Starting a new job is overwhelming enough. You’re learning systems, meeting new people, trying to prove yourself, and adapting to an unfamiliar routine. When payday finally arrives, the priorities are usually immediate: rent, groceries, transport, a few long-overdue essentials, maybe even a small celebration for surviving the month.
Your credit score is rarely part of that first-payday excitement. Yet, according to Gavyn Letley, Product Head at specialist loans provider DirectAxis, what you do with your very first salary can have long-term consequences for your financial future.
Your Financial Track Record Starts Early
“Usually, your financial track record begins when you start earning a regular income,” Letley explains. “This will open doors to financial products, including credit cards, retail accounts and loans.”
From that point on, how you manage these products — and how consistently you meet other obligations such as rent or a cellphone contract — begins to shape your credit score.
That score becomes one of the most important financial indicators about you. It determines whether lenders are willing to extend credit, what interest rates you qualify for, and even, in some cases, whether potential employers are comfortable doing business with you.
“It determines whether people or companies are prepared to do business with you,” says Letley. “Even prospective future employers can request to see your credit report.”
Why Budgeting Is the First Power Move
One of the most effective ways to take control of your finances early is surprisingly simple: set a budget.
By mapping out your income and expenses, a budget helps you understand where your money is going, identify unnecessary spending, and create space for savings. More importantly, it supports consistent repayment habits — a critical factor in building a healthy credit score.
When you manage your money well, the benefits extend far beyond approval for loans or car finance. A strong credit score can also unlock better interest rates, because lenders view you as a lower-risk borrower.
Your Right to Know Your Credit Score
Many people don’t realise that by law, they are entitled to one free credit report every year from any registered credit bureau. Even fewer know where to apply for it — and those who do often find the report difficult to understand.
To address this gap, several platforms now offer free, easy-to-use tools that allow you to check your credit rating as often as you like. These tools don’t just show your score; they also explain what’s influencing it and offer guidance on how to improve it.
“Having an understanding of what affects your credit score gives you more control over your financial future,” Letley says.
Clearing Up the ‘Blacklisting’ Myth
One of the most persistent misconceptions around credit is the idea of being “blacklisted”.
“People don’t get ‘blacklisted’,” Letley explains. “Instead, low credit scores prevent them from qualifying for certain products and services.”
Importantly, checking your credit score through a third-party platform does not negatively affect your rating. In fact, monitoring your profile regularly can help you spot sudden changes — whether they stem from a reporting error or something more serious, like identity theft.
Fraudulent activity, where accounts or loans are opened using your name and ID number, can severely damage your financial standing if left unchecked. Identifying these issues early gives you the chance to act quickly and protect your financial reputation.
Think Before You Spend That First Pay Cheque
That first salary represents freedom, independence and the start of your adult financial life. Enjoy it — but don’t ignore what it means for your future.
“Before you binge on your first pay cheque, take a moment to find out a bit about your credit score and how establishing a sound financial track record may benefit you in future,” Letley advises.
Because long before you apply for your first car loan or home bond, your financial reputation is already being written — one payday at a time.
