It is estimated that more than three million people aged 18-plus in Canada are credit invisible.
Being credit invisible means these individuals either do not have a credit file or the credit information on file is insufficient to generate credit scores, which can make life challenging.
An additional seven million may have two or less credit accounts on their credit file, which is considered limited credit history—a “thin” credit file.
Canadian fintech darling KOHO Financial has always built products that help Canadians make financial progress.
Today, with the launch of Rent Reporting, KOHO is making healthy credit more accessible to all.
New and existing KOHO members who pay rent through KOHO will have rent payments reported directly to the credit bureau, helping build credit history.
Plus, KOHO now offers renters protection through Tenant Insurance, in case of emergency. Eligible KOHO members on the Everything plan with Tenant Insurance coverage, also get a bonus 0.25% cash back automatically deposited to their KOHO account on every rent payment made through KOHO.
Both new features are integrated into the KOHO app, giving members even more features at their fingertips to improve their financial health, on the best account for renters in Canada.
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“Roughly 40% of Canadians rent. The idea that paying a mortgage counts towards building credit, but paying rent doesn’t, is an outdated view of the world. We’re thrilled to bring Rent Reporting to our users. More than that, we’re adding Tenant Insurance and the first cash back on rent program in Canadian history,” says Daniel Eberhard, founder and CEO of KOHO.
“Newcomers, younger Canadians and all renters deserve equal opportunities at building wealth. We’re so excited to play a small role in that.”
KOHO members in Alberta, British Columbia, Manitoba, Nova Scotia, and Ontario using Rent Reporting by KOHO to build their credit now also have an affordable way to protect themselves and their rental against any damage with KOHO’s Tenant Insurance, in partnership with Walnut Insurance.
With the high cost of insurance, renters often forgo getting coverage. As KOHO’s new tenant Insurance is offered at one of the most competitive rates in Canada, starting at $22 per month, renters can have peace of mind knowing they are prepared for the unexpected and can cover themselves now to save money in the future.
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