If you rent from an individual, pay by check. Although some lenders wiil accept a verification from a landlord (as opposed to a management company), having cancelled checks will make getting your loan easier. Typically lenders want cancelled checks for the last 12 months, if it is to replace a VOR - Verification of Rent.
The VOR not only satisfies the lenders 12 months rent/mortgage requirment, but it can also be used as a secondary credit reference. This is done if you do not have the required credit accounts reporting on your credit file.
If you do not have a checking account to pay for your rent payments use a money order, not cash to pay for your monthly rent payments. When you use cash there is no way to truly document your rent payments if need be. However, if you use a check or money order you can prove that you made your payments and when. Therefore, make sure you save your money order receipts or copies of your cancelled checks to show proof or rent payments being made and being made on time.
The verification of rent is commonly referred as a "VOR".
If this form is used please notify your landlord in advanced so that they can quickly return the VOR when they receive the document. At this time you also want to notify your landlord of your vacancy and request for a final walk through of your rental as to fix any problem that may have occured during your residency.
