You might think of your credit score as a grade to tell prospective lenders if you’re a good risk. But your credit score does more than just reflect your financial health. It may also drive your finances.
The advantages of great credit
When you have excellent credit, a whole new world opens up. Here are some of the benefits you might see with a great credit score:
- Free money! You become eligible for the best rewards cards. (And when you pay the balance in full every month, there are signing bonuses and rewards without paying the interest. That’s free money.)
- Better rentals: Landlords with great properties want great applicants. Top credit scores mean not having to settle for a poor-quality rental unit.
- Lower insurance premiums: Drivers with low credit scores pay up to double that of drivers (with the same driving record) who have excellent credit.
- Better jobs: Where it is legal, employers use credit scoring when making hiring decisions (most often for jobs involving money or positions of trust).
- Better loans: Lenders use credit scoring to approve loans and set their terms. People with the best credit get the best offers.
- Nicer retirement: Better credit saves you money so you can put more away for a secure and comfortable retirement.
Your credit score is a double-edged sword — either punishing you or rewarding you for your spending and repayment habits.
Same goal, different paths
Almost anyone can win the credit-scoring game, but we don’t all start in the same place.
Nonetheless, understanding credit from the inside out can help you manage your finances more effectively.
Here’s a quick analysis of why you would want to take the credit score path no matter where you are when you start:
| Credit Need | Reason to Start the Improve Credit Score Path |
| Protect a great credit score | Congratulations! This path shows you how to make protecting an excellent credit score simple. |
| Improve credit | No problem! In this path, you'll learn quick fixes and long-haul changes for maximum impact to your score. |
| Building credit for the first time | The Catch-22 of needing credit to get credit is real. But everyone with a credit card, mortgage or auto financing has managed to overcome this. This path leads you through the process. |
| Repairing credit | If your credit is in poor shape, we can teach you a few hacks and help you develop new habits. You can move on faster than you probably realize. |
By simply working toward a great credit score, you’ll improve many other aspects of your finances, and even your life.
Good financial techniques then become part of who you are – responsible toward your obligations, careful in your borrowing, and conservative in your spending.
