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4 reasons why you need one

Here’s a question that lands in my inbox or slides into my direct messages on Instagram every time I talk about the importance of building a strong credit history and score.

“But I thought I should try not to have a credit score at all?”

Best I can gather, this line of thinking comes from personal finance experts who refer to a credit score as a “debt score.”This attitude avoids all shades of gray when it comes to credit history. And it fails to acknowledge that you can build a healthy score without paying a penny in interest. 

Credit Score Poor written on a small chalkboard lying on a cluttered desk

You’ll need a loan someday

It would be just swell if we could all make it through life without ever borrowing a penny from lenders. Everyone could buy cars and finance college from their bank accounts and put down cash for a home. But that’s not feasible for millions of Americans. At some point, most people need to take out a loan. (And sometimes it’s because the interest rate is so low it makes more sense to have the money in the market than buy the house or car in cash!) 

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