Credit Newsletter

Ivan Nevarez


What is Credit

  • The Ability to borrow money for a promise of a return of a future payment. This Can affect your credit score. The Credit Bureau account everything from missed payments for late payments. They make a Credit report on everything you do.

Forms of credit

  • Loans
  • Credit Cards
  • Installment Loans

Cost Associated with Credit

  • Cost Associated with credit is Interest. You must pay interest.

What Determines if how much credit someone gets.

  • Depends on your creditworthiness.
  • Lenders judge Character, Capacity, and Capital.

Important Vocab Words

Capacity- the amount something can hold for example credit card

Character- The quality of an individual

Capital- The excess of a company's assets over its liabilities

What is a credit Card

  • A a loan you take from a bank by swiping a card
  • But there is a credit limit, which is the amount the bank lets you borrow.

Where can you use credit cards

  • You can use credit cards anywhere
  • Stores
  • Restaurants

What are the benefits and costs of using a credit card

  • Some benefits are that while using a credit card you don't need any cash.
  • Costs are Annual fees, interest, over-the-limit fees, there are many costs of having a credit card

Safe ways to use credit cards

  • Do not use credit for everything.
  • Use credit only for emergency
  • Do not fall for credit card traps and sign up for so many credit cards