Yvette Kearl
Mr. Klassen
Economics
15 September 2016
Credit Score Credit Score is based on how much you can be trusted financially to pay a loan after the time that you use it. It allows you to buy something that you need right now but do not have the money for. There are pros and cons of having a credit card, but as long as you are wise and keep your word on paying for a loan, you can use it to your advantage. You can use a credit card to build your credit score, therefore allowing you to have the ability to ask for more loans when you are in need of any. It can help you pay for less obvious things like, a cell phone plan, buying your first used car, or asking for a student loan when you start of in college. One way to increase your credit score would be to start off young. When you start young you have the ability to start with an okay credit score. And as you get older and keep up with your payments, it will increase your score. Credit score is built on 15% length of history. As long as you start with a great history, make it a long one so that when you are older and really …show more content…
A great way to do this is to set up an automatic savings account. You will not have to worry about how much goes into your savings account, but it will be there when you need it. This is important because when you ask for a loan but can not pay it in full, the credit card company can charge you in interest. That defeats the purpose of having a credit card. But when you pay interest and can not pay for a loan, you will end up spending even more than you planned to in the first place. Having a savings account can guarantee that you will be able to pay for a loan. Then you will not be charged extra, and you do not have to worry about spending any money that you do not have. It will also help you when you have an emergency as well, like an unexpected doctor visit, or any unexpected
Mr. Klassen
Economics
15 September 2016
Credit Score Credit Score is based on how much you can be trusted financially to pay a loan after the time that you use it. It allows you to buy something that you need right now but do not have the money for. There are pros and cons of having a credit card, but as long as you are wise and keep your word on paying for a loan, you can use it to your advantage. You can use a credit card to build your credit score, therefore allowing you to have the ability to ask for more loans when you are in need of any. It can help you pay for less obvious things like, a cell phone plan, buying your first used car, or asking for a student loan when you start of in college. One way to increase your credit score would be to start off young. When you start young you have the ability to start with an okay credit score. And as you get older and keep up with your payments, it will increase your score. Credit score is built on 15% length of history. As long as you start with a great history, make it a long one so that when you are older and really …show more content…
A great way to do this is to set up an automatic savings account. You will not have to worry about how much goes into your savings account, but it will be there when you need it. This is important because when you ask for a loan but can not pay it in full, the credit card company can charge you in interest. That defeats the purpose of having a credit card. But when you pay interest and can not pay for a loan, you will end up spending even more than you planned to in the first place. Having a savings account can guarantee that you will be able to pay for a loan. Then you will not be charged extra, and you do not have to worry about spending any money that you do not have. It will also help you when you have an emergency as well, like an unexpected doctor visit, or any unexpected