Rent guarantee - worth?

with one of my property I am thinking of rent guarantee insurance, is it worth spending 300 pounds a year? has anyone here had the experience of such insurances? the rent for this property is high and so I feel it may be a buffer. what are your opinions?

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Not in my view, but opinion varies.

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thanks David, and then the pitfalls with small print to face, one less hassle

My view, better off spending the money on vetting your potential tenants as thoroughly as possible.

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thanks, yes I agree, openrent outsources referencing to rentgaurd. they were difficult to send me the reference letter from the employer when I asked them. also just a copy of passport face I D and leaves us to do the right to rent check. any good referencing portals out there?

I’ve not come across a decent reference agency. Rentguard is atrocious. They passed my tenant who used family as landlord reference & was self employed with his mate. His mate wrote a reference stating he was in permanent full time employment at a certain salary. I looked up the company which was totally managed by my applicant. His name was on all the accounts, & his silent partners babe was on absolutely nothing. Rentguard didn’t even ask for company accounts or bank statements to prove the salary.!! I looked online at companies house & the company did not even earn enough to pay the salary they stated. My tenabt was an absolute crook & RENTGUARD passed him!! I had massive issues with him & now have to take him ti court fir unpaid rent.

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If anyone can suggest another way to do the referencing please do let me know.

I had the same experience with rentgaurd. so I ask the employer to send me employment contract directly, use digidenty for ID and access Co house myself, I also do right to rent check via gov site, ccj and credit check I do via mudhut every Yr even if it is the same tenant. I once had a tenant with 25 credit cards but paid rent on time, no ccj, shows how complicated lives can be for some. Then found out he maintained 3 girlfriends, luckily we chased him out.

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check the checkers trust only yourself

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Thank you so much Shantala!

So I can ask tenant for employers details to do my own reference check? I’ve always been told I can’t do that because of data issues.

I don’t understand what you mean by:
“and access Co house myself,m”

Ok so I join MUDHUT & pay for credit check & ccj through them. Yes totally agree to do every year on same tenants.

Why mudhut? Just curious. I nearly went with them a few years back.

But you advertise on Open rent?

Register with Ico as a landlord, can’t remember how much but easy and cheap. ask the employer to send contract details directly to you. Mudhut is basic and cheap like ccj and credit history, I use it for a tenant where I know there is no job security but paying rent on time, seek their consent yearly. No I don’t use Mudhut for first time check, Mudhut has a tenancy contract electronically easily signed and amended which is useful if u want to keep a electronically signed copy. Anyhow u need to do physical right to rent checks and give keys/check in so I use this occasion to sign the contract.

Thank you so much! It’s a bit more work but at least I’m on control of things & not giving my money to a company who’s screwed me over so many times. Really really helpful!

Having control yourself is the key

I have decided to do check by myself and also to call company
I am not if we can ask direct payment from salary

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I always used to use “UKtenantdata”, before I had an agent looking after my properties. They were very good and reasonably priced.

Sorry was just wondering about the employers reference but in this case the “employer” was himself!! I spoke to companies house & it’s legal to say you are a permanent employee with your own company. But fir tax purposes you can’t. There’s a very clear definition of what’s self employed & whats “employed”. But I don’t think I would be able to request SA3s from tax office! And that’s what was needed to ascertain his real status & income

Thanks Chris. Will look up.

you are only permanent as S/E as long as the work comes in.

Haha. His Company has had virtually no work come in.

I contacted UKtenantdata who you can only place an order through The House Shop @ £24.99

I asked the “hypothetical” question about referencing checks & they confirmed there’s no way the applicant would have passed without submitting P60’s & failing that Tax Return/SA302s, none of which was done by Rentguard.

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Employed would get pay slips but even for smaller
companies payslips would not trust. As their friends/family members/ or them selves can do fake payslips.

If they are self employed ask for previous 3yrs tax return.

If someone says at they are director of the company and
donot assume they get paid.

When you check on Google search using the person
name, sometimes you may not get any or very little information.
But then keep doing for many times by various ways eg
Facebook, tweeter, instagram, LinkedIn etc then try to search with any other person connected to them

This the was I found out that one of my tenant who gave me fraud reference to Rentguard and also looked very
nice, genuine person then when he cause problem I found out that tenant to be student and fake employees reference by the person he knew.

I think that in order to protect landlords themselves sometimes we have become a private investigator.

Wish you all the best