Do you remember how you felt about the S.A.Ts in high school? Some people wore their score like a badge of honor, while others guarded their scores like it was a deep family secret (like your brother having 13 toes). I was quite proud of my score, and fully understood the power of it. I knew that it would get me into the college of my choice, and I knew that it would allow me to needle my friends (unfortunately my friends ended up needling me). The best thing you could possibly do was to work hard so that you could earn a high score. You could study and take practice tests. I thought all of that junk was behind us until I realized the "new S.A.T. score" that we have to deal with. Our credit scores.

Justified or otherwise, your credit score is the lifeblood of your financial life. If you have poor credit, then you suffer for quite a long time (until you raise your credit score again). People with good credit are quite proud of it. I have had investment planning appointments with people, and the first thing they bring up is their great credit (despite the fact that their credit has nothing to do with their investments). People with less than good credit are usually embarrassed by their situation, much like the kid with the low S.A.T. scores. The similarities continue. The formula for calculating an S.A.T. score and a credit score are as secret as they are confusing. I am closer to finding Colonel Sanders blend of herbs and spices, than I am figuring out how Equifax calculates a credit score.

The moral of the story: don't do bad on your S.A.T.s or your credit score. Both circumstances will create a difficult path in life.