Effect of Marriage on Your Credit

Marriage does not have to affect the credit score us and. In case you are getting married and wondering how your marriage is going to affect your responses credit score then stopped to consider the following few things.

What Happens to Your Credit When You Get Married

Nothing is going to happen to your credit rating when you exchanged wedding vows. All consumers in the United States of America have an individual credit report which does not get much. Your spouse’s credit history will not appear on your credit report or will yours appear on theirs because you two got married. So any negative information that is present on your spouse’s credit report will not be combined with yours because of marriage. If your wife chooses to change her name of the marriage the new name will be reflected in her credit report in addition to the original maiden name. Only the name will get updated and no information on your credit file will be changed. A credit file usual is several identifiers such as the social security number in order to be associated with the right person. This is why a simple change in the name or address does not change the information on the credit file and it will continue to contain the same history as before marriage and under her maiden name. Your credit scores also will not drop could increase simply the basis of who you married and there bad or good credit history. Their credit scores will be calculated on the basis of information present in their own individual credit report.

When does your spouse’s Credit Affect Yours

The effect of a spouse’s credit history can be felt when you apply for an account jointly. This happens in every scenario of two people applying for a joint account. The credit history of both the people is checked and the lender makes a decision based on the information present on both reports. If your spouse has bad credit history then it is a possibility that you may be denied the credit or a higher rate of interest may be charged. The newly opened the account will be reported on the credit file of both the people and any discrepancy that arises on the account will be reported on the credit report of both the people. As any other joint account with being any two people both spouses are equally responsible for the joint credit account.

When Spouse Has Bad Credit

As mentioned before better spouse has bad credit then it will not affect you to the time that you need to apply for credit jointly. Certain major loans such as a mortgage loan require a couple to apply for the loan as joint account holders. If your spouse is a bad credit history then this may stand in the way of getting the loan or getting the best interest rate on the loan. When a spouse has bad credit history you may want to consider how to handle credit-based applications. Will the spouse with the better credit make all the applications to get better rates are very jointly apply and accept higher rates to improve the other spouse’s credit score.