Why Should You Care About Your Credit Score

Credit scores are the kind of thing that we sometimes leave to the back of our thinking. We all know they matter when it comes to loans, but how much impact can a credit score really have? The answer is: a ton. Your credit score is something that can impact almost every corner of your life, from your hiring potential to the place where you call home.

We’re rounding up some of the top areas where your credit score might impact your life, in an aim to help you understand exactly why you should care about your credit score. And read on to the end to discover some helpful tips that can start to bring that credit score up to where it needs to be.           `

Better Home Opportunities

You probably already know that your credit score will be a factor when it comes time to buy a new home, but you might not realize how big a factor it can be. A poor credit score can often mean you’re forced to pay a higher interest rate on your home mortgage, which you will be paying for years and years to come. And even if you don’t intend to buy your own home, a low credit score can severely impact your ability to find a good rental property. Landlords say that after proof of employment, your credit score is the second most important item that they look at [1]. 

Advance Your Employment Options

Did you know that your credit score can have an impact on your employment prospects? It might sound counterintuitive—after all, you may be looking for a new job in order to improve your financial prospects in order to improve your credit score. But reports show that 47 percent of potential bosses have actually run credit checks on people they are considering hiring, using that data to choose from candidates. If your credit score is already in the dumps, it could make you an unattractive prospect for your dream employer. 

A Steadier Romantic Relationship

If you aren’t convinced that you should pay attention to your credit score for financial reasons, then maybe you will consider paying attention for romantic reasons. It is a proven fact that a better credit score can actually have an impact on strengthening your relationship with your partner. In fact, 57 percent of men and 75 percent of women say credit scores are an important consideration when looking at their romantic partners. Furthermore, one in four people reportedly say that a bad credit score can be a dealbreaker in a marriage [1]. Those are numbers worth sitting up and paying attention to. 

Increase Your Credit Options

There are a ton of benefits consumers can take advantage of when it comes to credit card usage, like money back, earning miles and points toward travels, and sign up rewards. However, these benefits are most often associated with having higher credit scores. Credit card companies are less likely to sign you on as a client, and incredibly less likely to offer you more attractive rewards, if your credit score is low. A higher credit score means you reap those credit card benefits while opening up more spending power. 

Lower Your Insurance Premiums 

Insurance may not be something you think of when it comes to considering your credit score but it is a figure than can have a massive impact on several types of insurance you might need. On average, those with no real credit history will pay 65 percent for car insurance than someone else, and someone with just a fair credit score will likely pay 29 percent more for homeowner’s insurance than someone with good credit [1]. In many ways, getting that credit score up is going to be the responsible choice. 

Overall Better Mental Health

And finally, it might be hard to believe, but a good credit score can have a positive effect on your overall well being. Studies have shown that poor financial credit can cause undue stress, adding to problems like anxiety, insomnia and poor heart health [2]. By taking the time to sort out your finances and improve your credit score, you can actually improve your mental health as well, going a long way to creating a healthy lifestyle, leading to a healthier mind and body as well as a healthy bank account. 

How To Improve Your Credit Score

If you have a low credit score at the moment, there’s no need to lose hope. The fact is, there are a number of fast, easy ways that you can use to help that credit score jump up, with near immediate positive effects. One quick tip is to get yourself on a payment schedule, making automatic payments on all your debts so you never miss a payment (maybe set up a reminder on your phone). If you can afford it, you might want to make more than one payment per billing cycle for any of your credit cards. And if you have cards you’ve paid off but aren’t using, don’t close those credit lines. Finally, call your creditors and  see if any of your credit problems can be worked out through them. Often creditors will set up a payment plan that will help you cut down that debt, quickly [3]. 

The Way Forward

One of the most important aspects of a credit score is that you tend to it. It’s not something that you just want to ignore, as that can make the problem get out of hand—after all, out of sight, out of mind, right? Your credit score can have a number of pressing impacts on your everyday life, from jobs and your home to your overall health and the strength of your relationships. Take the time to understand your credit score and how it affects your life, and your financial future will thank you!


  1. Why You Should Care About Your Credit Score (businessinsider.com)
  2. Is Your Credit Score Affecting Your Health? You’re Not Alone (creditsesame.com)
  3. How to Improve Your Credit Score: Tips & Tricks (debt.org)