Landlords warned to check credit score of potential tenants

Homeowners with rental properties are facing debt after a report from the National Landlords Association (NLA) revealed that recovery in the housing market has not prevented rental arrears.

Its research reveals that nearly three-quarters of landlords have experienced rental arrears and 43 per cent of these occurred in the last 12 months.

David Salusbury, chairman of the NLA, said: "Landlords may not realise they can protect themselves against rental arrears, but our research clearly shows there is a need to safeguard your rental income."

Some tenants are struggling to keep up with the rent, so landlords should check the credit scores of potential renters and get full references, he added.

Information published on the LandlordZONE website warned that tenants who default on their rental payments may lose their accommodation and get a bad credit rating through eviction and court judgements.

It also highlighted that the landlord may be in danger of losing their property if he cannot keep up mortgage payments as a result of rental arrears.