Q&A: same-day referencing

News at Thorgills | 06/08/2019




Thorgills have recently started to offer yet another market-leading product to our landlords and tenants, in the form of same-day referencing. As one of just a handful of agents to be able to offer this service, we’ll be able to help tenants to move into properties faster than ever before.

How does it work?

The same-day referencing process works using open banking. Once the tenant provides their permission, our referencing partners at Let Alliance will be able to see a detailed report on the tenant’s income and expenditure, as well as a credit report. This uses the same data available to banks and lenders when they are considering an application for a new account, credit card or loan.

Let Alliance are able to see this information immediately and in real time, which means that they will be able to determine straight away whether a tenant is suitable – rather than having to wait days for bank statements, pay-slips and other references.

What are the benefits for landlords?

The speed of the referencing process is its primary benefit. By enabling tenants to move faster, the process reduces void periods and ensures that you’ll be receiving rental income sooner than you had expected. Once you’ve received a suitable offer, your new tenants could be moving in the next day!

The process does not sacrifice depth for speed – if anything, it is even more comprehensive than before. Open banking means that Let Alliance are able to access more than just publicly available credit data, and can verify the tenants’ income and expenditure.

What are the benefits for tenants?

Tenants, too, benefit from the increased pace of the referencing. Other agents may tell you that it could be at least a week after your offer is accepted before you can move in – which can be a problem if you’re coming to the end of your old tenancy. You might need to find temporary accommodation for a few days, or extend your stay at your current home, which can be stressful and expensive. With same-day referencing, you’ll never have this problem again.

The comprehensive nature of the referencing is also to your advantage. Tenants who work multiple jobs, get paid commission or have multiple sources of income traditionally struggle to pass referencing as companies will often only consider their tenants’ main salary. Let Alliance will review your income rather than your salary, so they’ll get a more accurate picture of your circumstances.

Finally, same-day referencing is far more convenient for you. Before, you’d need to provide a number of documents, and wait for references from your landlord and employer, but by granting Let Alliance permission to use open banking references can be completed at the click of a button.

You can find out more about our other market-leading lettings services here: Experian - Nil Deposit