Steps to Ensure Your Bad Credit does Not Cost You a Job

20 Apr, 2017 / By

Do you have something in your financial past that you’d rather not have your boss see, such as bankruptcy, proclivity or bad credit from spending money that you don’t have? Unfortunately, that means that going after a promotion or seeking a new job can turn into a tricky task, especially as more and more employers seek to find out about their employees financial past. Many companies look at their job applicants’ credit score as part of their background check. Some may even look at credit reports when considering their employees for a promotion, which means you can’t just assume that you’re safe just because you already have a job. Luckily, there are some things you can do in order to prevent your bad credit from costing you a job.

Look At Your Credit Report

You shouldn’t be the last one to know what’s on your credit report. Instead, utilize a tool like in order to receive a free look at your credit score. Keep in mind that you can obtain one free credit report from each major credit bureau once a year. Check each one meticulously to ensure there are no errors. If you do find errors such as inaccurate or incorrect information then it’s imperative that you let the credit bureaus know right away and ask that they delete or correct it.

Attach an Explanation

If your credit report contains negative marks, however they were caused by circumstances out of your control such as an illness, layoff, death, or at the fault of your ex-spouse to make a payment for a joint account then you can contact the credit bureaus and ask that they allow you to attach an explanation as to why you received the negative mark. Although it’s not easy to get rid of black marks on your credit score, it can help your potential employers see your bad credit score in a better light. This is especially the case if there is only one negative mark on your credit report.

Give Your Consent

Once you’ve made sure that everything is in order as far as developing a compelling explanation of your bad credit score and making sure there are no errors then it is up to you to give consent to companies in order for them to see your credit report. Although they are not permitted to see your exact credit score, giving your written permission will allow them to see everything else. This includes outstanding debt-related court judgments, delinquencies, high credit utilization rates, and bankruptcies. While you may be fearful about losing out on a job opportunity because of your credit report, unless you reside in one of the states that do not allow employees to see credit histories, you will have a better chance of losing a job if you refuse to allow companies to take a look at your credit report. By refusing them access you are pretty much admitting that there is a huge problem with your credit score. It’s much better to be prepared and consent than to out right refuse.

Take The Initiative

If you have some problems on your credit report then it’s recommended that you don’t just wait for your interviewer to ask you about them. Instead, be confident and take the initiative. Raise the issues before they even see them and explain the actions that you’ve taken in recent months or years in order to recover from your credit issues. Try to redirect the interview back to why you’d be a great candidate for the position. Keep in mind that you have a really good chance of being able to explain your negative credit information. Due to this, make sure that you prepare an explanation before going into your interview so that you can sound informed and confident on the issue.

Jennifer Hamilton

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