Looking for that dream job? What about moving up to a higher position in the company? When we work on our career what we do in our jobs is just as important as what we do outside of the job. When applying for a job an employer will do a variety of different checks to ensure that you are the right fit for the position. One of these checks is a credit check for employment. The big question is, why do some companies do this.
A sign of past behaviors
When we look at our credit it is an indication as to how we have conducted ourselves in the past. Since we are looking for a job it also is a good indicator as to how you will act towards money. An example of this is having a high credit usage amount. Now, we all know about Christmas and the holidays we will be using our credit more often than not to pay for the holiday, however, keeping a high balance all year round can be a sign of not being able to manage your money or finances wisely.
Another sign to employers is that if you are in debt you will be in financial hardships while you work for them. If this is the case, you might not be focusing on your job and in fact be looking for ways to get extra money by doing tasks with company equipment to make extra money or stealing from the company directly.
Financial misunderstandings and poor math skills all around
When you are working for a company the odds of you working with money is high. If you work in a business where you need to make change, handle bills and will be the gateway between the customer and the store profits, your ability to understand and manage money is a high priority. If you have issues on your credit then the employer needs to look at the worse case scenario and assume that you can’t manage your own money, how will you do with theirs.
These are just a few reasons why employers will do a credit check. My best piece of advice is that if you want a good job, have your finances in place to begin with.