Credit Newsletter

Stephanie Deutscher

Basic of credit!!

  • Credit: Ability to borrow money for someone that you trust.
  • Form of Credit: 2 types of forms Credit/ Loans. Personal Loans you have School, House, Car.
  • Cost for Credit: NO FEE must pay interest.
  • Get Credit / How much: Demonstrate your creditworthiness. The 3 C's Capital, Capacity, and Character. Capital - value of what you own. Capacity - To make sure you repay your loan. Character - Sense of financial ability.
  • How to get the Credit Card: Loan application or Credit Bureau.
  • Collects the info and then sells it.
  • Lender- is the 3 C's - you have to have good values of what you own, making sure you can repay your loan, and sense of financial responsibly.
  • Credit Score - score between 300 and 850. The Higher you get is the better and more money you will get. on time payments, low debt, Long history, Limited number of credit cards = good score.
  • Credit Report - Credit information and credit score. Its provided by the credit bureaus, Requested by lenders, Apply for credit, once a year for FREE.

What you need to know about your FUTURE credit card!!

  • Credit card: Card issued by a bank, Business, or Department store. Allowing the holder to purchase goods or services. Interest - 0% to 9% of interest must pay by the due date if not = No interest.
  • Where can you use credit cards: Online, In-store, etc..
  • Benefits: Can build up your credit.
  • Cost of using Credit cards: Annual Fee - you must pay annual money amount of 15$ to 100$ dollars.
  • Credit Limit - Max amount you can spend is how ever much you get approved for. Over limit- Penalty fee or declined. Going over the limit.
  • Approx - 30$ for each charge made beyond the limit.
  • Penalty fee - Additional fee to last month. over credit limit. returned limit from last time. Also can caused in an increase in interest rate.

Don't fall into credit card trap

Some tips you should know when using credit cards:

  • Must pay by due date
  • Don't get any fees so that you have to pay next month
  • Have to fill out loan applications
  • Need good credit
  • Must build it up
  • You could use loans for School, House, and to get a Car
  • Can apply once a year.