Open Banking makes its debut in the rental market following new service launch

Online rental payments platform CreditLadder says it is the first in its sector to launch an Open Banking service that enables tenants to improve their credit score without the need for a lengthy sign-up service or their landlords’ permission. These restrictions were a key criticism of the tech sector by Lord Bird when he launched his draft Creditworthiness Assesssment Bill recently in the House of Lords. CreditLadder says it has already processed rental payments worth £14 million since starting up in 2016 and claims to be the first service of its kind in the UK to integrate its tech with the Open Banking ‘revolution’. Nine banks in the UK now offer an Open Banking feed or API that enables third parties such as CreditLadder to plug into and read the amount and date of transaction going into people’s bank accounts, if they give permission. The nine banks offering this so far are Barclays, HSBC, Lloyds Bank, Halifax, Natwest, RBS, Santander, Nationwide, The Co-Operative Bank, First Direct and TSB. Individual tenants can sign up to the service, but it is also open to letting agents to offer tenants as an ‘add-on’ to their lettings proposition. Credit history CreditLadder records rent payments…