Your Credit Score Is Linked to Your Chances of Divorce
Most people’s eyes glaze over at the word “credit rating.” Of course it’s boring. This is confusing. But ignoring this can make your financial life difficult . And that, too, can affect your social life.
We often overlook the social impact of credit, but it exists nonetheless. For example, a Bankrate poll found that 42 percent of people said that knowing someone’s credit history will affect whether they go on a date with that person or not. One respondent said:
Poor credit history can indicate deeper irresponsibility issues. They can be unstable in other areas of their lives.
Obviously there is a lot of judgment here.
Another 2015 study by researchers at the Federal Reserve Board, Brookings Institution, and UCLA found a link between bad credit and divorce. Moneyish reported :
The higher your credit score, the less likely you are to break up with your partner, and vice versa. Indeed, for every 105 points a person’s credit rating increases, the likelihood of divorce decreases by 32%. “Couples with the lowest starting GPA are two or three times more likely to get divorced than couples with the highest GPA, and the likelihood of separation decreases significantly as the score increases,” the study says.
Obviously there is a huge correlation / causation argument to be made here. A low credit rating on its own probably wo n’t lead to a deterioration in relations, but according to the study, it is a good indicator that there will be a bumpy road ahead. This is likely because bad credit and financial stress usually go hand in hand.
Poor credit can make it difficult to get a job, rent an apartment, or buy a car. Your bills may be higher due to your bad credit history . Money is already a major predictor of divorce, so these shortcomings certainly don’t help the situation. Either way, you want to have an idea of what your result looks like in the first place, and the good news is that it is easier than ever to get a free copy of your credit rating . For example, if you’re a Mint.com user, you can sign up to receive a free credit update every few months, and you’ll see it right here in your review. Discover cardholders also receive updated ratings in their monthly reports.
Otherwise, WalletHub and CreditKarma are reputable services that can help you track your points.
However, it’s not just your account. You also want to receive (free!) A copy of your credit history every year (and you can do this at Annualcreditreport.com ). Review it for any negative points and areas for improvement. We told you how to decipher it .
If your credit is low, the best way to improve it is to pay your debts in full and on time every month. However, aside from the obvious, we’ve written a few tutorials that might help: