So everyone knows that a bad credit rating will impact your chances of buying a home, or getting a loan, but did you know that it can impact your chances of getting a job, too?
Scary, right, but here’s how: It’s increasingly common that companies are doing comprehensive background checks on potential employees before they hire them. Per a CareerBuilder survey, 72% of employers do this, and in those cases, 29% check credit reports.
Now, typically this happens when an employee will be handling financial transactions or will be responsible for large amounts of money, but especially in those cases, missed payments or bankruptcies in a credit report could end up being a deal breaker.
“Patterns of money mismanagement — like a bunch of missed payments or multiple collection accounts — could wind up hurting your odds of scoring a position, particularly if that gig involves handling cash, access to sensitive financial information, company accounting or government work,” reports USA Today. “That’s why it’s a good idea to review your credit reports ahead of your job search.”
If you are in a panic that a potential employer is going to have access to your credit report and credit score, take heed that they have to ask your permission first, and, in certain states there are even more restrictions than that. Another thing of note is that it isn’t likely you aren’t going to get a job because of your credit score alone, employers are more likely looking for patterns in your credit report, not judging you based on a number.
Looking to clean up your credit report before applying for jobs? Tally is a great place to start. The app will immediately start helping you improve your credit score, while helping you say on top of your monthly payments.
Now, happy job hunting!
Feature Image: Pixabay