James 5:16
"Therefore confess your sins to each other and pray for each other so that you may be healed. The prayer of a righteous man is powerful and effective."
The point of confessing our sins is not salvation, it is peace and wholeness of spirit for the follower of Christ.
Part of the original question asked did not get addressed. He asked if there is a record kept of our sins and what eternal significance that may have.
The bible says that "as far as the east is from the west, so far has he removed our transgressions from us." (Psalm 103:12) However, that may well be poetic language simply stating that God no longer holds us accountable for those sins.
Revelation 20:12 states, "And I saw the dead, great and small, standing before the throne, and books were opened. Another book was opened, which is the book of life. The dead were judged according to what they had done as recorded in the books." Which would imply that there is indeed a record and we will be judged according to that record. However, verse 15 states "If anyone's name was not found written in the book of life, he was thrown into the lake of fire."
Romans 8:1 says "there is now no condemnation for those who are in Christ Jesus."
While it is obvious there is a record of our wrongs, there is also a record of our forgiveness in Christ. Much of the language used in the bible regarding salvation is financial, implying not that our "debt" was erased, but that it was "paid in full."
Many other theologians much more educated and studied than I have argued over what effect our sins have. Perhaps they have a bearing on our "reward" in heaven or perhaps our position? I'm not certain of that, so I will not guess.
I cannot recall the exact verse in Revelation, but I have heard it taught that there will be a judgment for believers where the fruits of our lives will be tested. The more we lived for Christ the more "reward" we have. Like putting money in a retirement account. If you invest you'll have something, if you don't... you don't.
Again, I do not have scripture to back that up; it is just a thought.
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