Most of us have been there and done that, while others are new to the game that we call life. At some point in our lives every single one of us has gone through that stage, you know the one to which I am referring.  The glorious stage of life where we think we know everything, I know I did, and it took me a long time to recover from it. I am a generous person by nature and when my friends or relatives needed money I did my best to help them, a lot of times I never got paid back and the balances on my credit cards soared. I am sure that I am not the first person to have this happen and even more positive that I will not be the last, but in my case I was lucky enough to secure a 5000 dollar loan and was able to consolidate my debt, the interest rate on the 5000 dollar signature loan I was able to get was much lower than the interest rates on my credit cards.

I will admit that I was more fortunate than other people that I know of, I had a good job, a good head on my shoulders a and even though my sense of generosity had gotten the best of me, I was determined that I was going to come out on top. In my head I had to say I need 5000 dollars now, it was either get the loan or start picking which of my bills would be paid on time and which ones would have to wait. I took the time to educate myself on the best way to get out of debt. I learned about  my credit score, what it meant as far as securing a loan, and the interest rate that I would be charged.  I was able to secure a loan for $5000.00, I used it to consolidate my debt and get out from underneath the high interest rates I was paying on my credit cards. I took this step because my with all of my bills combined I was left with very little money in my checking account, and I could see that I was heading in a really bad direction.

Knowing how your credit score can impact your life is more important than most people think; when creditors see that you are making your payments on time, whether it is for your car note, credit cards, or a payment arrangement for a medical bill, they are more secure in loaning you money. Now your credit score is also used when seeking employment, and in factoring the cost of your auto insurance. The impact a good or bad credit score can have on your life is more important than you may realize, and personally I think finding out the hard way is not the way to go. If you find yourself in a position where you have to say I need 5000 dollars now, take the time to educate yourself on what will be asked of you and why, what your credit score is and how to make it higher, and last but not least stay away from whatever got you in that position from the start.