I used to be OBSESSED with my magic number. I spent sooooo much energy making myself believe this number mattered…
That my credit score gave me some sort of “golden ticket” to the world, and the only way I was going to be able to live my life (and have an amazing life) is if I had the best credit score possible.
When I was on my debt-free journey, I started reading about credit scores a lot more, and really started to understand why they mattered.
I realized I’d been staying in debt because of this score, because the only way you can really have a great score, is if you’ve borrowed a bunch of money and go INTO debt…
In order for you to have a credit score, you must be borrowing money, but only a certain percentage of the total that’s available to you, among other variables…like, the number of credit cards you have, variety of personal, car and student loans and how long you’ve been borrowing.
The entire score is based on you BEING IN DEBT. Please let this sink in.
Banks want you to borrow money…that’s how they make money.
Sure, there are a few things that are inconvenient when you have a bad credit score or no credit score (20% of the population does), like getting utilities or a cell phone in your name or sometimes even renting a house, but there are ways around everything…
It might take the agency a bit more work to look up your background, but if you’ve paid bills on time and can show consistent income among other things, there are work arounds.
What do you think of credit scores? I’d love to know. ?