Perhaps you’ve never thought much about your credit score because you haven’t engaged in a process where parties took that aspect into account when making a decision. Alternatively, maybe you haven’t put much effort into positively impacting your score because you’re not sure how to get started. In any case, your credit score can significantly influence your opportunities.
Your Credit Score Indicates Financial Stability
A credit score is a representation of your financial standing. Once you decide to get a free credit score , that’s the first step to knowing whether there’s room for improvement or you’re already in an excellent position.
Getting your score also makes it easier to connect past issues to your future score. For example, if you send in credit card or loan payments late, that can negatively impact your credit score.
You also may notice a trend where you frequently get close to your credit limit or otherwise use more than half what your credit card provider indicated. The amount of credit used is called your credit utilization. Sources suggest keeping it at 30% or lower  to improve your score.
Knowing your credit score helps you take positive action. If you’ve accidentally paid bills late before, consider setting a reminder in your phone or marking the due date on a calendar. If using too much of your available credit becomes problematic, take a closer look at why that happens to determine what realistic changes you could make.
Your Credit Score May Impact Your Housing Options
Your credit score also becomes crucial for potentially influencing where you can live. For example, if you’re looking for places to rent, landlords want indications that their potential tenants will pay reliably every month. A credit score is not the sole indicator of that happening, but it shows whether you’ve been on time with other payment deadlines before.
Additionally, perhaps you’re thinking about taking out a loan to buy a house. Your credit score typically becomes part of the screening process before approval. Even if you’re not in the market to buy or rent anytime soon, it’s still good practice to know your score and be aware of if you should take steps to make it better before a housing-related milestone occurs.
Your Credit Score Could Make You a More Appealing Job Candidate
The job market in many cities is intensely competitive, and sometimes dozens or hundreds of people apply for a single open position. Having a strong resume and cover letter, along with the required or preferred experience and background, should help you stand out, but your credit score could play a role, too.
Some employers will retrieve a truncated version of your credit history  while evaluating you as a candidate. They don’t see your score, but having a high one will naturally reflect well on the credit history details they do get to examine.
You might wonder why a potential employer would care about that aspect. It’s often because they want to know whether you could handle having a company credit card. Having one of those is a privilege that comes with significant responsibility.
Your Credit Score May Affect Your Insurance Costs
Differences in premium rates given by insurers seem a bit mysterious to outsiders. Companies weigh a variety of factors and use specialized algorithms when calculating an offer for you. One of the things examined during the process could be a credit-based insurance score.
It’s a specialized version of your score specific to that industry. Of course, having a fantastic credit score alone is not enough to guarantee a low rate for insurance. However, it could make a meaningful difference in what you pay when gauged along with other factors.
This overview emphasizes why there’s no time like the present to learn your credit score and consider taking steps to improve it. Doing those things could shape your financial future for the better.Google+