Four reasons to clean your credit
Having a clean credit report and an accurate and good credit score is very important in today's economy. Because of the Fair Credit Reporting Act, you have the right to review your credit report and ensure that all of the information is timely and accurate. This is a wise thing to do in order to make sure your credit report and credit score truly reflect your credit history. There are many reasons to clean your credit report, four of which are listed here.
Reason #1: Clean Credit Usually Means Lower Interest Rates
Lower interest rates on credit cards, loans, etc. are a very important reason for any consumer to clean their credit report. Interest rates are generally based on your credit score, which is calculated according to the positive and negative listings on your credit report. A cleaner credit report typically results in a higher credit score and a lower interest rate offer for you. Lower interest rates save you money on credit card purchases or loan payments which is a savings that can add up very quickly.
Reason #2:Clean Credit Reports Make for a Higher Rate of Loan Approval
Because of the state of our economy, more and more people are getting turned down for home loans, car loans, home improvement loans and more every day. A good way to ensure that you get the loan you are applying for is to make sure your credit report is clean and accurate. This is important for anyone intending to apply for a loan. It is an unfair but true fact that people get turned down for loans based on inaccurate information that is found on their credit reports. This information can be disputed and, if proven inaccurate, can be removed from your credit report, typically raising your credit score and increasing your chances of getting approved for a loan.
Reason #3: Employers Like a Clean Credit Report
There are many jobs available for people with high credit scores that are out of reach for people with low credit scores. This is an essential reason to clean your credit. Many jobs that require employees have access to financial information, handle money, or even sell items also require that the person applying for the job not have a bad credit score. This is a safety factor for many businesses. Taking the steps to clean your credit will ensure you don't get turned down for a job based on your credit rating.
Reason #4: Clean Credit Feels Good
Having a low credit score has an impact on the self-esteem and confidence of many people. Having a low level of confidence can affect many aspects of your life. Work to clean your credit and improve your credit rating either by yourself or with the help of a credit repair firm and keep low credit from impacting your confidence and happiness.