There is not a link between your job prospects and your credit rating…..is what you are supposed to think. But, the fact is that it makes a massive difference to your job prospects. If you have a bad credit rating, then it has a massive reflection on your employability in some sectors. And, will definitely have an effect on what sort of jobs you are able to get.
Your credit rating says a lot about you
It tells an employer if you are responsible or reckless. It takes a certain kind of reckless mentality to get into debt and get a bad credit rating. Ironically, this is why credit companies are so willing to give credit cards to young people, because they are still reckless and wild.
If you have a good credit rating then it is further evidence of your prudent attitude and of how responsible you are. Having a good credit rating is a thing that is hard to get, and if you are sensible enough to maintain one, then you are sensible for a position of responsibility.
Even if you have a good work history, a very bad credit rating is going to haunt you. Employers are going to run searches on your credit rating to try to find out a little bit more about you. They do not want someone who is unorganized and reckless, working within a position of power or responsibility.
A lot of debt makes you a risk
There are two reasons for this, the first is the “how” you got into debt, and the second is the “how” are you going to get out of it? Let’s deal with the first “how” first.
How did you get into debt?
And, how did that debt affect your current credit rating? There are lots of reasons why a person may get into debt, and all of them make you a less appealing person for a position of responsibility within a company. You may be a reckless spender, which means you have a reckless attitude. You may have a gambling or addictive problem, which will make you a poor employment prospect. You may have been fooled by a scam artist, which makes you either foolish, naïve or unlucky, which are three qualities that make you less employable.
How are you going to get out of debt?
The second how is the main reason why you are not going to get certain jobs. For example, there are many management jobs that will not employ you if you are in a certain amount of debt, or if you have a bad credit rating. This is because you are a theft risk, as it is more likely that you may steal from the company in order to get out of your personal debt.
There is also a bribery risk. If you have a bad credit rating, or you are in a certain amount of debt, you simply cannot work in some jobs. For example, if you are transporting prisoners in armored cars then you cannot be in debt or they will not hire you; as, many prison guards are bribed at this point and they are outside of a prison setting (i.e. vulnerable). The guards have to be able to trust that the other guards have not set up escape plans, and that nothing is going to be passed to the prisoner by the guards.
Most financial institutions will also deem you unemployable if you have a poor credit rating. Even if you are working in an area of a financial organization where there is no access to money, you are considered a higher risk than employees of good financial standing and, it is also important from the viewpoint of customers and investors that the people involved in managing their money/investment have good credit standing.
Sometimes you cost more to insure if you have a bad credit rating
This happens within jobs where you need to be insured, whilst also having a sizable investment made upon you. For example, if you are the person who is the last one to close the safe of an investment company at night (a vague example, but apt), you will need to undergo training on how to do your job, how to handle crisis situations, and how to cover your back for if money goes missing. This training and trust involves a sizable investment, which also includes you yourself being insured by the company, not for physical harm, but for the harm you may do the company if you went rogue. If you have a bad credit rating, then you will be harder to insure and so a company may not wish to give you the position of responsibility.
Author Bio: Amy Cowen is a professional proofreader and editor at A-writer. When she faced the problem of hiring a team of experienced writers she gained a lot of knowledge. Today Amy is happy to share a few ideas with you.