There are those who believe that a credit report doesn't mean anything, especially if they're the type of consumer who buys everything in cash. If you're the cash-only type who doesn't believe in the power of good credit, then you couldn't be more wrong.
Consumer scores are always affecting the outcome of our lives, and how your rating can affect yours is no different. If you're curious as to how your consumer score is having an effect on your report, then read to learn more.
Your housing depends upon your credit score
Did you know that one of the most important aspects of your life, your housing, depends upon the quality of your consumer scoring? Specifically, whether or not you can buy a house or where you're able to rent an apartment is completely based on your score.
Here's the facts: If you have a low rating, then you're not going to be able to obtain the financing that you'll need to purchase your dream home. Even if you can obtain a loan, then your interest rate will be high, you'll be forced to put down more cash on the loan down payment, or both.
And since most apartment complexes are operated by property management teams, there is a minimum rating that you'll need to have in place, just so you can be approved to live within a desirable apartment complex.
What are the most important aspects of your report?
In addition to determining where you live, and you live, your report details also have an impact on where you work (if you can get your dream job), how and where you can shop, how you handle emergencies, and if you can upgrade other areas of your life. So it's crucial for you to understand how to maintain a health report. It's also crucial to understand what's the most important aspect of your report.
Two of the most important aspects of your report are how you've paid your bills, and how much debt you're incurring. For example, if you pay all of your bills on time, and your debt ratio is relatively low, then you'll incur a healthy report. On the other hand, if you pay your bills late (or not at all), and you incur high levels of debt, then you're going to incur a poor consumer report.
So as you can see, even if you pay for everything with cash, building a good consumer report is a major building block for personal and financial success.
This is not legal, financial or professional advice. Please consult a legal, financial or professional advisor for your specific situation.