Can I Rent an Apartment if I Have Debt in Collection?

Dena Standley | January 22, 2024

Edited by Hannah Locklear

Having some debt is almost inevitable; it's part of life. However, when you're dealing with a delinquent account, things can get a little bit complicated.

It's challenging to convince a prospective landlord that you'll be a reliable tenant when you're already behind in existing debts. All hope is not lost, though.

Even when dealing with debt collectors, you can still rent an apartment. Try the following suggestions to find a property manager willing to rent to you, even if you have less than stellar credit:

• Find a guarantor
• Offer a higher security deposit
• Get recommendation letters
• Consider mom-and-pop landlords
• Increase your income

Landlords, who are independent individuals renting out their own property, often have more flexibility than property management companies.

Sued for debt? Use SoloSettle to settle your debts for good.

Confirm your credit score in advance

Debt can significantly affect your credit score and, as a result, your reputation as a tenant. Most landlords will want to check your credit score before accepting you as a tenant. They're required by the Fair Credit Reporting Act (FCRA) to get your permission before accessing your credit information.

Why not beat them to it? If you suspect that you may have a low credit score, it's best to find out before going apartment hunting. You'll need to check your credit score with the three major bureaus (Experian, Equifax, and TransUnion) to ensure that none of them has any errors. Get your free annual report here.

If you encounter any debts you don't recognize, double-check them first to ensure that these are legitimate debts that belong to you. If you suspect these debts were put on your report in error, you can dispute them with the credit reporting agency. You can also use Solosuit's Debt Validation Letter to confirm any debts you don't recognize.

Find yourself a guarantor

You can boost your chances of finding an apartment to lease by finding someone who can vouch for your financial responsibility. This person could be a relative, a friend, or an employer who trusts you enough to co-sign the rental agreement.

The guarantor is usually someone whose finances are in order, without any debts in collection. It's easier for the landlord to trust you when you're backed up by someone reliable.

Remember that the landlord has the right to go after your guarantor should you fail to honor your agreement. It is a serious responsibility and can lead to your guarantor having to pay your debt or sacrifice their own credit rating if you fail to pay your rent. That can damage a personal relationship, so make sure you are economically stable enough to handle the rent before asking someone to take this step.

Offer a higher security deposit

Most landlords require you to pay the equivalent of one month's rent as a security deposit.However, if you're in debt, it's preferable to offer more than the minimum security deposit. Offer to pay up to 3 or more months rent equivalent. The landlord may be convinced of your reliability when you pay so much upfront.

Remember that a previous eviction stays in your records for seven years. It's best to use this option if you're sure your past is clean.

Obtain recommendation letters

Just because you're behind in debt repayment doesn't mean you are a bad tenant.

You may prove your reliability by obtaining recommendation letters from previous landlords. These letters explain to the prospective landlord that you've always prioritized your rent obligations no matter your financial situation.

Your current employer can also be of help. Have them write a letter to the landlord confirming that your current employment is secure. If the landlord knows you won't be running into financial difficulties soon, they may consider your application.

Hard times can hit anytime, but as long as you prove you're reliable, you can still rent an apartment with debt in collection.

Consider smaller properties with landlords

Mom-and-pop landlords are individual apartment owners. They aren't part of major corporations, making it easier to connect on a personal level.

Even if they find out you're in debt, you can explain your situation to them in person. You may choose to write a letter explaining how you got yourself into debt arrears.

Loss of employment, divorce, extensive illness, and the like may be the reason you fell behind. Individual landlords are more likely to empathize with your situation.

Increase your income

You can quickly get back on track with debt repayment if you increase your income.Prove to the prospective landlord that your income has increased and you can afford rent with no issues.

Some ways to increase your income include:

• Getting a second job
• Monetizing your hobby
• Selling assets you don't need

You can also save funds by going for cheaper apartments. If your income is three or more times the equivalent of the rent, you're likely to stay on track with your financial obligations.

Granted, renting an apartment if you have debt in collection can be daunting. However, it's not impossible. Find the option that works for you and go for it. Be sure to validate every debt with SoloSuit's Debt Validation Letter before paying it off. For all you know, you could be paying off the incorrect amount, a debt past the statute of limitations, or a fraudulent debt. Stand up to debt collectors by sending them a Debt Validation Letter (most collectors give up after receiving one), or consider debt settlement.

Settle your debt

The surest way to get debt collectors off your back is by paying what you owe. But if you go about this wisely, you can usually settle your debt for a steep discount.

In a debt settlement, you offer your creditor a portion of the total amount due, usually at least 60% of the debt’s value. In exchange for a lump-sum payment, the creditor agrees to drop its legal claims against you and release you from the remaining balance.

