Being Smart With Your Money
by: Paige Horvath
The Basics of Credit
Although using credit also has its costs. While using credit you can get finance costs, card fees and also you can go into debt. You have to be responsible in order to keep yourself out of these bad things.
How reliable someone is to pay back their credit.
The percentage that is added on to your payments.
Your past usage of credit; the history you have using credit.
What you need to Know
Benefits and Costs of using credit cards
Benefit: you can borrow money from the bank until you have the money to pay for it.
Cost: If you don't pay the money back you can get fees.
Annual Fees: The fee the credit card company charges you yearly.
Credit Limit: The amount of money you can spend per month.
Interest Rate: The rate which they charge you extra.
Penalty fees: Fees you get charged for not paying in time or at all.
Over the limit: Spending more money than your credit limit gives you.