Credit Bill Lets Rent and Utility Payments Build Your Credit Score: A Game Changer for Renters

The Credit Access and Inclusion Act of 2025 is trying to solve one of the biggest headaches for people who rent or are just starting out: the credit score Catch-22. Essentially, this bill amends the Fair Credit Reporting Act (FCRA) to allow credit reporting agencies to officially include your on-time rent and utility payments—that means gas, electric, internet, phone, and water—in your credit file. This is a massive shift, designed to help consumers build a positive credit history using the bills they already pay reliably every month.

Your Monthly Bills Finally Count

For years, if you paid your $2,000 rent on time for five years straight, your credit score saw nothing. If you missed a $50 credit card payment, that was instant trouble. This bill changes the game by treating those consistent, on-time payments for rent and utilities like the financial commitments they are (Section 2). This is huge news for renters and anyone who relies on these services but doesn't have a long history with traditional loans or credit cards. The bill even clarifies that if your rent is subsidized by HUD, that positive payment history can still be reported, ensuring that financial assistance doesn't block credit building.

The Energy Bill Safety Net

One smart piece of consumer protection tucked into this bill deals with energy utility firms (like your electric company). If you fall behind on a bill and set up a formal payment plan, the utility company cannot report that outstanding balance as "late" or "delinquent" to the credit bureaus, provided you stick to the agreed-upon schedule (Section 2, Special Protection for Energy Bills). This offers a crucial safety net. If you hit a rough patch and need time to pay off a high heating bill, you won't get hit with a credit score ding as long as you honor your payment arrangement. It’s a recognition that life happens, and a payment plan should be a path to recovery, not punishment.

The Flip Side: Who Pays the Cost?

While the bill is primarily about inclusion, it does cut both ways. If your on-time payments are now helping your score, it also means that consistently late payments for rent or utilities could now hurt it. For consumers who struggle to make ends meet, this expanded reporting means more opportunities for negative marks. However, the bill gives utility and telecom firms liability protection for reporting this new data, provided they follow the rules (Section 2, Limiting Lawsuits). This is meant to encourage companies to participate, but it also means that if a company makes a mistake and reports your payment history incorrectly, you’ll have to rely on the existing FCRA dispute process to fix it, which can be a hassle.

Checking the Homework

Congress isn't just throwing this change out there and walking away. The bill requires the Comptroller General (who runs the Government Accountability Office, or GAO) to conduct a study within two years to see how this new reporting is actually affecting consumers (Section 2, Government Review). This built-in review is important. It means the government will be checking the data to make sure this change is actually helping people gain financial footing, rather than just creating new pitfalls. For busy people, the bottom line is clear: paying your rent and utility bills on time just became one of the most effective ways to build a strong credit score.