Rent warrant agency J-Lease partners with China’s Lakala to serve Chinese in Japan

26, May. 2020

Photo by MF Evelyn on Unsplash
Photo by MF Evelyn on Unsplash

TOKYO, NNA – Japanese housing rent warrant service provider J-Lease Co. has partnered with leading Chinese integrated financial service platform Lakala Payment Co. to cater to the growing number of Chinese people coming to Japan.

J-Lease said Monday it will utilize credit information of Lakala, the third-party payment service firm, for Chinese students to screen their financial standing and guarantee their housing rents for property leasing firms and individuals in case payments fall into debt.

Chinese people moving to Japan for study or work have often faced difficulty in renting housing due to the lack of their credit information available for property owners, differences in language and customs, and few payment methods, J-Lease said in a statement.

Lakala Payment, which was listed on the Shenzhen Stock Exchange in April 2019 as the first local payment firm, handles over 25 million cases of payments daily on average in China, totaling some $668 billion in 2018, according to J-Lease.

J-Lease, headquartered in the southwestern Japan city of Oita, aims to offer an accurate and efficient credit review service through the business alliance with Lakala Japan Co., an affiliate of the Beijing firm, enabling Chinese immigrants to move into accommodation in Japan more smoothly, it said.

This is the first tie-up for J-Lease with a foreign company, a J-Lease spokeswoman told NNA on Monday. The latest scheme has property owners and lenders receive rents in Japanese yen while the tenants can settle payments in Chinese yuan in their bank accounts in China, the statement said.

The credit guarantee service agency will initially provide the service to Chinese students and expand the scope of customers to non-students from China and current Chinese residents in Japan. It plans to eventually cover all foreigners moving to Japan, according the statement.

It will strive to launch the business fully once economic activities return to normal after the coronavirus outbreak ends, although demand for such service for foreigners has decreased considerably now, the spokeswoman said.