When applying for an apartment, renters may be asked to provide their social security number for a credit and background check. Some individuals choose to use a Credit Privacy Number (CPN) instead to protect their privacy.
In this article, we will explores whether using a CPN for an apartment application is illegal.
What is a CPN?
A CPN is a 9-digit number that can be provided instead of a Social Security Number when personal information is required for a credit check. CPNs aim to enhance privacy by masking users' real identities. They have become a common tool for renters seeking to protect their sensitive financial data from landlords.
Is it illegal to use a CPN for an apartment application?
In itself, using a CPN for an apartment application is not illegal. As long as the number is legitimate and not being used to conceal identity fraud or a history of non-payment, property managers cannot refuse an application solely based on the use of a CPN.
However, landlords have the right to thoroughly verify any information provided, including origin and validity of a submitted CPN.
Related: Are Apartment Admin Fees Refundable If You're Denied?
What are the benefits of using a CPN for renters?
Some key benefits of CPNs from a renter's perspective include enhanced financial privacy, identity protection from theft or data breaches, and peace of mind for those in public jobs or positions of wealth.
CPNs help shield sensitive details like current salaries, assets, credit reports etc from landlords during what can be an invasive screening process.
How can renters mitigate risks for property managers?
Renters seeking to use a CPN should be transparent with their intent beforehand. They must also be prepared to promptly provide corroborating documents like pay stubs, background check consent, and references to build landlord confidence.
Strong rental history records and verifiable sources of consistent income can help offset concerns around obscured credit reports.
What risks do property managers face?
While CPNs aim to protect renters, misuse poses risks for property managers too. Illegitimate CPNs could hide payment issues, evictions or document falsification.
This undermines the screening ability of landlords. There is also a possibility that an identity corresponding to a CPN has been stolen or fabricated specifically to commit tenant fraud.
How can these risks be reduced?
Comprehensive applicant screening including identity, income and background checks can help managers verify legitimacy of CPN users. Cross-referencing details against public records databases detects inconsistencies.
Technology solutions with checks for SSN validity, OFAC sanctions and criminal records enhance due diligence. Rent guarantees and insurance offers landlords further recourse in case of risks materializing.
Should applicants expect landlords to automatically accept CPNs?
No, while the use per se is legal, landlords are not obligated to accept CPNs, especially without thorough verification. Their primary responsibility is to all residents to screen for qualified, financially stable tenants unlikely to default.
Applicants should be prepared for reasonable supplemental documentation or processing time when using a CPN approach. Good rental history and clear communication with managers can help such cases.
Conclusion
In summary, renting an apartment using a CPN is legal as long as the number is valid and not being used to obscure unlawful activity or an inability to pay rent. However, property managers also have the right to mitigate their risks through diligent screening. Both parties must cooperate transparently to balance renters' privacy needs with landlords' responsibilities to their communities.
