Did you know that a bad credit report can prevent you from advancing in your professional life? Depending on where you live, an employer may be able to conduct a credit check on you when you apply for a job. Eleven US states have enacted privacy laws that prohibit the practice; the rest of the United States do not. In fact, it’s becoming more and more common up north.
What Do Employers Look for in a New Employee?
Your credit history is checked by one of the agencies that collect and provide this information when an employer does a background check on you. As they can see defaulted payments, bankruptcy, and consumer proposals are all examples of revolving credit, which includes loans, credit card balances, and late payments.
They can’t see what you bought with your credit cards, which is fortunate for you. That information will remain confidential. How you handle your money is reflected in your credit report.
How to Resolve Your Debt Issues?
Your debt may linger after an erratic period of financial stability. It’s discouraging and hopeless if you’re unable to advance in your career because of your debt.
The good news is that you have options for dealing with your debt. While bankruptcy and consumer proposals will appear on your credit report for many years, there is an alternative in the form of credit counseling.
What are the advantages of working with a non-profit credit counseling agency’s licensed Credit Counselors? Debt Consolidation Programs are a good alternative to additional loans.
There are many benefits to a Debt Consolidation Program, including reduced or eliminated interest rates and a clear timetable for getting out of debt. You can also make a single monthly payment to cover all of your unsecured debts, making it easier to see where your money is going each month.
Is Your Credit Checked by Potential Employers?
Only a small percentage of employers use this method, but it is becoming more common. Depending on the position, your credit history may be requested more frequently in some cases than others. That information is most likely to be requested by employers in the financial sector. You may be asked about your personal finances when applying for a job where you have control over a company or organization’s finances.
Going after a debt relief program could jeopardize your future in the financial services industry. A bankruptcy may prevent you from working in your chosen field. To avoid bankruptcy, you’ll need to look into other options, like credit counseling.
Increasing your income isn’t the only way to financial stability. For some professions, it may be necessary to get out of debt before you can move on to the next level of your career. A good credit score is essential for getting a job and making the most of a higher salary in the future, so it’s important to manage your debt now.