The need to repair bad credit history
Advertising Disclosure
Credit-Land.com is an independent, advertising-supported web site. Credit-Land.com receives compensation from many credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. Credit-Land.com has not reviewed all available credit card offers in the marketplace.
Credit Card Applications » Research » Guides » Building Credit History » The need to repair bad credit history

The need to repair bad credit history


Updated: December 26, 2012

By
Add to Favorites:

Using credit cards without restraint and not making your payments on time may give you a few dollars extra to spend on parties and pubs and many other fun things. However, when the collection agents arrive at your doorstep or you don`t have any balance left on your credit card, it is reality time! Most youngsters, who get credit cards with the intention of building a good credit history, end up spending foolishly and find themselves facing huge debts and a bad credit history. Having a bad credit history is sure to put your financial well being in jeopardy. Here are a few reasons why you should consider fixing your bad credit history.

High interest

People with bad credit don`t stand a chance of getting any credit cards, auto loans or mortgages. Lenders, who are willing to make exceptions, charge very high interest rates. Hence, over a period of time, you will end up paying more interest than you would have if you would have had good credit history.

Denial of employment

If you thought bad credit history would impact just the chances of getting your next credit card or loan, you are in for a surprise. Bad credit will also impact the chances of you landing your next job. Prospective employers are now taking a look at credit history of potential candidate before offering them a letter of employment.

Lack of cell phone contract

Before issuing a contract to you, cell phone companies are now looking into the credit history of the person. They establish the credibility and reliability of the person based on this report. If you have a bad credit history, you may have to settle for a prepaid cell phone service.

Increased premiums

Just like every industry in the market today, even the insurance providers take a look at the credit report of the person before issuing a policy in their name. A poor credit score would imply rejection of the insurance policy. Even if the companies agree to provide a policy, it will be at higher premiums.

Security deposits

Getting cable, phone and electricity connections will also prove to be a concern if you have a tarnished credit report. You may be denied the connection and those companies willing to give you the connection may ask you for a security deposit.

In addition to these, there are many other repercussions of having a bad credit history. It is imperative to take the bull by the horns and tighten the leash before things get out of hand.

Add to Favorites:
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.

Related Research:

Credit Card Tips For Holiday Shopping 2016

By Herbert Moore, Posted: November 23, 2016

November and December are the busiest months as gift shopping reaches its peak. People rush around looking for the best gifts and the best deals leaving a lot of money in the shops. Holiday season may force you to go over the household ... Continue reading

Credit Cards to Save More on Holiday Shopping

By Herbert Moore, Posted: November 22, 2016

Discounts and special offers are available all year round. Werther you are a bargain hunter or an impulse buyer, make sure you check online discounts and special offers. Also, if you are a cardholder, see if your credit card opens the door ... Continue reading

How to Get Free Wi-Fi in the Air

By Herbert Moore, Posted: September 28, 2016

Sometimes in-flight Wi-Fi is the bare necessity when you travel abroad or within the country. However not all airlines offer free in-flight Wi-Fi. There is only a couple of airlines that will allow you to use Wi-Fi ... Continue reading