/
/
/
Credit Myth No. 5


Myth #5: Your credit score only counts when you're looking to borrow money.

Many people think this is the case, but your credit score counts in a lot more situations than just borrowing money.

If you're looking to rent a house or an apartment, the owner or manager will typically pull your credit before they give you an approval. Same thing if you're applying for a job—many employers nowadays are pulling credit and using that information as a factor in hiring. Also, your credit score comes into effect when you open up utilities for your home, or even set up car or home insurance.

One of the last ways credit can affect you when you're not looking to borrow money is with existing loans or credit accounts you already have! Creditors tend to do "periodic reviews," where they do a soft pull to your credit to make sure that your score hasn't gone down since when they issued you the loan or credit account. Many times with accounts like credit cards, if they find that your score has dropped, they can lower your limits, raise your rates, and more!

Bottom line, your credit affects you in lots more ways than you probably even realize ... not just when you're looking for a loan.

Click here  to read previous entries in our credit myths series.



Greg Vogel is a Consumer Credit and Debt Advocate. He is a FICO and credit reporting expert with the goal of putting himself out of a job through creating awareness and education about the exploitative nature of the Credit and Debt industry.

breakthroughbroker
Technology, marketing, & strategy your real estate business needs!
Easy to create and customize professional marketing templates - no design experience needed.
No-cost downloads and affordable print, ship, and direct mail options that simplify marketing.
Automations to make it easier than ever to promote a listing or open house and stay top of mind*.
Workbooks, checklists, playbooks, and workshops to support the growth and management of your business.
Advanced marketing technology, profile settings, premium benefits, and more for Plus Members.
*Automations can be limited based on location.

Create Account

By creating an account, you agree to the Terms of Service and Privacy Policy.