Two out of three college students have student loans and the average debt is $17,600. The College Board reports that the typical debt of graduates from four-year private schools is $19,400. College grads often owe significant credit card debts as well.

As you begin to pay off your student loans and other debt, don’t forget how important your credit rating is:

• A prospective employer may look at your credit history before extending a job offer.
• A landlord will conduct a credit check before renting you an apartment.
• You may be turned down for a car loan or mortgage or you’ll pay a higher interest rate.
• Your application for insurance may be denied or you’ll pay higher premiums, because insurers believe you’re more likely to file a claim and may not pay your bills on time.

Having a bad credit rating exacerbates your money problems. You will be charged a higher interest rate on money you borrow or you may not qualify for a loan.

Your FICO Score >>