Pangea Properties Launches New Rental Program, Helps Tenants with On-Time Payments Boost Credit ScoresMarch 30, 2015
Pangea Properties, which owns and manages nearly 11,000 rental units in underserved communities throughout Illinois, Indiana and Maryland, has announced a new rental payment program to help tenants boost their credit scores.
Through a partnership with TransUnion, Pangea will now report all residents’ payment information to the global credit reporting company using TransUnion’s rental payment reporter tool – ResidentCredit. By sharing renters’ payment performance with TransUnion, Pangea will give residents an opportunity to build credit histories.
“Incorporating TransUnion’s ResidentCredit rental payment reporting tool into our property management screening services is just the latest example of how Pangea Properties is helping renters,” said Steve Joung, CEO of Pangea Properties. “This service will be particularly beneficial to those renters who have limited credit, but continually make on-time rental payments.”
A TransUnion analysis released in June 2014 found that approximately eight in 10 subprime consumers (79.1 percent of those with a VantageScore® 2.0 credit score lower than 641 on a scale from 501 to 990) may experience an increase in their credit score one month into a new apartment lease if rental payments were included on their credit report. Nearly 41 percent of subprime consumers may see their VantageScore increase by approximately 10 points or more after just one month.
“We’re excited to partner with Pangea Properties and provide more property managers with the opportunity to report payment performance of their apartment residents,” said Michael Doherty, senior vice president of TransUnion’s rental screening solutions group. “This is a true win-win situation for both property managers and renters, and we are excited to play a major role in the advancement of this initiative.”
Using TransUnion ResidentCredit, property managers submit data about their residents to TransUnion each month, reporting the amount and timeliness of their last payment, and any balance owed. This rental payment information will appear on their consumer files alongside other financial obligations such as auto loans, credit cards and student loans.
To further share their tenants’ on-time payment history, Pangea property managers can also request that TransUnion send the information to other national credit reporting companies to be included in their consumer credit files and scores.
For more information about Pangea Properties, including its rental communities, visit www.pangeaproperties.com.
For more information about TransUnion ResidentCredit, visit http://transunioninsights.com/rentalreporting/.
About Pangea Properties
Pangea Properties is a Chicago-based private real estate investment trust (REIT) that acquires, renovates and repositions distressed multifamily properties in Illinois, Indiana and Maryland. Founded by Steve Joung and Al Goldstein in 2008 with a goal of providing safe, comfortable and affordable housing to its residents, Pangea is primarily focused on value-add, urban, scatter-site workforce housing. To date, the firm has spent more than $250 million investing in the nearly 11,000 rental units that comprise its current portfolio, with plans to make additional investments in new and existing markets. Pangea manages all of the properties it owns and utilizes an in-house contact center to deliver superior, centralized and reliable service to its residents. In addition to investing in the rehabilitation of its properties, Pangea makes significant contributions to the neighborhoods that house its communities through the firm’s “Pangea Cares” volunteer program and other community outreach efforts. The firm was named one of “America’s Most Promising Companies” by Forbes in 2015, and has also made the annual Inc. “500 | 5000” list in 2013 and 2014, ranking first overall for the Chicago market and second for the entire real estate industry in 2013.
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