Your Credit Score Just Got a Secret New Enemy: Government Debt Could Ruin Your Next Loan
If you think your credit score is only affected by your own mortgage or credit card bills, think again. A shocking new policy loop allows the government’s ballooning $34 trillion debt to indirectly ding your personal credit report, making mortgages, auto loans, and even new credit cards more expensive for you. Consumer watchdogs warn that banks, fearing federal defaults, have already begun tightening lending requirements and raising interest rates on the average American. The hidden trick? More government debt means higher borrowing costs for you, even if you never miss a payment. Your next car loan could cost hundreds more per year because of this red tape, and experts say the hit to your wallet is just beginning.