Hello! If you need to store some of your belongings, you probably have many questions, such as how to choose a storage facility, how to properly pack your items and how to stack your items inside the unit. If these questions and others are on your mind, you'll find the answers you need about storage when you read this blog. My name is Jenna, and because of my work, I have to move frequently. Since I can't always take all my belongings with me, I have to store them in a storage facility. I've had a lot of experience with packing and storing my possessions, and I want to share all I've learned with my readers. After checking out this blog, you'll know all about renting a storage facility and your questions will be answered.
You need a good credit score to rent a house or a car, so do you need one to rent a storage unit? In fact, the relationship that your credit score has with your self storage unit is a little more complicated than that. Here are a few things to consider.
You Don't Need Good Credit for a Storage Unit
First thing's first: you don't really need good credit to get a storage unit. It makes sense: you're not actually taking possession of anything. If you stop paying your bills, the storage unit can easily be emptied out. Thus, most storage facilities aren't going to concern themselves overly with your past credit history.
But that doesn't mean that a storage unit has no relationship to your credit.
A Storage Unit Can Hurt Your Credit
Traditionally, storage units can only hurt your credit if you stop paying your bills. If you don't pay your storage bills, eventually you will go to collections. This will be reported on your credit report and your credit score will go down. Just paying this bill off isn't going to resolve the impact on your credit score. You'll have to both pay off the debt and request that they remove the debt from your credit report. This damage can be fairly significant, so stay on top of those storage bills.
Some Storage Units Report Regularly
Some storage companies use something called "credit reporting." That means that they report the status of your bill every month, just like a credit card or a personal loan. This is optional: not all companies do this. But if a company does do this, then your credit could be damaged every time you're late on your bill.
There's a flip side to this: if you keep your payments in check, then your credit will actually improve. You'll have an account that's reporting as "on time" every single month, which can be used to build your credit. Thus, opening a storage unit with a company that does credit reporting can actually be good if you currently have bad credit.
So, while you don't need good credit for a self storage unit, your self storage unit can impact your credit. For most self storage facilities, you're only open to a negative impact. For some, you could actually use them to build your credit history. To find out more, you'll have to contact your local self storage companies.Share