If you decide to settle your obligation, you’ll want to ensure you get the terms of your agreement in writing and pay the creditor before your court date. If you’ve never tried debt settlement before, consider working with a professional organization that will guide you through the process.

To learn more about how to settle a debt, check out this video:

SoloSettle, powered by SoloSuit, is a tech-based approach to debt settlement. Our software helps you send and receive settlement offers until you reach an agreement with the collector. Once an agreement is reached, we’ll help you manage the settlement documentation and transfer your payment to the creditor or debt collector, helping you keep your financial information private and secure.

What is SoloSuit?

SoloSuit makes it easy to fight debt collectors.

You can use SoloSuit to respond to a debt lawsuit, to send letters to collectors, and even to settle a debt.

SoloSuit's Answer service is a step-by-step web-app that asks you all the necessary questions to complete your Answer. Upon completion, we'll have an attorney review your document and we'll file it for you.

>>Read the FastCompany article: Debt Lawsuits Are Complicated: This Website Makes Them Simpler To Navigate

>>Read the NPR story on SoloSuit. (We can help you in all 50 states.)

How to answer a summons for debt collection in your state

Here's a list of guides for other states.

All 50 states.

• Alabama
• Alaska
• Arizona
• Arkansas
• California
• Colorado
• Connecticut
• Delaware
• Florida
• Georgia
• Hawaii
• Idaho
• Illinois
• Indiana
• Iowa
• Kansas
• Kentucky
• Louisiana
• Maine
• Maryland
• Massachusetts
• Michigan
• Minnesota
• Mississippi
• Missouri
• Montana
• Nebraska
• Nevada
• New Hampshire
• New Jersey
• New Mexico
• New York
• North Carolina
• North Dakota
• Ohio
• Oklahoma
• Oregon
• Pennsylvania
• Rhode Island
• South Carolina
• South Dakota
• Tennessee
• Texas
• Utah
• Vermont
• Virginia
• Washington
• West Virginia
• Wisconsin
• Wyoming

Guides on how to beat every debt collector

Being sued by a different debt collector? Were making guides on how to beat each one.

• Absolute Resolutions Investments LLC
• Accredited Collection Services
• Alliance One
• Amcol Clmbia
• American Recovery Service
• Asset Acceptance LLC
• Asset Recovery Solutions
• Associated Credit Services
• Autovest LLC
• Cach LLC
• Cavalry SPV I LLC
• Cerastes LLC
• Colinfobur
• Covington Credit
• Crown Asset Management
• CTC Debt Collector
• Cypress Financial Recoveries
• Delanor Kemper & Associates
• Eagle Loan of Ohio
• Educap
• Estate Information Services
• FIA Card Services
• Forster & Garbus
• Freshview Solutions
• Fulton Friedman & Gullace LLP
• Harvest Credit Management
• Howard Lee Schiff
• Hudson & Keyse LLC
• Integras Capital Recovery LLC
• Javitch Block
• Jefferson Capital Systems LLC
• LVNV Funding
• Mannbracken
• Mariner Finance
• Medicredit
• Michael J Adams PC
• Michael J Scott
• Midland Funding LLC
• Mullooly, Jeffrey, Rooney & Flynn
• Mountain Land Collections
• MRS Associates
• National Collegiate Trust
• Nationstar Foreclosure
• Northstar Capital Acquisition
• NCEP LLC
• NRC Collection Agency
• OneMain Financial
• Palisades Collection LLC
• Pallida LLC
• Paragon Revenue Group
• Pinnacle Collections Agency
• PMAB LLC
• Portfolio Recovery Associates
• Provest Law
• PYOD LLC
• Reunion Student Loan Finance Corporation
• Revenue Group
• Regents and Associates
• RSIEH
• Salander Enterprises LLC
• Second Round Sub LLC
• Security Credit Services
• Sherman Financial Group
• Suttell and Hammer
• T-Mobile
• Transworld Systems
• Tulsa Teachers Credit Union
• UCB Collection
• Velo Law Office
• Velocity Investments
• Waypoint Resource Group
• Weinberg and Associates
• Wolpoff & Abramson

Win against credit card companies

Is your credit card company suing you? Learn how you can beat each one.

• Bank of America
• Capital One
• Chase
• Credit One Bank
• PayPal Synchrony Card
• SYNCB/PPEXTR
• Synchrony Bank
• Target National Bank
• Wells Fargo

Going to Court for Credit Card Debt — Key Tips

How to Negotiate Credit Card Debts

How to Settle a Credit Card Debt Lawsuit — Ultimate Guide

Get answers to these FAQs

Need more info on statutes of limitations? Read our 50-state guide.

Why do debt collectors block their phone numbers?

