Why is your credit history so important?

Your credit history follows you for 7 years.  A late payment on one credit card can cause the interest rate on all of your cards to go up.  If you are going to be late on a payment, call the creditor and let them know and ask that they not report the delinquency to the credit bureaus.  Never run from your creditors.  It will only make the situation worse.

Your credit history affects more than the interest rate on a credit card or a loan.  Prospective employers are pulling credit reports to see who will make the best employee.  Apartment complexes are pulling credit reports to see who will make good renters and insurance companies are pulling credit reports to see who will make good insureds.  So you can see how important it is to keep your credit history as clean as possible.