Tag: Assembly Bill 2559

California Governor Signs Bill Providing for Reusable Tenant Screening Reports Into Law October 3, 2022 California’s governor, Gavin Newsom, has signed a bill that provides reusable, standard tenant screening reports. This bill intends to help combat the skyrocketing costs of applying for rental units in the Golden State. Assembly Bill 2559 will take effect at the start of next year. It permits renters to acquire reusable tenant screening reports, which they could submit to as many potential landlords as needed rather than paying for a background check with each application anew. With fees for these reports sometimes ranging up to $55 a piece, many renters have listed this as one of the most significant stressors in finding a new place. This stress is especially noticeable in the highly competitive housing market. Currently, renters must apply to many places at once and hope for an opening. Under the new bill, landlords who accept a tenant-provided screening report cannot charge fees associated with acquiring a background check. However, due to a Senate amendment, landlords are not required to take these reports. Instead, they may continue requesting potential tenants to pay the costs of acquiring background checks from preferred providers. This law creates standard reusable screening reports that tenants can acquire from third-party screening providers, which contain the same information typically found in tenant screening reports. Such information includes the following: employment, eviction, rental, and other histories. Also, the tenant cannot tamper with the contents, though they can review them for accuracy. If they find misinformation or general errors, they file a dispute to correct the report to ensure potential landlords do not reject them based on the inaccuracies. When a potential tenant submits an application using a reusable screening report, landlords have the option to receive it directly from the screening provider. The reusable screening reports remain available for 30 days, during which the individual may use them as often as needed to secure a rental. After this period, the individual may purchase another report if necessary. Despite these precautions, some landlords have expressed concern regarding the risk of fraud from tenant-provided reports. In addition, given the recent unemployment and rental assistance fraud incidents, some property owners have expressed little faith in the state’s ability to prevent fraud. Regardless of these concerns, some organizations had already provided reusable screening reports before the bill became law. In addition, other states, including Washington in 2019 and Maryland in 2021, have passed similar legislation. In these states, landlords already accept reusable tenant screening reports. Stay updated on the new rules as they come up and pass from Assembly to governor to law. Contact a Sales Rep today for more information. Source

Tag: Assembly Bill 2559

California Governor Signs Bill Providing for Reusable Tenant Screening Reports Into Law

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