The Importance Of Building Credit
By: Jaqueline Bahena
The Basics Of Credit
credit is when you borrow money from the bank, store etc. Credit is a financial necessity without it, you probably wont be able to afford large items like a car, furniture or anything else you can't buy out of your pocket. But credit an be used in many ways too like for example, getting car insurance, renting an apartment and even keeping a job. Credit comes in different forms example, loans let you borrow money that must be paid with interest.
Credit Cards: what you need to know
A credit card let's you borrow money from the bank to make your purchases, as long as you pay back the money you borrowed within the grace period of 25 to 30 days. You can make large purchases and then pay it off in smaller amounts. with a credit card you can build up your credit score or make it worst. The advantages of credit cards there's protection for your purchases, emergencies, and credit card benefits. Disadvantages of having a credit card is having debt, blowing up your budget and credit card fraud. The simple rules of using a credit card is keep track of all your purchases, don't spend outside your budget. Pay off your balance on all your credit cards at the end of each month, don't loan your credit or give out your credit card information.
Shopping For Credit
There are two credit cards i would recommend they are discover it for students or chase freedom. discover it gives $20 dollars back each year your GPA is 3.0. chase you
earn a $150 Bonus after you spend $500 on purchases in your first 3 months from account opening.