5 Things You Can’t Do With Bad Credit

Things You Can't Do With Bad Credit

Having bad credit affects many aspects of your life whether you realize it or not. For many, there are alternative options and they live their lives without credit cards and buying houses. So many business people and financial advisors stress just how important having good credit is. Sometimes bad credit happens from job losses and tragic events, but there are ways to fix it. The items below are just a few things you can’t do with bad credit.



1) Obtain a mortgage loan

Mortgage loan lenders expect those applying to have perfect credit. A single infraction or recent late payment entry can prevent you from getting a mortgage loan. This simply means that you’ll have to continue renting until you can fix your credit enough to obtain a mortgage. Some lenders do accept a couple of minor items on your credit report such as an unpaid magazine subscription as an example. There are places you can still get small loans for people that have bad credit.


2) Buy a car

While there are dealerships and programs for those with bad credit, you often need a large down payment, pay ridiculous interest rates and have to have a co-signer. This stacks the odds of getting a car even further against you. Dealerships selling new cars are likely to turn you down quickly, even those that advertise guaranteed approvals. Try not to look for a new car if your credit is in bad standing as it is hours of wasted time and another ding on your credit report. Your score lowers every time there is an inquiry into your history.


3) Get credit at a jeweler

Jewelers will not extend a line of credit to you if you have bad credit. The lowest credit score that most jewelers look at is 700. This means that a couple of infractions are okay as long as they are not recent. You’ll have to have cash in hand if you wish to propose marriage or buy an anniversary gift from a jeweler in this case.


4) Obtain a credit card

It is rather impossible to obtain a credit card when you have bad credit. While there are secured credit card options available, you only have the amount you deposit onto them to use. These are secured credit cards and they do still have annual fees and interest attached to them. This amount comes off of the balance and reduces the amount you have available to spend.



5) Get a job

Many employers now look at credit histories when interviewing applicants for a job. Financial responsibility to them is also seen as general responsibility and good character. While many consumers find this as wrong because your financial status does not reflect who you are as an employee, but employers disagree.

I know we said we show you 5 things you can’t do with bad credit, but we like to give you a little extra here at moneystepper…


6) Receive Dental Care

If you do not have insurance or good credit for major procedures or dental work, you may be refused service. Expensive procedures such as oral surgery, getting dentures or even getting a partial costs over $1,000 and you have to have an approved credit application if you do not already have a credit card before the dental office will even schedule the appointment.

Not having good credit restricts millions of people globally. What creditors do not understand is that financial hardship happens and the bills are not ignored just to ignore them. Consumers have the mentality that the bill is just going to go away, but this is not the case. Credit accounts are bought and sold daily, which just reactivates dead accounts and leaves the item on your credit report.

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5 thoughts on “5 Things You Can’t Do With Bad Credit

  1. Love this! Credit scores can be found all over, and it doesn’t have to be an impossible task to improve it. We are always working to improve our credit score because now it’s more like a contest to see who has the better one between me and my husband haha!

  2. In our neck of the woods, the electric company runs a credit check, so if you have bad credit they can refuse to turn on service unless you prepay for the service, instead of the traditional pay-after-usage model. Just goes to show that the reach of bad credit extends far and wide!

  3. I’ve never cared about my credit score…..until I’ve needed it. 🙂 I still take the perspective that I don’t do anything specific to alter my score…I just make my payments on time and it takes care of itself.

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