If you're planning to move to the U.S., there's one crucial thing you need to understand: credit is everything. Your credit score plays a major role in your financial life here, and maintaining good credit is essential.
When I first arrived, I had no credit history at all. That made it nearly impossible to get approved for a loan, banks simply had no record of how I managed my finances. Thankfully, my employer stepped in and acted as our guarantor, which made all the difference.
If you don’t have that kind of support, your best option is to ask a relative or trusted friend to co-sign your loan. Their credit score becomes the bank’s reference point. But be careful, if you miss a payment, the bank will hold your co-signer accountable, and their credit score could take a hit. So it’s not just your reputation on the line.
Just today, I found out my credit score dropped by one point. The reason? I paid off a long-term loan. I was shocked! I expected my score to go up, not down. Still, I’ve built a strong credit history over time by staying mindful and paying my bills on time.
Here’s the irony: banks actually want you to have loans. If you don’t use credit, like a credit card, car loan, or mortgage, they may view you as a higher risk and offer you lower scores and higher interest rates.
So if you're thinking about migrating to America, be prepared to build and protect your credit. It’s not just a financial tool, it’s a key that unlocks access to housing, transportation, and more.
This is life in America. Credit isn’t just important, it’s foundational.
No comments:
Post a Comment