HONOLULU (KHON2) — Fees associated with background checks will soon be regulated under a new law taking effect on Wednesday, May 1.
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Office of Consumer Protection Executive Director, Mana Moriarty said his office received reports of property owners charging hundreds of dollars for tenant screenings, which “appears to be excessive.”
The law aims to protect renters from landlords taking extra cash from background checks.
“For landlords who are maybe not running the reports for every person and still pocketing the fees, they’re going to have to change how they do business,” stated Moriarty.
If found in violation of the law, the landlord would be required to refund any portion of the fee not used to complete a background check. Property owners operating ethically won’t have to worry about any changes.
“The new law won’t really affect my brokerage very seriously because we try to always be very fair and not overcharge for anything anyway,” said Erica Lehmkuhl, Seaside Realty owner.