Credit Cards

Jose Manjarrez

The Basics of Credit

● What is credit?

● What are the forms of credit?

● What costs are associated with credit?

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

Your credit record is the most important factor lenders consider when you apply to borrow money - for a car or house - or open a credit card account. Many lenders offer better terms and lower interest rates to consumers with good credit ratings. Personal Loans, Secured Loans, Unsecured Loans, Installment Loans, and Credit Cards. All forms of credit have interest which gets charged for borrowing money. For one to get a credit card one has to have a good credit score. Credit score basically shows the creditworthiness of a person which means how much you can trust them making their payments on time. One can request a credit report from the credit bureau to see if one can get a loan or a credit card.

Credit Cards: What You Need to Know

● What is a credit card?

● Where can you use credit cards?

● What are the benefits and costs of using credit cards?

A credit card allows you to borrow money from your bank to make your purchases like buying a computer or a trip. As long as you pay back the money borrowed of 25-30 days, you don’t have to pay anything extra. If you don’t pay it back in that time period, you’ll have to pay interest – a % of the money you owe the bank – on top of what you borrowed.

Smart Consumers: Don’t Fall Into the Credit Card Trap

Starting off with a store credit card is a good way to start building your credit score. Another way to help to grow ones credit is to get a credit card under your parents because if they have a good credit it will boost yours. Don't use credit cards unless you have no choice. Make sure not to spend more money than one has. Try paying the most you can on the balance owed.