Credit Newsletter

By:Alexander Trujillo

The Basics Of Credit

  • Credit is a concept in which you are loaned money in return for a promise to pay it back later.
  • Loans and Credit Cards are two main forms of credit.
  • A few things associated with credit are buying a home,car, or student loans from college.
  • A few things determine if someone gets credit and how much you get.
  1. Capital-Value of what you own.
  2. Capacity-Financial ability to pay back loans.
  3. Character- Sense of financial responsibility.
  • The higher your credit score the better.
  • The credit Bureau has a credit report on everyone and based on your creditworthiness they determine your interest rate.
  • The lender usually the bank will need to know if your loan is a personal one or for a business.


  1. Character: Sense of financial responsibility, have a steady job.
  2. Capacity:Financial ability to pay back, you must be bringing in enough money.
  3. Capital:Things that you own, in case you cant pay back they can take that.

Things to know

1.What is a Credit Card?
  • A credit card is a card that allows you to use money from the bank to pay certain things but at the end of the month you must pay it back or pay the minimum fee.
2. Where can you use credit cards?

  • You can use credit cards virtualy anywhere. stores,gas pumps, online.
3.What are the benefits and costs of using a credit card?

  • Benefits are that you get to use money that inst yours and you build up a good credit score the bad thing is that if you don't pay back on time you make a bad credit for yourself.

Don't fall into the credit card trap

A few tips to stay safe while using a credit card.

  • dont over spend
  • dont get fired
  • dont think its free money
  • dont go on a shopping spree
  • dont let others use your card
  • dont buy unnecessary things

Big image