Landlords warned to double check new tenants

In response to research showing that identity fraud has risen a staggering 40% over the last year, Smartlandlord.co.uk is offering Express Tenant Referencing for just £5 + VAT - one of the UK's most competitive prices on tenant referencing.

Misdirected post and utility bills wrongly addressed to landlords or previous tenants can provide fraudsters with ready material to steal identities and gain control of financial assets. This puts landlords and tenants at high risk of becoming victims of fraud.

Smartlandlord.co.uk Express Tenant Referencing includes vital checks such as anti-fraud and personal identity, 6 year credit history, bankruptcy and County Court Judgments (CCJ) as well as predictive risk scoring to give landlords a reliable indication of their tenant's ability to pay the rent. In addition, highly experienced tenant assessors trained to detect fraud are available to take references from employers and previous landlords as part of Smartlandlord.co.uk Comprehensive Tenant Referencing.

Keshav Thukaram, managing director of Smartlandlord.co.uk, the property services website for buy to let landlords, urges landlords to be especially cautious when signing up new tenants in the current economic climate:

"Although the number of cases of fraud has increased dramatically, the losses have decreased. This suggests an increase in the number of people who are carrying out fraud on an opportunistic basis. These are not necessarily organised or experienced criminals but everyday people who have run into financial difficulty and have seized an opportunity. Unfortunately people are more likely to lie about their background and credit history during a recession. This means that buy to let landlords have to be extra careful before signing up new tenants. With our £5 Tenant Referencing offer, there is now absolutely no excuse not to conduct due diligence by carrying out background checks before you and your new tenant sign on the dotted line.

Once an Assured Shorthold Tenancy Agreement is in place, it can be a nightmare evicting a fraudulent tenant. The tenant has the right to stay in the property for up to six months - even if landlord and tenant have agreed a fixed term of less than six months. So it essential for landlords to do their own checks. If you ask new tenants to provide their own references, they could easily make them up or mislead you with verbal references. Professional assessors are highly trained to detect fraud and there is no substitute for a proper reference. I also recommend Tenant Referencing for landlords and tenants who are renewing existing tenancy agreements; after all, past performance is no guarantee of future financial stability. Your tenant is unlikely to tell you when financial trouble has hit - until it's too late, that is."

How else can you avoid falling victim?

Smartlandlord.co.uk has the following tips to help landlords and tenants avoid falling victim to fraud:

Advice for previous occupiers (reluctant landlords or past tenants) to avoid becoming victims of identity fraud:

When you leave a property, ensure you notify your bank, insurance company and any other financial institution of your change of address

Arrange at the post office for any post addressed to you to be redirected to your new address for at least six months

Ensure you take your name off utility bills at your previous property

Change your address on your driving licence

Advice for landlords to avoid becoming victims of identity fraud:

Ensure any correspondence from your lender is sent to your address, not your rental property

Ensure that if your name is put on utilities in void periods, that it is switched to the tenant as soon as the lease commences

During void periods, post addressed to the landlord can accumulate. Make sure you remove all of it before new tenants move in

Ensure that you get any new tenants referenced. Avoid tenants whose references show up financial difficulties or CCJs

Advice for tenants and owner occupiers to avoid becoming victims of identity fraud:

Ensure that wireless internet connections are securely password protected

Don't leave post lying around in communal areas in your building

Shred or file securely any bills or bank statements