Your credit profile and credit history indicate that how well decisions you have made in dealing with your financial obligations. This credit history is used to analyze your future financial behaviors. If you have a derogatory credit history of not making payments or not paying in due time. Then, in such a case it is obvious that you will find it difficult to get good financial deals. Firstly, it will be hard for you to qualify for loans with low interest rates. Secondly, you won't be able to qualify for a premium credit card and enjoy the rewards that come along with it. Thirdly, you may have to deposit a good sum of the amount for a house loan, rental, and car.