Can Credit Card Debt effect my Job?
If you’re struggling with credit card debt, then you know that these bills can effect a lot more than just your wallet. People with high levels of credit card debt know that this can affect their personal relationships and even how well they sleep at night. Few people, however, realize that credit card can affect their employment status.
Until recently, employers rarely bothered to look at the personal finances of their employees. Most companies reasoned that what employees did in their free time was their own business. There have been several recent studies that have shown a link between the financial health of people and their performance at work. More concerning, there is a great deal of evidence that people who owe too much debt are more likely to steal from their employer.
Because of this, many employers have decided to make it their business to determine which of their employees is at greatest risk of stealing from the company, making poor decisions, or just not produce as well as their peers. In order to figure this out, many companies have started pulling credit reports on new hires, people who are up for promotion, and in some cases just employees who have been on the job for years.
If you have debts that you cannot pay, odds are good that your credit score has suffered. Unfortunately, that means that you might be at a disadvantage when it comes to getting and keeping a job. In jobs where employees are expected to deal with money, a poor credit score is seen as a sign that a person is a lot more likely to steal. In government jobs, or other fields that require personnel to keep trade secrets, low credit scores are seen as a sign that a potential employee will be more likely to sell those secrets to another government or company.
Of course, high credit card debt is usually just a symptom of being out of work for a long period of time, or of going through a rough patch such as a divorce or illness. Nonetheless, it’s critically important to get in control of your debt if you’re applying for a job, or if you’re being considered for any type of promotion at work.