Good Credit Is a Necessity for Daily Living
by Jeanette Joy Fisher
Most of us want a good credit report to obtain vehicle financing, credit
cards for emergencies and luxuries, and to finance a home mortgage. However,
beyond these consumer loans, a great credit report makes your life easier.
Having a credit card means that you can order tickets, rent a car, and reserve
hotel rooms. Your strong credit score makes it easy for you to arrange cell
phone service and necessary utility services, without large deposits.
Besides these conveniences, your credit report can mean that you must pay high
deposits and rates for everyday services. Did you know that poor credit history
can keep you from getting utility connections, good telephone rates, the best
auto insurance, high- quality home owner's insurance, or even prevent you from
getting hired?
Some utility companies set minimum standards for service connections. If your
report shows collection accounts for prior utility bills, you may not be
eligible for service at all. And if they do agree to connect your service,
you'll need to pay a higher deposit than another customer with good credit, who
may not need to make any deposit. The same requirements exist for telephone
services. People with high credit scores don't need to pay deposits for home
telephone or cell phone services.
What many people don't realize is that good credit enables them to get better
insurance rates. High-quality, low-cost home owner's insurance, auto, and life
insurance companies set minimum credit standards for their policy holders. This
means that consumers with poor credit have to pay more for less coverage. Many
automobile insurance companies now base monthly premiums on credit scores. These
companies offer a 17% discount if your score is over 625 and a 25% discount if
your score is over 725. Why? Because according to consumer surveys, people who
care about their credit also take care of their property and drive with caution.
Terrible credit can cost you a job. More and more employers look at a
candidate's credit report and hire the person with better credit, assuming that
better credit equals better integrity and character.
What you don't know about your credit could be hurting you. Don't wait until you
need your credit to work on any problems. Strong credit translates to personal
reputation.
Jeanette Fisher,
author of "Credit Help! Get the Credit You Need to Buy Real Estate," helps
people buy their dream home or finance multiple investment properties. Jeanette
teaches real estate investing and Design Psychology. For help with your credit
or answers to your questions, visit the Real Estate Help Credit Center at
http://recredithelp.com/ Get the credit you need to buy one house or twenty!