Can Landlords Deny Tenancy for Bad Credit in New Brunswick?

Facing concerns about your credit score while searching for a place to rent in New Brunswick? Many tenants are unsure whether landlords can deny housing based solely on credit history. In New Brunswick, it's important to understand how credit checks work, your legal rights, and practical steps if you’re turned down because of bad credit.

Are Credit Checks Allowed When Renting in New Brunswick?

Landlords in New Brunswick may request your consent to perform a credit check as part of the rental application process. However, they must have your explicit written permission before accessing your credit report. Without your consent, a landlord cannot legally run a credit check.

Can a Landlord Refuse to Rent to Me for Poor Credit?

Yes, landlords can consider an applicant's credit history when deciding whether to rent out their unit. If your credit report shows a history of late payments, collections, or other financial red flags, a landlord may choose not to approve your application.

However, this decision cannot be based on discriminatory grounds that are protected under the New Brunswick Human Rights Act. For example, refusing tenancy because of race, age, disability, family status, or source of income (such as income assistance) is illegal.

Your Tenant Rights and Protections in New Brunswick

In New Brunswick, tenant and landlord rights are governed by the Residential Tenancies Act and administered by the Office of the Rentalsman (Residential Tenancies Tribunal).

• You have the right to fair treatment and to be evaluated based on reasonable rental requirements (e.g., references, rental history).
• Landlords can require a security deposit but cannot charge extra fees solely because of bad credit.
• If you experience problems after signing a lease, review What Tenants Need to Know After Signing the Rental Agreement for guidance.
• If you’re unsure about your rights, Tenant Rights and Landlord Rights in New Brunswick is an excellent place to start.

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Providing an Explanation or Additional Context

If your credit is weak but you have a valid explanation (such as medical bills or a period of unemployment), providing references or proof of current income may help your application. You can also offer a larger security deposit, if affordable, though this cannot exceed one month's rent by law.

What To Do If You Are Denied Housing for Bad Credit

• Ask the landlord politely why your application was denied and if there’s any documentation you can provide to strengthen it.
• If you feel discrimination is at play (unrelated to credit), you may contact the New Brunswick Human Rights Commission directly.
• Consider using a co-signer or guarantor if possible. This could reassure the landlord of rent payment.

Official Forms and How to Use Them

• Form 15 - Application for Assistance
  You can use this form to request help from the Office of the Rentalsman if you believe you’re being treated unfairly in the rental process. Download Form 15 here.
  Example: If you feel your application was refused for reasons that may violate human rights law, use this form to start an inquiry.
• If you want to dispute a deposit-related issue, refer to Understanding Rental Deposits: What Tenants Need to Know.

Human Rights and Discrimination: What is NOT Allowed?

Landlords are not allowed to deny housing for reasons related to:

• Race, national or ethnic origin
• Religion
• Age
• Sex, sexual orientation, or gender identity
• Marital or family status
• Disability
• Source of income (if lawful, such as social assistance)

If your application is refused and you suspect one of these reasons, you may file a complaint with the Human Rights Commission.

FAQ: Rental Applications and Credit Checks in New Brunswick

1. Can a landlord check my credit without my permission?
   No, your written consent is required before a landlord runs a credit check.
2. What if my application is denied for bad credit but I have good references?
   You can request the landlord reconsider your application or provide a co-signer. Some landlords may be flexible.
3. Is it discrimination if I am denied housing for bad credit?
   Not necessarily—denying for credit history is allowed, but it must not be for a reason related to a protected ground under the Human Rights Act.
4. Where can I appeal or get help if I feel unfairly denied?
   You can apply to the Office of the Rentalsman or the New Brunswick Human Rights Commission if discrimination is suspected.

Key Takeaways for Tenants

• Landlords in New Brunswick can consider your credit but must respect your rights and human rights protections.
• Always provide your best references and details, and ask if you can reapply or provide more information if denied.
• If you believe a denial was discriminatory or unfair, helpful provincial resources are available.

Need Help? Resources for Tenants

• Office of the Rentalsman (Residential Tenancies Tribunal): Handles rental disputes, applications, and tenant-landlord issues.
• New Brunswick Human Rights Commission: Accepts discrimination complaints related to rental housing.
• Tenant Rights and Landlord Rights in New Brunswick: Learn about your rights and obligations.

1. Residential Tenancies Act (New Brunswick)
2. Office of the Rentalsman - Government of New Brunswick
3. New Brunswick Human Rights Act
4. New Brunswick Human Rights Commission