How To Verify A Prospect's Background And Avoid Potential Disaster

Background checks are necessary to verify the identity and moral character of applicants in many areas of society. In some cases, such as employees or charity workers working with elderly or disabled people, or children, a full criminal record check will be a definite requirement before being allowed to take the job.

Another area where background checks are absolutely necessary in when you are renting property. Because there are so many laws which give tenants rights and protection against a sudden, forced eviction, it is vital to make sure that any prospective tenant is who they claim to be. Bad tenants can do far more damage than simply not paying rent and needing to be evicted.

A bad tenant can damage property, causing thousands of dollars worth of damage. The expense of repairing this damage may be covered by insurance, but even greater damage may be caused by lost earnings due to being unable to let some of the property. A stubborn bad tenant who cannot be removed can even cause good tenants to move out of the property.

Once this starts happening, you are in very serious trouble. If you cannot keep your settled and previously loyal tenants from walking out, you are not likely to be able to attract any new good tenants to take their place. The problem does need to be nipped in the bud, and the bad tenants dealt with very quickly.

Of course, that can be easier said than done, if the tenant has the law on their side. The best thing any prospective landlord can do is take every possible step to make sure that the worst bad tenants are never allowed a foothold in the door in the first place. Most of the serious problem cases will have a previous record of being a trouble maker somewhere else. It is a case of whether your check can be thorough enough to uncover the problem.

You will obviously need to pay a fee for the check to be carried out, and this needs to be accounted for as part of your business expenses. Your check into the background of the tenant should start with a criminal records check. If there are serious problems here, you should leave well alone. You don't need this kind of problem in your property.

Having completed the necessary criminal records check, you can move on to the vital issue of the credit check. You may be prepared to accept a tenant who has had previous financial problems, provided they pay well enough in advance to cover you against any problems, but there are other issues which this type of check will throw up which could be critical.

The credit report will contain a list of previous addresses, which could be vitally important. Often, the previous landlord is not the best person to ask for a reference, because if the tenant is bad they will be desperate to move them on! A previous landlord, who has no vested interest, may give a more honest report. If there is an address missing from the ones the tenant is giving you, you have probably unearthed a potential problem. This could be critical in verifying the background of the tenant.

 

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