Securing a rental home in the Northwest Territories can be stressful, especially if you’re worried about your credit history. It’s natural to wonder: Can a landlord refuse to rent to you simply because of a bad credit score? This article explains your rights, legal protections, and practical steps if you’ve faced rental discrimination due to credit in the Northwest Territories.
Understanding Credit Checks in Rental Applications
Landlords in the Northwest Territories often use credit checks as part of their screening process. This is a common practice to assess whether a potential tenant is likely to pay rent on time. However, there are limits and rules that both landlords and tenants should know.
Is It Legal to Deny Housing Due to Bad Credit?
Yes, landlords can consider your credit history when deciding whom to rent to, provided they apply this standard fairly to all applicants. However, fair screening means landlords must not use credit as a proxy for illegal discrimination (such as race, gender, age, disability, or other protected characteristics).
In the Northwest Territories, protections come primarily from two sources:
While the Residential Tenancies Act doesn’t specifically regulate credit checks, it does require landlords to act fairly and not violate human rights laws1.
What is Considered Discrimination?
Under the Northwest Territories Human Rights Act, it is illegal for landlords to discriminate against tenants or applicants on protected grounds, including ethnicity, age, disability, family status, and more. However, poor credit alone isn’t considered a protected ground—which means landlords can, in general, deny an application based on credit as long as it’s not being used as a cover for illegal discrimination.
If you suspect your bad credit was cited but the real reason may involve one of the protected grounds, you can file a complaint with the Northwest Territories Human Rights Commission.
What Can Landlords Ask For?
Landlords are allowed to:
- Request a credit check (with your written consent)
- Ask for references from employers or previous landlords
- Ask for proof of employment or income
- Request a rental deposit (within legal limits)
If you have questions about rental deposits, review Understanding Rental Deposits: What Tenants Need to Know for detailed information on your rights and deposit rules.
Your Rights Under the Law
Tenancy laws in the Northwest Territories are governed by the Residential Tenancies Act (NWT). If you’re denied housing based solely on credit, and you believe the real reason involved a protected characteristic (such as race, disability, or age), you may have grounds for a complaint with the Human Rights Commission.
The Residential Tenancies Office (NWT) oversees landlord-tenant disputes, including issues around tenancy applications, discrimination, and breaches of tenant rights.
Steps to Take If Denied for Bad Credit
- Ask the landlord for the specific reason for denial. Request written confirmation, if possible.
- Request a copy of your credit report. You are entitled to review what the landlord saw.
- If you believe you were discriminated against for a protected reason, contact the Human Rights Commission.
Relevant Forms and How to Use Them
- Human Rights Complaint Form (NWT) – If you believe you were denied a rental for discriminatory reasons beyond credit, use this form.
- Official Complaint Form and Filing Instructions
- How to use it: Describe the incident, attach supporting documents (such as emails or written correspondence), and submit it via the options provided on the Commission website. For example, if a landlord says they are rejecting you for credit but makes comments suggesting a bias related to a protected ground, file this form within one year of the incident.
- Application for Dispute Resolution (Residential Tenancies Office, NWT) – If you believe the landlord has violated your rights under the tenancy law (such as refusing to return deposits or failing to inform you properly), file this application.
- Application Form and Information
- How to use it: Contact the Residential Tenancies Office for guidance, or submit the application online. For example, if you suspect the landlord did not handle your application in accordance with the law, this is your route to resolve the issue.
Know What Happens After Acceptance
Once your rental application is accepted and the lease is signed, follow best practices to protect your rights. For more on this, read What Tenants Need to Know After Signing the Rental Agreement.
Related Tenant and Landlord Rights
For a detailed breakdown of all your legal rights and obligations, visit Tenant Rights and Landlord Rights in Northwest Territories.
Want to explore more options? Browse apartments for rent in Canada to find rental listings tailored to your needs.
Frequently Asked Questions
- Can a landlord refuse to rent to me just because I have bad credit?
Yes, in most situations a landlord is allowed to decline an application based on credit. However, this cannot be used as an excuse to disguise discrimination against protected groups. - What should I do if I think I was discriminated against, not just denied for bad credit?
You should file a complaint with the Northwest Territories Human Rights Commission. Provide as much supporting information as possible. - Is my consent required for a credit check?
Yes. Landlords must have your written consent before running a credit check. - Can I still rent if I don’t have any credit history?
Lack of credit is not a protected ground, but landlords may consider other factors like references or income. Be proactive and provide any evidence of financial stability. - Which laws protect me as a tenant during the application process?
Your rights are protected by the Residential Tenancies Act and the Human Rights Act in the Northwest Territories.
Summary: What Tenants Should Know
- Landlords may legally use credit as a rental screening tool, but cannot use it to disguise prohibited discrimination.
- Always give written consent for credit checks and keep records of your application process.
- If you suspect illegal discrimination, submit a complaint to the Human Rights Commission.
Awareness of your rights and steps to strengthen your rental application can help you secure housing despite a challenging credit situation.
Need Help? Resources for Tenants
- Residential Tenancies Office (NWT): Information on your rights, dispute resolution applications, and contact information.
- Northwest Territories Human Rights Commission: File human rights complaints, get advice, and find educational resources.
- Residential Tenancies Act (Northwest Territories) – full legislation online.
- Review Tenant Rights and Landlord Rights in Northwest Territories for a comprehensive overview and links to more resources.
- See “Residential Tenancies Act (Northwest Territories):” Full Legislation (PDF)
- See “Northwest Territories Human Rights Act:” Full Legislation (PDF)
- Northwest Territories Residential Tenancies Office: Official Website
