Are you trying to improve your credit score? Well, we have good news: Paying rent online can help! In 2017, TransUnion studied 12,000 renters who reported their rent payments to credit bureaus over the course of a year. The study found that renters’ scores rose an average of 16 points within six months, and the benefit was greatest for those who started with a credit score below 620.

Paying rent online will ensure that payments are reported, they show credit bureaus what they are looking for, and the payments combine with credit card payments to increase your score! Let’s take a closer look. 

Reporting Payments

Bev O’Shea at NerdWallet says, “Simply paying your rent will not help you build credit. But reporting your rent payments can help you build credit—especially if you are new to credit or do not have a lot of experience using it.”

So how are these payments reported? Here at Sundial Apartment Homes, we offer an online rental payment system that reports information to the credit bureaus. This way, your on-time payments are kept track of, making your credit score improve!

Providing Rent History

Paying your rent online will provide credit bureaus with the information they are looking for. Experian, for example, determines credit scores through the following elements:

  • Use of credit cards
  • Payment history
  • Applications for new loans and credit

Paying your rent online provides you with a history of payments that includes this information. According to, “Rent payments that are reported show up like an auto loan if you have a defined lease term. They show up like a charge card when you pay month-to-month. Either way, a positive rental payment history can help show that you pay your bills on time.” As you continue paying on time and in full, you will see your credit score improve!

Combining with Credit Card Payments

In addition to paying rent online, using a credit card could be beneficial to improving your credit score! Using a credit card specifically to pay rent could be another place you could focus on establishing and building additional credit. Consider using a credit card next time you pay rent!

“Open a credit card and use it to pay your rent . . . then pay your credit card balance in full each month,” says LaToya Irby, credit expert for The Balance. “The timely credit card payments will help boost your credit score.”

Paying rent with a credit card is by no means a requirement. However, it can be a good way to make consistent payments on your credit card.

Start building your payment history by paying rent online through the resident portal. As you do so, your payments are reported to credit bureaus, showing them exactly what they are looking for. Plus, if you choose to pay rent with a credit card, you may increase your score even more. Good luck in boosting your credit!