| The Truth About Credit Reports and Scores |
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| Written by Guest |
| Tuesday, 09 February 2010 13:37 |
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Normally, I avoid cliches like the plague (oops), but the situation I'm about to address calls for one: The truth hurts. The truth is (and I'm none-too-fond of this reality myself, but I deal with it realistically) that your credit reports and scores play a huge role in your life. If your credit rating has taken a hit through error of your own or of the reporting bureaus, you know exactly what I'm talking about. Your auto insurance premiums shoot through the roof overnight. Heck, all your insurance rates go up -- your home insurance, life insurance, even health insurance can all be affected. How much does that cost you over time? Come to an honest answer about that, and you will get serious about improving your ratings. Damaged credit affects your mobility. Can you afford to move if your score is low? Can you move at all? Even in this "renter's market," most landlords will not be eager to rent to someone with bad credit. As for getting a mortgage, well, that is pretty self-explanatory. Would you lend to someone with a history of not paying their bills?
Having a reputation as a deadbeat or debtor can even hurt your romantic prospects. More and more, people are checking up on their romantic partners. If you have skeletons in your credit closet, you will want to get them out in the open as early in the relationship as possible. Here is the cruelest truth about credit reports: If you're out of work, your job prospects can be hurt by poor credit. In a fair world, employers would look upon you with some compassion. In this world, a less qualified candidate is likely to get the job if their credit score is better than yours. |
