Did you know? Maintaining a good credit score is important even after you retire! While you may have taken the necessary steps to maintain your credit score during your employment years, it is important that you don’t let it drop after you retire. Read on to know why your credit score matters even after you retire.

• Applying for a new credit card: If you want to be approved for credit cards that have great rewards programs, it is important to have a good credit score. Credit card providers check your credit score and if they find that you have a low score, your application is likely to be rejected. A good credit score indicates that you have a history of making credit card payments on time and keeping your balance to a minimum. 
• Refinancing your mortgage: If you were unable to clear your mortgage during your employment years, you may have to continue making payments even after you retire. Given that your current income is likely to be less than what you earned when you were employed, it is smart to consider refinancing. However, to be eligible to qualify for a new loan at a lower interest rate, you should have a good credit score.
• Purchasing a new car: If you are looking to purchase a new car during your retirement, you can either pay the price in full to the automobile dealer or take out an auto loan from a lender. And, unless you have a good credit score, you can’t expect to be qualified for an auto loan at an affordable rate of interest. 
• Getting good auto insurance rates: Regardless of how you paid for your car, you will need an auto insurance cover. Insurance providers use a credit-based insurance score, which is based on your credit score, to decide your premium rate. If you have a good credit score, you can expect to pay a lot less as premiums. On the other hand, if your credit score is less than favorable, you may have to pay significantly more for your insurance cover for as long as you own a car. 
• Getting approval from rental agencies: Many retirees opt to move into retirement communities once they are through with their employment years. If you are looking at new housing options, you’ll want to keep your credit score in mind since most rental agencies check your credit report to assess whether you have the ability to pay the rent and other bills on time. Those with low credit scores may be turned away or asked to pay a hefty security deposit.

Luckily, the steps you took to maintain your credit score during your employment years are the same ones you’ll need to take post-retirement. It’s also smart to review your credit report once a year to know if you are on the right path or whether you need to reevaluate your financial habits.