Most people know the most obvious reason to maintain a clean credit report. Lenders heavily weigh your credit rating when considering whether or not to extend credit and at what rate and terms. The lower your credit score, the more likely in their eyes you are to default on a loan and the more they will have to charge in interest rates as a sort of "insurance" policy to make sure that as a lending institution, they continue to make money even when a few people don't pay off their debts.

Because having negative information on your credit reports is the quickest way to damage your credit score, maintaining a clean credit report or working to clean a tarnished report is one of the best things you can do to increase your credit score and become a more qualified candidate for low interest loans.

But that is only one benefit of having a clean credit report. Even if you have no intention of purchasing a new home, buying a car, or refinancing an existing loan, making sure your credit reports are as good as they can be still provides other rewards.

Employers like a High Credit Score

Credit reports aren't just used for credit anymore. Many employers today will want to take a look at your credit score as a part of the application process. Before making a commitment on you, employers want to do their due diligence and for some, part of that investigation involves seeing how responsible you have been with your finances. Late payments, collections accounts, and court records on your credit reports could be an indication that you may not be trustworthy.

As a result, having a good credit score may be another qualification you need to get that new job.

Credit Card Providers May Keep Tabs On Your Credit

Even if you already have a low interest credit card, you should be careful to keep your credit reports clean because that rate isn't necessarily set in stone. Many credit card contracts feature what is known as a "universal default" clause in which credit card companies reserve the right to bump up your interest rates if you are late on any payments, not just your credit card.

Come in thirty days late on your car payment and your credit card interest rates could double or triple as a result.

Your Auto Insurance Rates Probably Take Your Credit into Account

Most auto insurance providers these days will want to see your credit rating before they will be willing to issue you a policy. The rationale is simple. Statistically, people with bad credit scores file more claims that people with a high credit score. As a result, auto insurance companies can elect to deny consumers with low credit score or insist they pay higher premiums.

If you have a good credit score, however, this works I your favor because, as a lower risk client, car insurance companies can get by with charging your lower premiums.