So many of today’s adults are either ignorant or afraid of credit and the borrowing process. It’s understandable, considering the turmoil the United States was recently in because of irresponsible lending, but it’s led to a generation that’s unprepared for the modern financial world. Credit is necessary for all kinds of things: mortgages, cell phone plans, and even renting an apartment. So when the vast majority of consumers have a subpar credit score, or none at all, it doesn’t bode well for them. But credit doesn’t need to be scary, it just needs education.
Good credit doesn’t just show the world that you’re a responsible lender, it can ultimately save you a ton of money. Consumers with upper-tier credit scores get the best interest rates, bonus offers, and down-payment plans on things like credit cards, personal loans, and mortgages. Building a good credit score is an investment in your future finances, even though it may seem unimportant in the moment.