Achi news desk-
Companies that already offer ways to allow rent payments to count towards credit scores welcome the federal government’s plan to make the practice more widespread.
Borrowell chief executive Andrew Graham says he is pleased to see the government moving forward on what is an important way to help consumers boost their scores.
He says that open banking will be an important part of the success of the programme, and in the meantime he is calling on banks to help make the data more accessible.
Prime Minister Justin Trudeau said Wednesday there is something fundamentally unfair about paying $2,000 a month for rent, while those paying the same for a mortgage get equity and build their credit score.
Elizabeth Mulholland, chief executive of the charity Prosper Canada, says the plan could help, but it’s important that people can choose to opt in or not because it could hurt some credit scores.
The Canadian Bankers Association said in a statement that it is working with the government to explore new ways to serve Canadians and will assess the impact of the new policy as details are revealed.
This report was first published by The Canadian Press on March 28, 2024
This is a corrected story. A previous version had the wrong day of the week for Trudeau’s announcement.
