Finance Roll

Not many Americans understand how a credit report impacts their financial and overall lives. It is imperative if you have debt to maintain a high credit score. If you have defaulted on your payments or if you have over $10,000 in credit card debt and you are not able to make your payments, although you can get it erased due to new statutes, your credit report will still reflect any payments that have been late.

Do you get a sinking feeling in your stomach every time that you see your statement. Do you wish that you never had a charge card to start with? Lets take a look at what excessive credit card debt does and how you can fix it.

Excess credit card debt can effect your finances if you are not careful.

-- Your ability to obtain credit cards in the future. And if you get a charge card you will be have an extremely high interest rate of 25% or more if you have a bad credit rating. It is wise to never get a charge card when you have bad credit because it can roll over into more problems.

-- Having a bad debt can affect your ability to refinance your home if hard times arise. There is nothing like being denied a refinance loan when you need it. Keeping your debts clean or erasing your debts if you have over $10k is imperative.

-- Your ability to get into a new car. This is very real as car dealerships will want you to have a goog credit rating to be approved at their finance companies.

Some employers have begun to do recent credit checks to see if their potential employees are reliable. This is the largest reason to either erase your credit card card debt or make a plan to pay down your debts, job security. Not all employers do this, but some of the high profile ones do.

If any of the above has happened to you, then take notice of the dark reality of having a bad credit report, however there is something that you can do to make your payments on time and negotiate with your creditors. Debt erasure for those over 10k in debt is an option.