Survey: Half of America Doesn’t Check Their Credit Score at All

Credit scores aren’t just a tool to determine loan and mortgage eligibility. Monthly point differences could define whether you’re offered better interest rates or stay in the shadows of less than ideal credit-based products. And checking your credit score periodically could improve not only your chances at landing a great mortgage rate or personal loan, but improve your long term financial health. Yet, 51% of Americans never check their credit score, according to a new survey conducted by The Simple Dollar.

Survey results

• We surveyed 879 American adults and found that over half say they never check their credit score.
• 39.7% of respondents say they periodically check their credit score (once a month or so)
• Credit checkers are rare in America, with only 8.6% of respondents saying they check their score more than once per month.

How often do you check your credit score?

The benefits of knowing your credit score

There are several benefits of knowing your credit score, mainly if you use credit frequently in your financial life (personal loans, credit cards, etc).

Saves you time on loan shopping

If you search for “personal loans,” you’ll find a deluge of financial products and websites promoting themselves. It’s tough to know what you’re actually qualified for without knowing the nature of your current credit score. Are those advertised rates only for very qualified buyers? Are you one of those?

Helps you prevent frauds

A credit report is often the first place fraud victims notice unusual activity being conducted in their name. With data breaches on the rise, the average American has had their data stolen at least four times in the past year. This means keeping an eye on the accounts opened in your name is more important than ever.

Creates a course for the future

If you have a low credit score or no credit history, checking your credit score periodically is a great way to stay on course for the future. You can set goals for yourself and watch as specific actions you take affect the score. When the time comes to get that business loan or student loan, you’ll know where you’re at now and where you need to be to qualify.

Allows you to qualify for emergency or personal loans

Sometimes we don’t know what the future will hold for our financial lives. You may not think you’ll need a personal loan in an emergency, but if you do, you’ll want to make sure your credit is in good shape. There could be fraud or inaccuracies on your record that prevent you from obtaining that loan in an emergency. Knowing your credit score can help make sure you have access to those types of loans at any time. That being said, even if you have poor credit, you could still obtain a loan. 

Possible reasons for not checking your credit score

We spoke to several office mates, friends and family members about how they check their credit score. Anecdotally, the 51% non-checkers number held up within our circles. When asked why they don’t check their credit scores, here were some of the answers:

• “I don’t use credit cards or plan on taking on loans anytime soon.”
• “I already know I have horrible credit.”
• “Didn’t know it was that important”
• “My spouse does that stuff.”

Survey methodology

We surveyed 879 Americans over the age of 24 (conducted Aug. 26-31, 2020). Respondent’s age, location and gender data was also collected at the time, but we found no statistically significant differences worth noting in our report. The survey was conducted in conjunction with Google Surveys. 

We welcome your feedback on this article. Contact us at inquiries@thesimpledollar.com with comments or questions.

Image credit: Pavel Bezkorovainyi / Getty Images