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Does rent-to-own really help build credit score?

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Does rent-to-own really help build credit score?

My credit is not good enough to get a loan, but do I have secure income $50,000+ each year, my question is whether rent-to-own is a way to build credit score, and helps to buy a house eventually.
Message 1 of 10
9 REPLIES 9
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Moderator Emeritus

Re: Does rent-to-own really help build credit score?

Generally, rent-to-own opportunities do not report to the 3 CRAs. Maybe others could chime in, but I used Rent-A-Center a couple times and they didn't report.
Message 2 of 10
Moderator Emeritus

Re: Does rent-to-own really help build credit score?

You mean like Rent-A-Center? Insomuch as it reports to the CRA monthly, I guess. But, there are far more dangers to dealing with these types of outfits--like paying 2-5 times more than the value of the product.

IMO, I would try a secured card or something before messing with RAC, GIN or any of the others.


Message 3 of 10
Established Member

Re: Does rent-to-own really help build credit score?

Aarons has shown my paid off accounts. But If you can avoid them do so. You pay out the rear for them. there are cheaper ways to build your credit.
Message 4 of 10
Senior Contributor

Re: Does rent-to-own really help build credit score?


@templarklimek wrote:
Aarons has shown my paid off accounts. But If you can avoid them do so. You pay out the rear for them. there are cheaper ways to build your credit.

 

I used Aarons many years ago when I was on a corporate training program that involved a series of short-term assignments in various cities, so the cost of renting was less than the cost and hassle of moving (and of course I knew I would never own any of the stuff).  Later, in graduate school, I bought rental returns from an Aarons outlet but of course in that case there was no question of renting, I was merely buying used stuff for cash because it was cheap.

 

 

TU 791 02/11/2013, EQ 800 1/29/2011 , EX Plus FAKO 812, EX Vantage Score 955 3/19/2010 wife's EQ 9/23/2009 803
EX always was my highest when we could pull all three
Always remember: big print giveth, small print taketh away
If you dunno what tanstaafl means you must Google it
Message 5 of 10
Moderator Emeritus

Re: Does rent-to-own really help build credit score?


MattH wrote:

@templarklimek wrote:
Aarons has shown my paid off accounts. But If you can avoid them do so. You pay out the rear for them. there are cheaper ways to build your credit.

 

I used Aarons many years ago when I was on a corporate training program that involved a series of short-term assignments in various cities, so the cost of renting was less than the cost and hassle of moving (and of course I knew I would never own any of the stuff).  Later, in graduate school, I bought rental returns from an Aarons outlet but of course in that case there was no question of renting, I was merely buying used stuff for cash because it was cheap.

 

 


I put myself through college working at RAC. The cash and carry stuff was great. My first living room set was a 17 month old set that was due to come off of rent the following month. The couple had bought some new stuff and called me up to come pick it up. It was in a sitting room, and never got sat on. I was able to get sofa, loveseat, chair, cocktail table and two end tables for $125. It was faux leather and immaculate.

I used to love when we would do cash and carry sales. I would make $100 a day in tips for delivering stuff. That sure came in handy, when I was a poor college student.


Message 6 of 10
Moderator Emeritus

Re: Does rent-to-own really help build credit score?


ByrdMan wrote:
I used to love when we would do cash and carry sales. I would make $100 a day in tips for delivering stuff. That sure came in handy, when I was a poor college student.
I never tipped any of the delivery guys when they came to our place. Smiley Surprised
Message 7 of 10
Senior Contributor

Re: Does rent-to-own really help build credit score?


@llecs wrote:

@ByrdMan wrote:
I used to love when we would do cash and carry sales. I would make $100 a day in tips for delivering stuff. That sure came in handy, when I was a poor college student.
I never tipped any of the delivery guys when they came to our place. Smiley Surprised

I hope you do tip food delivery drivers, I did that as a studentSmiley Happy

 

 

TU 791 02/11/2013, EQ 800 1/29/2011 , EX Plus FAKO 812, EX Vantage Score 955 3/19/2010 wife's EQ 9/23/2009 803
EX always was my highest when we could pull all three
Always remember: big print giveth, small print taketh away
If you dunno what tanstaafl means you must Google it
Message 8 of 10
Moderator Emeritus

Re: Does rent-to-own really help build credit score?


MattH wrote:

@llecs wrote:

@ByrdMan wrote:
I used to love when we would do cash and carry sales. I would make $100 a day in tips for delivering stuff. That sure came in handy, when I was a poor college student.
I never tipped any of the delivery guys when they came to our place. Smiley Surprised

I hope you do tip food delivery drivers, I did that as a studentSmiley Happy

 

 


I'll tip the pizza guy super well. Sooner they come the more $$$ they get, but typically start at 20% or $5 whichever is greater.

 

With furniture delivery guys, it is their job. They will tell you beforehand that they will be there between 9 am and 5pm and typically push the 5pm envelope. There's no incentive on my end to reward them. Now if they confirm beforehand 9am to 5pm and I only have a finite time in the morning to accept their delivery and they go out of the way to help out, then I'll consider. But the two RAC deliveries I had I had to help them myself (didn't mind) and had to hook it up myself (washer/dryer & fridge).

 

Sorry, OP, for the TJ. Back to you.

Message 9 of 10
Moderator Emeritus

Re: Does rent-to-own really help build credit score?

I rarely got tipped on regular deliveries. Also, I narrowed down my delivery time to within an hour or two. I was offered food, drinks and many, umm, other things, but rarely cash on these deliveries. I always hooked up everything that I delivered, expect gas appliances (ranges and dryers), as we weren't allowed to do so.

I am speaking of the cash and carry days. I was delivering out of the goodness of my heart, so I would negotiate my price ahead of time. If they didn't like the price, they could figure how to get the stuff home themselves.


Message 10 of 10