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How Your Credit Score May Affect Employment Prospects


Your credit score tells potential creditors how risky of a borrower you are by gauging how responsible you've been with handing credit and managing debt. It makes good sense that lenders would want a good idea of how likely it would be for a borrower to default on a loan.

There's someone else who might be checking up on your credit history — your employer! Discover more about how you, your credit score, and employers may be connected when you

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Your employment history is not part of your credit score, but your credit score could be factored into your chances of getting a job. A good credit score will give you access to the best interest rates and it could also give you an edge if a potential employer runs a credit check for applicants. Just as lenders may see you as a risky borrower if you have a poor credit score, employers may also view you ask a risky employee.

If you're interviewing for a position that involves finances, confidentiality, and handling money then it's likely that your employer will run a credit check before they make you a job offer. Some companies check applicants' credit regardless of the specific position under consideration.

K.E. Varner, author of The Insider's Guide to Credit Repair sums up the concept like this: "Overall, it's a reflection of a person's character. That's the assumption these companies make. Given everybody is equal in their backgrounds and skill set, if one person has a better credit score, you're probably going to be better off with that person."

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