4 Stars (Modaser, Frank, Janiya)

How can people manage credit and debt responsibly?

Managing debt and credit

Managing debt and credit can be challenging for everyone at any age group. It is very important to learn how to manage your money, especially credit and debt.

High School Students

  1. When getting a job, having a bank account to put your saved up money in would be a good idea. You should also know that some jobs require you to be a certain age. Having a credit card in high school is a good idea if you know you can manage yourself and the money you borrow.
  2. When they apply for loans fo college, they should make sure that they can pay it on time in order to avoid extra charges. This way you can calculate the amount you want to borrow.
  3. A good way to start building credit is to pay everything on time and avoid late payments. You should also be careful not to apply for too many credit cards.

College Students and/or Young Full Time Workers

  1. Having a checking account is very important for college students and young fill time workers because it greatly helps them control their money while not letting them use money that is not theirs. It is also very easy to pay bills with a checking account. They can have credit cards but they should be very careful not to spend more than they can afford to pay back.
  2. When getting car and education loans they should always check and make sure they can afford the payments and not to go over their budget. They should also have a good credit score in order to get a low rate and grace period.
  3. A good way to start saving is opening a savings account. Additionally they can invest in stocks and mutual funds. They should keep in mind that investing in stock is very risky and they can lose all their money if they don't know what they are doing.
  4. Building your credit takes time and you they should be very consistent and always on time in paying bills. Not paying on time can damage their credit score greatly and it can take a long time to bring it back up.

22-50 Year Old Adults

  1. People from this group should understand how to manage their expenses since they have a lot of payments like living expenses, car loan, education loan, and other stuff. They should keep everything manageable in order to have a good credit score and not end up in debt.
  2. They should be very careful about loans because if they build up one on another it is going to become like a big tall mountain that you can not tip over and end up in debt. In order to avoid that, make sure you get as many loans as you can manage.
  3. When managing a lot of money and expenses, using credit can be both positive and negative. If they pay everything on time and don't go over the limit it is going to be very beneficial for them and raise their credit score, but if they don't pay on time or go over the limit, they can end up in debt.
  4. In order to protect your credit score, you need to pay everything on time and make sure not to go over the limit. Having a good credit and long credit history can also help greatly. Finally, don't apply for credit more than you need to.


Managing your money and the money you borrow is a very important skill, which is required for people in every age group should be able to do so in order to be successful in their financial life.