Ghouls, goblins and neighborhood clowns might frighten everyone in your household. However, there's something even scarier that haunts you every day: creditworthiness. Your credit is a gateway toward investments and fun purchases, from college loans to dream cars. Don't be caught off guard. Learn about these scary things that ruin your buying power. 1. Not Having Any at All

Young adults are often frightened out of their minds when they're turned down for a loan or other financial product. They may not have any creditworthiness at this point. In fact, no history at all can reflect poorly on a person. Ideally, try a secured card from a reputable bank to build up creditworthiness. You'll eventually qualify for a standard account. Requiring creditworthiness when you don't have it at all is the paradox of the industry.

2. Opening and Closing Too Many Accounts Lending institutions frown upon opening too many accounts and closing them too quickly. They're like a clown who cannot decide if it's evil or innocent. The trick is to open a few accounts that you'll use on a regular basis. Keep them open even if they're not being used right now. You might use them later on. The industry likes accounts that are available but not being used. It shows you have control even during the scarier parts of life. Even with poor or mediocre credit, this site could help you get approved for a card.

3. Being a Cosigner Be absolutely horrified if someone asks you to cosign a loan. This seemingly simple act puts you in debt with one signature. The bill might be solely for another person, but if he or she defaults, the debt is squarely on your shoulders. Ideally, don't cosign any loans. The ghost of credit repair from the future might be visiting your home tonight as a result. Only sign for debt that you intend on paying yourself.

4. Holding Onto One Type of Debt Lenders like to see different types of debt. Credit-card balances, mortgages, student loans and other bills might be frightening to pay off every month, but they show that you can handle debt like an adult. Each payment is on time and fulfills the minimum amount. Holding onto credit-card accounts from multiple stores doesn't count as diversified debt. It's seen as one type. Spread your spending around to see a difference in your industry score.

5. Neglecting Your Report Every year, consumers are allowed a free look at their credit-industry report. Don't be frightened at what you might see! Your spending reality should be clear on the report. Fix any issues through credit repair if there are mistakes. An accurate report scares away any demons that might decline your creditworthiness. After several years of verifying the report's accuracy, most people have no further problems. Identity theft can be carefully discovered and thwarted when a yearly check is the habit. No one can scare you when you're on top of your credit history. Be proactive about protecting yourself and spending wisely. Creepy creatures in the form of credit dilemmas will be easy to handle in the future.