When they say “it ain’t over ’til it’s over” they must not have been talking about credit scores. Keeping your credit score strong is just as important after you buy a home as it was before you closed escrow, so don’t go on autopilot or revert back to old habits.
The Importance of Keeping Your Credit Score Strong
According to RealtyTimes’ Jaymi Naciri, while you may have met the goal of homeownership, keeping your scores up can benefit you in several ways. For one, you can get more credit cards, including those cards offered by stores with 0 percent financing for things like furniture, appliances and outdoor fixtures with no interest for several months. But watch out. Once your happy no-interest period expires, your rate can skyrocket if you don’t pay the entire balance. Still, if you just want to buy a little time until a few more paychecks or commission checks roll in, it’s not a bad way to go, using their money instead of your own for a short time.
Cards that offer miles, cash back, or some other perk aren’t offered to just anyone, but if your credit is good, they may be knocking down your door. “If you keep your credit score high enough to snag one, you’ll love being able to rack up miles to use for travel or apply a cash back bonus to everyday expenses to keep costs down,” says Naciri.
And here is something you may have forgotten: many employers run your credit as part of the hiring process. Let your credit drop, and it could keep you from getting a new job.
On top of all this, you never know what’s going to happen to interest rates. Good credit means that when rates drop you can jump in a heartbeat if you want to refinance, sell or buy another home.