Settle Wants Landlords in Canada to Rethink How They Assess Tenant Credit

Settle this month launched products that give professionals and returning Canadians a way to qualify for leases using real-time financial data instead of a Canadian credit score.

The Ontario fintech says its Rent Guarantee and Credit Building offerings underwrites rental risk through Open Banking, provides landlords with a written 12-month guarantee, and reports on-time payments to major credit bureaus, starting with the tenant’s very first lease.

“Landlords don’t need a better way to guess who will pay,” explains Richard Oyekunle, Founder of Settle. “They need a system that makes the outcome certain. That’s what we built.”

Settle evaluates income velocity, savings patterns, and expenditure volatility through Open Banking technology to assess potential borrowers who might not have a credit file in Canada yet, with same-day results.

“We assess your global financial health, not just Canadian credit,” the company states online.

Approved tenants pay a monthly fee of 5% of rent; Landlords and real estate agents pay nothing.

Distribution runs through property managers and real estate brokers, so Settle integrates into the existing transaction rather than replacing it, says Oyekunle.

Every on-time payment is reported to Equifax and TransUnion each month, giving newcomers a path to a Canadian credit file, which is still often a prerequisite for credit cards, car loans, or mortgages.

“Your history didn’t start at the border,” states the startup. “We make sure the banks know it.”

The approach appeals to the logic of a 2024 NBER working paper from Columbia Business School: structured rent guarantees lower deposit requirements, reduces barriers to entry for income-capable renters, and improves housing stability without materially increasing default rates.

“A credit score cannot measure your character, your community, your work ethic, or the sacrifices you made to arrive here,” says Settle. “That is why we built the Settle Rent Guarantee—to give landlords a better, more human way to assess the tenant in front of them.”