Credit news letter

basics of credit

1What is credit? credit is when the reciever borrows money from a company and has to pay them back.


2What are the forms of Credit credit? card, student loans, personal loans car loans


  • card
  • student loans
  • personal loans
  • car loans



3 What costs and benifets are accosiatd with credit?

COST


  • interest
  • allows you to build up more debt than you owe
  • costs much more than some other forms of credit, such as a line of credit or a personal loan, when interest charges are incurred.


BENIFITS

  • lets you borrow money instantly to make purchases
  • allows you to carry less cash
  • lets you get cash advances
  • lists purchases in one monthly statement
  • helps you establish a credit history and earn a good credit score


What determines if someone gets credit and how much they get?

what determines if someone gets credit is how they paid back their other loans prior to this and how they payed back any kind of money that they borrowed from a bank or a private company. So its determined on credit history, meaning they will give you more if you are reliable.

Credit Cards

What is a credit card ? A credit card allows you to borrow money from your bank to make your purchases. As long as you pay it in at least within the 25- 30 days you made the purchase.


Where can you use credit cards? Any store or place that accepts money.


What are the benifits and costs of using credit cards ?

Benifits


  • able to pay for anything at any time
  • raises your credit score as long as you pay back the money at a certain time.
  • lets you afford things that you do not have money for at the moment.


Costs

  • Don't pay by that limit you owe more money to the bank
  • If you go over the limit fees you owe more money to the bank than you did and that results in penalty fees
  • finance costs of how much you have to pay back.


shopping for credit

Venture card

  • anual fee is 0 the first year 59 the next
  • APR 12.24% - 22.24%
  • Grace period 25 days


Chase sapphire

  • anual fee is 0
  • APR 14.24% - 23.24
  • grace period 23 days

https://www.chase.com/

https://www.capitalone.com/credit-cards/venture/

Dont fall into credit card trap

tips are


  • know your credit score at all times
  • set up budget
  • pay bills on time
  • dont borrow money you do not have
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