3 Financial Questions that the Baby Boomer Generation Should Ask Themselves

The generation otherwise known as baby boomers has seen it all – and before all of us have. Credit cards with rewards, penalty fees among other financial developments that have taken place over the last century.

And now with retirement on the cards, there are no doubt several of them questioning how these changes will affect them henceforth.

So here are three credit questions that baby boomers might ask:

#1: Do I have too much credit?

Most baby boomers usually don’t require all the credit that they have built up over the years and which might be still available to them. A common question amongst boomers is whether their credit score will improve if they canceled credit that they do not use.

However, since most scoring models are only concerned with debt rather than how much credit one has, it’s probably better to leave the credit line alone.

#2: Will being close to retirement hurt my credit scores?

This is another common question amongst boomers and the answer to this is that your credit score actually improves, thanks to most scoring models taking the age of your accounts into consideration. Even though you might experience a drop in income, that won’t necessarily affect your credit score.

#3: Should I really care about my credit score if I don’t need to borrow any money?

To be honest, credit scores are used for much more than just issuing credit and so it would be a good idea to continue to monitor your credit score. For example, if you want to work for a few more years, you can be sure that an employer will check your scores and the same goes for even auto or home insurance so as to determine rates and discounts.