Do Rental or Utility Tradelines Matter?

[FreedomWizard]

I've been checking out services that report rent and utility bills for my brother, who needs to build credit. I like the idea of it, but I'm not sure how effective they are compared to getting credit cards and installment loans. These would be great for him, because he doesn't have much income, and I'm afraid that he'd be irresponsible with a secured credit card.

Anybody had good experiences with reporting rent and utilities?

[blindambition]

I wouldn't recommend it. It gives them way more info for them to build a more extensive profile on you, which they monetize. Most lenders won't consider in lending decision. Better off starting off with secured cards, or something like OpenSky.

[FireMedic1]

Cant build credit w/o revolving accounts. They run the show more than loans more or less. These utilities reporting wont cut it. Get a secured at $200 and make sure he makes the payments on time and doesnt carry a balance. If your worried about secured. Unsecured might be down the road once responsibilty kicks in with a secured card.

[FreedomWizard]

Gotcha, thanks! Some of the services I found searching around look interesting. This article claims that FICO 9 and 10 reports rental tradelines, so I was wondering how effective they were. Sounds like not many lenders are using them at all yet. 

[FireMedic1]

@FreedomWizardThe main go to is 8. Yes 9 is being used more and more. 10 isnt used by anyone yet that I've seen on here. First things first. Build some revolving credit lines. Responsibility will be the main driver in your case due to past history. Its good your trying to help out.