How Colorado Landlords Can Accept PTSRs: Complete Compliance Guide

Colorado's Portable Tenant Screening Report (PTSR) law takes effect January 1, 2026. If you're a landlord in Colorado, you need to know how to accept PTSRs, verify their authenticity, and stay compliant with House Bill 25-1236.

This step-by-step guide walks you through the entire process—from receiving a PTSR to evaluating applicants and avoiding common compliance mistakes.

What You Need to Know Before Accepting PTSRs

Rent with Clara's tenant screening solution makes accepting PTSRs simple and compliant.

PTSRs Must Include Required Components

For non-subsidized applicants, a valid PTSR must include:

• Identity verification – Government-issued ID and biometric authentication
• Credit history – Credit score, payment history, outstanding debts
• Criminal background check – Felony and misdemeanor records
• Eviction history – Prior eviction filings and judgments
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Important exception: For applicants using housing subsidies (Section 8, public housing, etc.), PTSRs are not required to include credit history, credit scores, or adverse credit events. You cannot use credit information to deny these applicants.

Clara's identity verification process uses document scanning and biometric authentication to ensure applicant authenticity.

PTSRs Are Valid for 30 Days

Under HB25-1236, landlords must accept a PTSR that is up to 30 days old from the date of issuance. You Cannot Charge Screening Fees If a PTSR Is Provided

If an applicant provides a valid PTSR, you cannot charge them a screening fee. However, you can still charge application fees for administrative costs (lease preparation, property tours, etc.).

Tenants Can Submit PTSRs Directly

HB25-1236 repealed the requirement that PTSRs come through authorized consumer reporting agencies. Applicants can now provide screening reports directly to you via email, online portal, or in person—and you must accept them.

Step-by-Step: How to Accept a PTSR

Step 1: Request the PTSR from the Applicant

When an applicant submits a rental application, ask if they have a PTSR. If they do, request a copy via email, online portal, or in person.

Make sure your lease application clearly states:

• PTSRs are accepted
• Applicants with PTSRs will not be charged screening fees
• PTSRs must be dated within the last 30 days

Step 2: Verify the PTSR's Authenticity

Not all PTSRs are created equal. Some may be outdated, incomplete, or fraudulent. Here's how to verify:

• Check the issue date – Confirm the PTSR is less than 30 days old
• Verify the source – Make sure the PTSR comes from a legitimate provider
• Look for security features – Legitimate PTSRs include watermarks, digital signatures, or QR codes
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Landlords can verify income and employment instantly through secure integrations.

If you suspect fraud, contact the PTSR provider directly to confirm authenticity.

Step 3: Review the PTSR's Contents

Once you've verified the PTSR, review the information carefully:

• Identity verification – Does the name and photo match the applicant?
• Credit history – Are there red flags like late payments, collections, or bankruptcies? (Remember: you cannot consider credit for subsidized housing applicants)
• Criminal background – Are there any disqualifying offenses?
• Eviction history – Has the applicant been evicted before?
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PTSRs include credit and background checks from trusted sources like TransUnion.

Step 4: Request Additional Documentation (If Needed)

A PTSR doesn't limit your ability to conduct due diligence. You can still request:

• Pay stubs or bank statements
• Employer references
• Previous landlord contacts
• Proof of income (especially for self-employed applicants)
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Just remember: you cannot charge the applicant for screening if they've provided a valid PTSR.

Step 5: Make Your Decision

Use the PTSR (and any additional documentation) to evaluate the applicant. Apply your standard tenant selection criteria consistently across all applicants to avoid fair housing violations.

If you're new to Colorado's new PTSR law, start with our overview guide.

Step 6: Keep Records

Store a copy of the PTSR with the applicant's file. This documentation proves you followed HB25-1236 requirements and can protect you in case of disputes or audits.

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Special Rules for Section 8 and Subsidized Housing Applicants

If an applicant uses a housing voucher (Section 8, public housing, etc.), different rules apply:

• PTSRs do not need to include credit history or credit scores
• You cannot use credit information to deny these applicants
• You can still verify identity, criminal history, and eviction history
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Note the special rules for Section 8 applicants regarding credit checks.

This provision protects voucher holders from credit-based discrimination while still allowing landlords to screen for other risk factors.

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Common Mistakes to Avoid

Mistake 1: Rejecting a Valid PTSR

You cannot require applicants to use a different screening service if they provide a valid PTSR. Doing so violates HB25-1236.

Mistake 2: Charging Screening Fees

If an applicant provides a PTSR, you cannot charge them a screening fee. You can charge application fees for administrative costs, but not for screening.

Mistake 3: Accepting Expired PTSRs

PTSRs are only valid for 30 days. If an applicant provides an expired report, you can request an updated version.

Mistake 4: Discriminating Against Voucher Holders

You cannot use credit information to deny Section 8 applicants. Make sure your screening criteria comply with fair housing laws.

Mistake 5: Failing to Verify Authenticity

Always verify the PTSR's authenticity. Fraudulent reports can expose you to bad tenants and legal liability.

Landlords can sign up for free and start accepting PTSRs today.

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How Rent with Clara Simplifies PTSR Compliance

Rent with Clara offers a landlord-friendly PTSR solution:

• Instant verification – Confirm identity, income, and history in minutes
• Fraud detection – Built-in security features prevent fake applications
• Free for landlords – No subscription fees or per-report charges
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Note: These are features of Rent with Clara's service, not requirements of Colorado law.

Renters pay a one-time fee, and landlords get instant access to verified screening reports.

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Frequently Asked Questions

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Legal and Compliance Resources

For more information on Colorado's PTSR law, consult these authoritative sources:

• Full text of Colorado HB25-1236 – Review the official requirements to ensure full compliance
• Colorado Attorney General's guidance on landlord-tenant law – PTSRs must align with all Colorado landlord-tenant laws and fair housing regulations
• HUD's fair housing guidelines – Follow these when evaluating rental applications
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Note on Penalties: HB25-1236 does not specify detailed penalties for non-compliance. Landlords who violate the law may face civil liability, but specific enforcement mechanisms are not clearly defined in the statute. Consult legal counsel if you have questions about potential consequences.

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Final Thoughts

Accepting PTSRs doesn't have to be complicated. With the right tools and processes, you can stay compliant, reduce screening costs, and find quality tenants faster.

The key is to prepare now. Don't wait until January 2026 to figure out your PTSR process. Partner with a trusted provider, train your team, and update your policies.

Rent with Clara makes PTSR compliance simple, affordable, and stress-free. Sign up today and be ready when the law takes effect.

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