Credit Newsletter

Kevin Ziobro

Section 1: The Basics of Credit

What is Credit?

Credit is the ability of a customer to obtain goods or services before payment, based on the trust that payment will be made in the future

What of the different forms of credit?

There a few different forms of credit, there are credit cards, personal credit loans for college, a car, home appliances, almost anything you can think of you can get credit on it.

What costs are associated with Credit?

The costs that are involved with credit, are interest, fees, and annual percentage rate (APR)

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

When you got and apply for a loan, the loaner looks at your credit score and report; depending on how that goes,

Section 2: Vocabulary Watch

3 Vocab Terms

Credit Bureau - A company that collects the credit ratings of individuals and makes them available to credit card companies, financial institutions

APR - Annual percentage rate, typically of interest on loans or credit.

Creditworthiness - trustworthiness with money as based on a person's credit history; a general qualification for borrowing

Section 3: Credit Cards, What You Need to Know

What is a credit card?

A plastic card issued by a bank, business, etc., for the purchase of goods or services on credit.

Where can you use Credit Cards?

Anywhere; where ever they are accepted... stores, gas stations, etc.

What are the benefits and costs of a Credit Card?

Building a credit line, emergencies, etc
And the costs of a credit card are that you need to pay interest; meaning that you will end up pay more that the object you bought really was worth

Section 4: Smart Consumers, Don't fall into the Credit Card Trap

Here are some tips to stay safe while using a credit card

- Don't share your pin code with anyone
- Avoid using Debit cards online
- Don't buy online WiFi
-Don't store your card information online
-Check you bank account often