Bad Credit History

Having bad credit can mean some unfortunate consequences. In the eyes of the credit provider you look irresponsible and unreliable, meaning higher risk for them to not get their money back. There are several ways to accumulate bad credit, even if you make an honest mistake like being late with credit card payments.  

It’s all about plastics

Our society is increasingly turning to plastic over paper and while we let grocers put our purchases into environmentally unfriendly plastic bags instead of paper ones, we also whip out our credit cards instead of cash when purchasing them. So it’s difficult, if not impossible, to get through life without a credit card.

Difficult to get a place to live

A bad credit history can prevent you from getting a place to live. That is, if it’s not in a questionable area or owned by a lazy (or flexible, let’s not be too negative) landlord. When you rent or buy a place, a credit check will be performed and if the results aren’t so good, you’ll likely be passed over for another renter or buyer because it looks like you won’t be financially reliable. If good credit is a problem for you, you might have better luck renting a place from someone who isn’t “official” and doesn’t go through all of those procedures. But of course, by doing that you’re taking some risks of your own.

Turned down for jobs

Bad credit history can also prevent you from getting the job you want. Some employers perform background and credit checks on job applicants, and applicants with bad credit are often passed over for applicants with good credit because they appear more dependable.

Forget phone plans

Phone plans are also difficult to obtain with a bad credit history. Cell phone companies do credit checks on customers before they purchase a cell phone and a cell phone plan. They do this because they in reality are providing you with a service upfront, and risk the event of non-payment. If your credit check does not pass, you won’t be accepted by the cell phone company, and either you have to forget about buying a cell phone and plan, or you can lay down a deposit of up to $500 to be spared the credit check.

Turn the negative to something positive

I know this article sounds a bit negative, but my intention is to show you just how difficult essential services, a job, and even a place to live, can be to get if you have bad credit. Fixing you credit should be on the top of your list.