Keys To Borrowing
By Weston Edmondson
Ex. Principal is $5000. Rate of 3%. Over a period of 180 days.
$5,073.97-Multiply 5000*.03 then multiply 180/365
-Highly recommended to use debit while buying different products!
-Use cash and not a credit card as much as possible!
-Make sure to use a spending log on the things you need!
-Put at least 10% of each paycheck in your savings account for emergencies only!
The 5 C's of Credit
Capacity- Can I pay back?
Capital-Something you owe
Conditions-Other existing debts
Collateral- Property or possessions mortgaged
Borrowing Pros and Cons
Borrowing unfortunately has more disadvantages. Not being able to pay on time, credit score goes down, more debt.
Its better to stay away from credit cards and borrowing, especially if you aren't able to pay it back.