How long do debt collectors take to respond to debt validation letters?

What are the biggest debt collector companies in the US?

Is Zombie Debt Still a Problem in 2019?

SoloSuit FAQ

If a car is repossessed, do I still owe the debt?

Is Portfolio Recovery Associates Legit?

Is There a Judgment Against Me Without my Knowledge?

Should I File Bankruptcy Before or After a Judgment?

What is a default judgment?— What do I do?

Summoned to Court for Medical Bills — What Do I Do?

What Happens If Someone Sues You and You Have No Money?

What Happens If You Never Answer Debt Collectors?

What Happens When a Debt Is Sold to a Collection Agency

What is a Stipulated Judgment?

What is the Deadline for a Defendants Answer to Avoid a Default Judgment?

Can a Judgement Creditor Take my Car?

Can I Settle a Debt After Being Served?

Can I Stop Wage Garnishment?

Can You Appeal a Default Judgement?

Do I Need a Debt Collection Defense Attorney?

Do I Need a Payday Loans Lawyer?

Do student loans go away after 7 years? — Student Loan Debt Guide

Am I Responsible for My Spouses Medical Debt?

Should I Marry Someone With Debt?

Can a Debt Collector Leave a Voicemail?

How Does Debt Assignment Work?

What Happens If a Defendant Does Not Pay a Judgment?

How Does Debt Assignment Work?

Can You Serve Someone with a Collections Lawsuit at Their Work?

What Is a Warrant in Debt?

How Many Times Can a Judgment be Renewed in Oklahoma?

Can an Eviction Be Reversed?

Does Debt Consolidation Have Risks?

What Happens If You Avoid Getting Served Court Papers?

Does Student Debt Die With You?

Can Debt Collectors Call You at Work in Texas?

How Much Do You Have to Be in Debt to File for Chapter 7?

What Is the Statute of Limitations on Debt in Washington?

How Long Does a Judgment Last?

Can Private Disability Payments Be Garnished?

Can Debt Collectors Call From Local Numbers?

Does the Fair Credit Reporting Act Work in Florida?

The Truth: Should You Never Pay a Debt Collection Agency?

Should You Communicate with a Debt Collector in Writing or by Telephone?

Do I Need a Debt Negotiator?

What Happens After a Motion for Default Is Filed?

Can a Process Server Leave a Summons Taped to My Door?

Learn More With These Additional Resources:

Need help managing your finances? Check out these resources.

How to Make a Debt Validation Letter - The Ultimate Guide

How to Make a Motion to Compel Arbitration Without an Attorney

How to Stop Wage Garnishment — Everything You Need to Know

How to File an FDCPA Complaint Against Your Debt Collector (Ultimate Guide)

Defending Yourself in Court Against a Debt Collector

Tips on you can to file an FDCPA lawsuit against a debt collection agency

Advice on how to answer a summons for debt collection.

Effective strategies for how to get back on track after a debt lawsuit

New Hampshire Statute of Limitations on Debt

Sample Cease and Desist Letter Against Debt Collectors

The Ultimate Guide to Responding to a Debt Collection Lawsuit in Utah

West Virginia Statute of Limitations on Debt

What debt collectors cannot do — FDCPA explained

Defending Yourself in Court Against Debt Collector

How to Liquidate Debt

Arkansas Statute of Limitations on Debt

Youre Drowning in Debt — Heres How to Swim

Help! Im Being Sued by My Debt Collector

How to Make a Motion to Vacate Judgment

How to Answer Summons for Debt Collection in Vermont

North Dakota Statute of Limitations on Debt

ClearPoint Debt Management Review

Indiana Statute of Limitations on Debt

Oregon Eviction Laws - What They Say

CuraDebt Debt Settlement Review

How to Write a Re-Aging Debt Letter

How to Appear in Court by Phone

How to Use the Doctrine of Unclean Hands

Debt Consolidation in Eugene, Oregon

Summoned to Court for Medical Bills? What to Do Next

How to Make a Debt Settlement Agreement

Received a 3-Day Eviction Notice? Heres What to Do

How to Answer a Lawsuit for Debt Collection

Tips for Leaving the Country With Unpaid Credit Card Debt

Kansas Statute of Limitations on Debt Collection

How to File in Small Claims Court in Iowa

How to File a Civil Answer in Kings County Supreme Court

Roseland Associates Debt Consolidation Review

How to Stop a Garnishment

Debt Eraser Review

Do Debt Collectors Ever Give Up?

Can They Garnish Your Wages for Credit Card Debt?

How Often Do Credit Card Companies Sue for Non-Payment?

How Long Does a Judgement Last?

​​How Long Before a Creditor Can Garnish Wages?

How to Beat a Bill Collector in Court