As students across the UK prepare to embark on their further education, whether entering college or university, recent research has highlighted the profound impact that poor credit can have on their lives.
It is essential for students and their families to grasp the financial environment and take necessary measures to manage their credit scores effectively.
Many students in the UK graduate with considerable debt due to tuition fees and living costs, with the Student Loans Company recently reporting that the average debt for graduates in England stands at £44,940. This substantial debt can negatively influence their credit scores, making it more difficult to access affordable credit options in the future.
Lewis Camilleri, Founder and CEO of Boshhh, commented: “The financial pressures facing students today are immense, and poor credit can exacerbate these difficulties. It’s essential for students to be aware of their financial situation and take proactive steps to improve their credit ratings. By understanding and addressing these issues early, students can pave the way for a more secure financial future.”
Students with poor credit scores often struggle to obtain low-interest loans or credit cards and may be forced to resort to high-interest payday loans, further straining their finances.
Poor credit can also be a major obstacle in securing rental accommodation, as many landlords and letting agencies conduct credit checks and may refuse applicants with low scores, limiting students’ housing choices. Furthermore, some employers, particularly within the financial sector, carry out credit checks as part of the hiring process, which could limit job opportunities for students, especially in roles requiring financial responsibility. The stress of managing poor credit can add significant pressure to students’ lives, affecting their mental health and academic success.
Despite these challenges, students should be aware that there are ways to enhance their credit scores and improve their financial opportunities. Consistently paying bills on time, regularly monitoring credit reports, using credit responsibly by maintaining low balances, and avoiding unnecessary debt can all contribute to a healthier credit profile.
Lewis further stated: “By taking proactive steps now, students can mitigate the impact of poor credit and ensure better financial stability.”
Boshhh specialises in creating brighter financial futures, offering the world’s fastest credit builder and the only credit-building phone network. Customers gain access to a comprehensive 1800-point credit file, allowing them to monitor and manage their credit scores effectively, while also receiving tips and advice for improving credit ratings.
To learn more about Boshhh, visit Boshhh https://boshhh.com/
