Credit repair is necessary because of the wide range of negative effects bad credit can have on your finances and your quality of life. Here are some of the potential side effects of bad credit:

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• You may find it harder to get a loan to buy a new car or home

• Bigger, well-known, reputable lenders may be reluctant to give you a loan, forcing you to turn to less preferable lenders

• Qualifying for a credit card may be difficult

• If you do qualify for a loan or credit card, you may have to pay a higher interest rate than you would with good credit

• You may pay higher insurance premiums for home, auto, or renters’ insurance

• If you apply for a job that involves handling money, your prospective employer may run a credit check, reducing your chances of getting hired

• It can be harder to rent an apartment

• Utility companies may run background checks and require you to pay higher deposits

• Bad credit can keep you from qualifying for credit cards with better rewards programs

• You may have to delay saving money and building wealth until you can repair your credit

In short, there are many undesirable side effects to bad credit and no upside. If you have bad credit, it’s in your best interests to seek credit repair.a