Unfortunately, given that the economy has worsened in recent years, the majority of us have reached the uncomfortable position of being affected by unfavorable credit ratings. Whilst this can present a slight glitch on the path to financial freedom, you'll want to just take it with a grain of sand, because thankfully credit scores and less-than-perfect credit can be fixed in due course.
However, if you feel you can simply get by with bad credit through-out your life, you might need to reconsider. Following are a few situations which could arise and bite you in the future - if you have not taken any steps to fix your bad credit.
Situation 1: Renting a Property
Probably the most annoying thing for any genuine tenant of a potential property to go through is to be denied tenancy simply according to your credit rating. Most landlords now look at the credit history before letting you sign up for a rental term on a property. This is they can check for the following things:
Defaults and outstanding balances on accounts
Previous interactions with landlords and housingWhether you are likely to pay your rent punctually
Those with a bad credit score will possibly have a red light in one of these areas. Unfortunately, just a single red flag on a credit report can be enough to get someone passed over.
Hence - if this is a position that you have been in, by far the most relevant and useful thing you can actually do at any given time is always to fix your below-average credit, and enable your credit score grow once again. After this - you will have no problem with tenancy agreements.
Situation 2: Employment
Unemployment in the united states is currently an issue. It's estimated (despite the official unemployment figures) that 1 in 9 individuals are unemployed and want more work.
Obviously, the less income you have coming in to the household, the higher your chances are of suffering from adverse credit. This is merely how the credit scoring specialists distinguish between consumers.
If you currently have bad credit, you should look at trying to improve it - because employers are now often checking credit reports and credit scores for marks hints as to how stable potential employees are. Given that the employment landscape is so fierce these days - it always pays to get every avenue covered.
I stumbled across this program called Credit Repair Magic and for anyone considering getting it, I figured I'd post a review on it so you can fully understand what this program is and does.
