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7 Ways Your Credit Is Used


1.) Financing a Car

2.) Financing a House

3.) Renting a House

4.) Getting a Job

5.) Getting Insurance

6.) Getting Utilities

7.) Starting a Business


A lot of people know that having a good credit score is important for buy a house or a car, but they don't realize that a good credit score can also affect your ability to get a job, get insurance, start a business and more.


Here are some details of how a good credit score can affect these 7 areas. As you will see from the following examples, having a poor credit score will actually cost you more money out of your pocket, both up front and in the long run!


1. Financing a Car

Yes, there are options to buy a new or used car even with poor credit, but the difference in your interest rate can make your payment significantly higher and the amount that you will pay in interest will be significantly more as well!


2. Financing a House

It is much more difficult to buy a house with poor credit than with good credit. You may be asked to put a much larger down payment on the loan which could be 10s of thousands of dollars more than it would be if you had good credit!


3. Renting a House

Even if you are just looking to rent a house or apartment, most landlords check your credit score. Some landlords may refuse to rent to you altogether if you have a poor credit score and others may rent to you, but you will have to pay a much higher security deposit.


4. Getting a Job

Yes, a poor credit score could indeed cost you from getting the perfect job! It's unfortunate that the reason you may have a low credit score is because you don't have job, but by having a low credit score, it could prevent you from landing the job that will solve your problems.


5. Getting Insurance

In most cases, you can still get insurance, but your premiums will be much more and in some cases they may require you to pay up-front.


6. Getting Utilities

Similar to Insurance, in that, you won't usually be denied utilities, but you will more than likely have to pay a large up-front deposit. Those with good credit scores frequently don't pay ANY deposit!


7. Starting a Business

Of course you can start a business without a good credit score, but if you do not have capital and need to get a business loan, then your personal credit score will impact your ability to get a loan. In addition, some businesses types may require having a bond. Approval for a bond will be dependent on your personal credit score.


Having a good credit score will save you hundreds, if not thousands of dollars in a short period of time. Contact Us to get started on a path to a better credit score!

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