on-time payments each month.
You may also be able to improve your chances of being approved for an apartment if you have a cosigner. This person essentially acts as a guarantor; if you fail to make payments on the lease, they can be held liable for the debt.
As you can see, eviction can have a considerable impact on your credit score. That is why it’s imperative to explore your options and connect with an experienced consumer defense attorney, especially if the reason behind your eviction is cause for concern. When you need assistance, do not hesitate to contact the team at Barthel Legal to learn how we can assist you.
