Clean bill of credit health can secure job - Kelly

Five minutes is all it takes to know your credit status and it is a good idea to get the full picture, because your credit rating says a lot about who you are. Not only do financial institutions conduct a thorough check on all individuals applying for a loan, but so too do certain employers. This means that if your credit health is not as it should be, you could be jeopardising your chances of securing future loans, and the job you need to meet your repayment responsibilities.

Manage repayment obligations

It goes without saying that this is not a comfortable place to be, which is why the management of your credit rating is so important. A good place to start is to conduct a credit health check with a South African credit bureau, for example TransUnion, Experian, or XDS to get a holistic idea of where you stand. Simply go online and register and you will be provided with your credit record. A nominal fee may be charged, but this is surely worth it when your reputation is at stake.

If you have a good credit rating, it's important to protect this status by managing your repayment obligations carefully. If a problem arises it is advisable to make contact with the relevant institution as soon as possible so that a solution can be established immediately. "It's important to note that if a payment is late or missed, this is reported to the credit bureau tarnishing your financial reputation and impacting negatively on future loan and job applications," adds Bentley.

"If you are already mired in debt, all is not lost and you can work your way out of the debt trap. If you have a judgement against your name, it's important to contact a litigation attorney, but bear in mind the judgement can only be rescinded once the creditor has been settled. If this has been achieved, a special request can be made to creditors to remove the default from your rating," he says.