Rental passport service Canopy and rent recognition platform CreditLadder have both announced significant distribution deals today.
Canopy is get access to the combined 28,800 employees of Direct Line insurance, consultancy PwC and credit agency Experian who are to be offered its deposit-free renting product in the UK.
It will be supplied via its mobile phone rental app which enables tenants to build both a track record and a ‘trust score’ that includes their income, creditworthiness and employment details as well as evidence of their regular rent payments and past references.
Canopy’s deposit replacement service is one of several insurance-based schemes that asks tenants to pay six weeks’ rent. This buys cover for both them and the landlord against damage to the property during the length of the contract.
The sign-up of the three big firms follows a similar deal with the John Lewis Partnership earlier this year and Canopy, which works with letting agents as well as landlords, says the new deal is part of its corporate partner programme.
“We believe this represents an important signal for estate agents and build-to-rent landlords, who will now need to accommodate the scores of conscientious urban renters looking to lock into deposit-free rental accommodation,” says Canopy’s Chief Commercial Office Jon Pitt (right).
RentalStep rival CreditLadder has also revealed a partnership today. The rent recognition platform, which enables tenants to add rental payments to their credit history, has signed a distribution deal with banking app Bud.
This partnership enables Bud’s 10,000 users to access CreditLadder’s rent reporting service directly via its mobile phone app.
Alan Walsh of Bud (left) says: “About 80% of our team rent their homes, it’s their biggest monthly outgoing and they have long histories of making those payments on-time, month after month.
“It was just wrong that this data couldn’t be used to help them achieve what they wanted in life so it’s great to be working with the team at CreditLadder to address the situation.”
Sheraz Dar, CEO of CreditLadder, adds: “There is huge momentum within both the banking and tech sectors at the moment to help a greater number of people access more affordable credit, and our partnership with Bud is a ground-breaking initiative that builds on this.”