Regardless of how it happens, it isn’t uncommon for people today to max out their credit cards. Hopping from one card to the next without paying your bills might not seem like a big deal at first, but it catches up, and when it does, someone has to pay!
You might think, “Well hey, I make my minimum payments and keep things afloat”, but that is just the kind of attitude that gets people in a whole lot of financial trouble.
The Ill Effects of Poor Credit
Having bad credit scores is not just about the hassle and inconvenience of having to deal with collection agents or to not be able to use your card. There’s a whole lot more to it that one needs to be aware of.
There are a number of amenities we take for granted in life. Though when we have them we might not see them as privileges, not having them can be hugely inconvenient. Poor credit affects your mobility with regard to everyday life and here is how.
Residential Problems
If you have a poor credit score, you’ll probably not be able to move into your own place. Regardless of whether you’re looking to buy or rent, a poor credit score means people will probably not be too keen on offering up their spaces to you. The assumption here would be, if you can’t keep up with your credit card bills, what’s to say you’ll keep up with your rent or down payments?
Communication
In the world of today, there is a lot we do on our telephones. Many of us even work via our phones using them to communicate with clients to keep up with emails. Most phone companies do not cater to people in debt.
In other words, you’re probably not going to get a phone contract and hence, whether you like it or not, it’s off the grid!
Commute
You won’t be able to purchase your own car if you have poor credit scores and will likely have to stick to the tube or bus because even Ubers are more convenient and may come out as affordable when paying via card!
Utilities and Services
Most utility and service companies will likely need larger security deposits from you again, because your credit history is not the sort that comes off as reliable. This will make it even harder for you to get around. Even insurance premiums are higher when your credit scores are low!
Loans & Jobs
Not that you should be thinking about loans with already poor credit scores but even if you were, the terms and conditions would be a lot tighter than if your scores were good! Further, even employers avoid hiring people with consistently poor credit.
Upshot
As you can see, if you get sucked into the poor credit hole, it can be hard to get out. It might make sense to fix your credit scores well before this happens!
If you feel you can’t do this on your own, there are a number of affordable credit repair services available which might help.
KeyPoint is a credit service company offering clients extensive credit services including credit monitoring, business credit and some of the best credit restoration and repair services available at highly affordable rates.
