Do Self Storage Companies Run Credit Checks?

If you’re thinking of renting a self storage unit, you might be wondering whether storage companies run credit checks on new customers. The good news? Most of them don’t. Unlike renting a house or taking out a loan, storage units are usually paid for upfront, so providers don’t need to check your credit score before handing over the keys.

That means whether you’ve got great credit, bad credit or no credit history at all, you should still be able to rent a unit without any issues. But are there any exceptions? And can renting a storage unit ever affect your credit score? In this guide, we’ll answer these questions and more, breaking down everything you need to know about self storage credit checks.

Do Storage Units Check Credit Scores?

Most self storage companies don’t run credit checks. Unlike renting a flat or taking out a phone contract, you’re not borrowing when you rent a storage unit — you’re simply paying for a service. As a result, storage providers generally don’t need to check your financial history before approving a rental.

The reason is simple: self storage works on a pay-as-you-go basis. You typically pay upfront for each month, and in most cases, storage companies will also ask for a refundable deposit when you sign up. This deposit helps cover any unpaid rent or damage to the unit, reducing the provider’s risk — so there’s not much need for a credit check.

As long as you keep up with payments, and don’t store anything you shouldn’t, your storage unit is yours to use. All that said, different companies operate under different policies, and although it’s rare, there are some situations where a credit check may be necessary.

When Might a Storage Company Run a Credit Check?

While most self storage companies don’t check your credit, there are some circumstances when a provider may want to look at your financial history. This isn’t common, but it could happen in cases like:

• Long-term Rentals: Some storage providers offer fixed-term contracts instead of rolling monthly rentals. If you’re signing a lease for six months or more, the company may run a credit check to ensure you’re financially stable enough to commit to the full term.
• Commercial & Business Storage: If you’re renting a unit for business purposes, the provider might check your business’s credit history, especially if payments will be made on account rather than upfront.
• Payment Plans: Some storage companies offer finance options for large or long-term rentals. If you’re planning to spread the cost of your unit over time, it’s more likely that your provider will want to check your credit history — just like when you buy something on finance.

For the average customer renting a personal storage unit, credit checks aren’t part of the process. As long as you can pay upfront (and provide a deposit if required), you should be able to rent a unit without any issues.

Does a Storage Unit Affect Your Credit Score?

For most people, renting a storage unit won’t directly impact their credit score. That’s because storage companies don’t typically report payments — whether they’re late or on time — to credit reference agencies, like Experian, Equifax or TransUnion.

However, if you abandon your storage unit and your debt is passed to a debt collection agency, it could be recorded on your credit file. This means that while renting a storage unit won’t normally affect your credit, unpaid debts could cause problems further down the line.

Do Storage Units Report to Credit Reference Agencies?

Most self storage providers don’t report regular payments to credit reference agencies. This means that paying your bills on time won’t help build your credit score. On the other hand, it also means that missing a payment won’t immediately affect your credit rating.

However, if your bills go unpaid for long enough and the provider seeks the help of a debt collection agency, it may appear on your credit file and could damage your score.

Can a Storage Unit Pass Your Debt to a Debt Collection Agency?

Yes, if you stop paying for your storage unit, the provider can pass your account to a debt collection agency. This usually happens after:

• Repeated missed payments.
• Late fees and warnings from the provider.
• A final notice demanding payment before further action is taken.

Once the debt is passed on, it’s no longer handled by the storage company. Instead, a debt collection agency will try to recover the money, which could be recorded on your credit file and affect your ability to borrow in the future.

If you’re struggling to make payments, it’s always best to speak to your storage provider early on. Most companies will work with you to find a solution before looking for debt collectors.

What Happens If You Stop Paying for a Storage Unit?

If you do miss a storage payment, don’t panic — it’s unlikely for storage providers to take immediate action. However, if the debt builds up, you could lose access to your unit and if it takes several weeks before you address the issue, your storage provider may end up selling the contents of your unit to recoup their costs.

But don’t worry, there are laws and regulations in the UK protecting self storage users. If you do stop paying for your unit, here’s an outline of what’s likely to happen:

1. Warnings & Late Fees: Most companies allow a short grace period before adding late fees to your balance. They’ll also try to contact you via email, phone and/or post.
2. Restricted Access: If payments remain overdue, the provider may temporarily lock you out of your unit until the balance is cleared.
3. Final Notice: If your account remains unpaid for an extended period, the provider will send a final warning before taking further action.
4. Auctions: If the debt still isn’t settled, the company may legally sell the contents of your unit to recover unpaid rent — but it’s not as simple or severe as some reality TV shows make out.

Remember, storage companies aren’t looking to sell your belongings — they’d much rather receive payment and keep you as a customer. If you’re struggling to pay, speak to your provider as soon as possible. They may be able to offer a solution, such as a payment plan or downsizing to a smaller and more affordable unit.

If you’d like to know more about the eviction process, and the laws protecting customers and their belongings then take a look at our guide: The Truth Behind Storage Evictions.

Renting a Storage Unit? Here’s What to Keep in Mind

If you’re worried about credit checks when renting a storage unit, the good news is that most self storage companies don’t run them. As long as you can pay upfront (and pay a refundable deposit if required), your credit history usually won’t matter.

That said, while renting a unit won’t affect your credit score, failing to pay for one could — but only if the debt is passed to a debt collection agency. The best way to avoid any issues is to stay on top of payments and contact your provider if you ever find yourself in a financially difficult situation. Most storage providers want to help — they’d rather work with you than escalate matters. So, if you’re ever in doubt, just reach out to them.

FAQs

Can a storage unit send you to debt collectors?

Yes, if you stop paying for your storage unit, the provider can pass your debt to a collection agency. This usually happens after multiple missed payments and final warnings. If the debt is reported, it could affect your credit score.

Do storage units go on your credit history?

No, storage units don’t automatically appear on your credit file. Storage companies don’t report rent payments to credit reference agencies. However, if your account is sent to a debt collection agency, it may be recorded on your credit file.

Do storage units report to credit agencies?

Most self storage companies don’t report regular payments to credit reference agencies like Experian, Equifax, or TransUnion. This means renting a unit won’t help build your credit score. However, unpaid debts that are referred to a collection agency may be reported.

Do storage units run credit checks?

In most cases, storage companies don’t run credit checks before approving a rental. Since storage is typically paid upfront, your credit score usually isn’t a factor. However, some providers may check credit for long-term leases or payment plans.