Know About YOUR Credit !

-Theresa S. Rosas

The basics of credit

  • What is credit , you may ask ? Credit is making big purchases available . It's not free money .
  • What determines if someone gets credit ? The four C's :
CHARACTER - find out if you're trustworthy , reassured you'll pay the debt .

CAPACITY - able to pay the debt you owe .

CREDITWORTHINESS - paying your bills on time

COLLATERAL - take things you bought if unable to pay back the money you owe

  • Credit is the ability to obtain goods or services before payment , based on the trust that payment will be made in the future
  • Credit Score is the number based on your credit report
  • Credit Bureau is a company that collects the credit ratings of individuals and makes them available to credit card companies,financial institutions , etc.
  • Credit Report shows the amount of debt you owe . One free credit report a year .
  • Credit Worthiness is trustworthiness with money as based on a person's credit history; a general qualification for borrowing .
  • Lender is an organization or person that lends money
  • Credit Card is a plastic card issued by a bank, business,etc. ,for the purchase of goods or services on credit.
  • Personal loans are loans that establish consumer credit that is granted for personal use; usually unsecured and based on the borrower's integrity and ability to pay

What YOU Need To Know

Credit cards can be used anywhere to purchase goods and services .

The benefits of using credit cards ? Most people over a certain age have a credit card or two in their wallet . Some people learn the hard way that access to credit cards can bring financial difficulty. When used responsibly, some credit cards have rewards that compensate for their drawbacks. A wide variety of reward options are available, and research is necessary to find a card with appropriate benefits for your spending habits .

  • The yearly fee charged by credit grantors for the privilege of using a credit card is known as the annual fees .
  • Over-the-limit fees are fees that are assessed if your balance goes over your credit limit at any time during the billing cycle .
  • Banks give you a certain amount of money amount that you're allowed to borrow, that is known as your credit limit .


  • Make sure to sign your credit card
  • NEVER share accounting info
  • Use secure browser
  • NEVER share your password
  • Best way to protect your credit is be smart , check your credit report a year , pay more than a minimum balance , don't max out , keep track on things that you buy , and most importantly , pay on time .