LSU researchers find link between personality and credit scores

In an upcoming study to be published in the Journal of Applied Psychology, researchers from LSU, Texas Tech University and Northern Illinois University show a link between individuals’ credit rating and personality, and also show no connection between poor credit scores and theft. “With regards to personality and credit—it makes sense that conscientiousness is related to good credit, but what was really interesting was that agreeableness was negatively related to your credit score,” says Jeremy Bernerth, assistant professor in LSU’s E. J. Ourso College of Business Rucks Department of Management. “That suggests easygoing individuals actually have worse credit scores than disagreeable and rude individuals. This suggests that agreeable individuals might get themselves in trouble by co-signing loans for friends or family or taking out additional credit cards at the suggestion of store clerks.” However, contrary to what many employers consider common knowledge and practice, the researchers found no correlation between poor credit scores and bad behavior on the job. “It was telling that poor credit scores were not correlated to theft and other deviant types of work behaviors,” Bernerth says. “Most companies attempt to justify the use of credit scores because they think such employees will end up stealing, but our research suggests that might not be the case.” The use of credit scores as employment screening tools is a hotly debated topic. According to a 2010 poll by the Society for Human Resource Management, 60% of surveyed employers conducted credit checks for some or all candidates as part of the hiring process.