Do You Know About Your Credit Score? You Need To!

14:53

Today we’re thinking about money and more specifically what happens when you borrow. Every time you borrow money, your credit score changes. If you borrow and pay back on time, you can improve your credit score. If you fall behind on payments, the score will drop. You might not think it’s a big deal but your credit score can affect more than you realize.
It Can Stop You Renting
Credit scores can be used by landlords when checking out a potential tenant. Landlords want to make sure that the people they rent to can afford to pay the cost. If you have a history of not paying your loans back on time, you may find they won’t trust you with a hefty rent bill. Instead, you’ll be denied your dream property, and the same could be true when purchasing a home. Mortgage lenders always check out credit scores of applicants.

It Can Stop You Getting A Job
Yes it true, reports have revealed that most employers now look at credit scores as part of a background check. If you think this information was private, you are completely mistaken. It’s accessible to anyone who wants to see it if they can pay for the resources.
It Can Stop You Borrowing
Lastly, a credit score can stop you borrowing money. If your credit history is poor, you will find lenders won’t give you money. They won’t be able to trust you to pay it back on time. The only people who will lend are the ones you don’t want to borrow from. Their interest rates will be so high it will drive you into debt. That’s why you should always examine the relationship between your credit score and loans before you borrow. You can read more about this in the infographic below.


Infographic Design By MyCreditMonitor

-

Advertisement