Is credit all that important
in today’s housing market? By Edwin Engelke
WHAT IS CREDIT? Credit is your financial power in today’s world. In short, good credit determines whether you will qualify for a loan, a mortgage, or a student loan. On the other hand, bad credit may inhibit you from achieving many things, including getting a credit card with a low-interest rate and thus, making it more difficult for you to get any money for any purpose. Most financial experts advise on the importance of making sure that your credit reflects positively, and according to Liz Pulliam Weston, even if you are not in the market for a loan, good credit can have a major impact.
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“Your credit information can be a factor in whether or not you can rent a nice apartment, how much you pay for insurance or whether or not you can get a job.”-Liz Pulliam Weston, author of Your Credit Score.
One major impact of the credit is that, in most cases, employers, mortgage lenders, and credit card companies will use your credit information to determine how reliable and trustworthy you are. Therefore, a credit score doesn’t only apply to loans, it is a part of your financial life. CREDIT CARD VS. CASH PAYMENTS One thing that makes the cards more adaptable is the convenience factor. The ease with which the credit cards have been made considering their usage has made them more popular than cash payments. JUNE 2022 | 99
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ost companies have realized the importance of credit integration in people’s lives and have started to extend credit services to most areas. This means that it is almost possible to do anything with no cash at all in today’s world.
