Do You Have Bad Credit? Here’s How to Tell

If you take even one quick look at recent financial news, it’s easy to see that the economy is not in a great state. The cost of living is high, many people aren’t earning what they used to, and living even a modest lifestyle is becoming increasingly difficult.

One of the things that can make it even more difficult, however, is if you have bad credit. And, while you can always check your credit score, sometimes even for free, it’s often hard to make sense of a number and a bunch of items on a report. Instead, it’s typically much easier to simply be aware of the warning signs that you might have less than perfect credit and, from there, to take steps to improve your credit as much as possible. You never know when there might be a great rate on refinancing your mortgage from a company like Credible so it’s best to be ready.

Credit Card Lenders Say “No Way”

One surefire sign that your credit isn’t where it needs to be is if you get rejected for a credit card. You should never apply for a card that you don’t need just as a way of checking your credit, especially since hard inquiries into your credit can further reduce your score.

However, if you’re looking for more credit, apply for a card, and get told “no,” this could mean that you have poor credit. You could try applying for a card with lower qualification requirements, but before you do that, it’s often best to get to the root of the problem.

Fortunately, when you get turned down for a credit card or other forms of credit, the lender does have to provide you with, at your request, a description of why you were not approved. Take advantage of this information to try and determine where your credit issues lie and how you can fix them.

You Can’t Get Utilities in Your Name

Basic utilities, like electricity and water, are things that every person needs and that most people are able to get with ease.

However, if you move into a new place and try to set up an electricity or water account, and you get told no or are asked to put the bill in someone else’s name, this is a major sign of some seriously bad credit.

When even utility companies don’t trust you to pay your bills as agreed upon, you need to take big steps to work on your credit score.

An Account Gets Closed

When you owe money to a company, that company will often do everything in its power to collect on your bad debt. If you go long enough without paying, however, the company may eventually close the debt, which means they basically write it (and you!) off as a major mistake.

When this happens, especially if it happens often, it impacts your credit score, and you can be sure that it will negatively impact you as well. When accounts get closed, the lenders don’t even think suing you is worth it, so you’re in some major trouble and will need to work hard to repair your credit.

Finding out you have poor credit is never fun. But, there are many things you can do to make it better. For example, you could apply for a title loan, which would enable you to borrow some extra cash, allowing you to get caught up on bills and, even better yet, giving you a chance to improve your credit by making your loan payments on time.

These and other options are available to help you, but, first, you have to realize and acknowledge there’s a problem before you can do anything about it.  If you’re willing to do those simple things, then your life and your credit might just change for the better.