Using credit cards responsibly helps build a good credit record.
A credit score is a number that strongly indicates to lenders and creditors how likely you are to pay back the debt you owe. It is based on your past borrowing behavior, and the higher the score, the more likely that you will pay back the money you borrow.
Using credit is easy. You buy a jacket or pay for dinner by simply handing over a credit card and signing a receipt. You don't have to pay the bill for several weeks, and you may be able to spread your payment over months — or even years.
But you want to be sure the way you're using credit is better for you than it is for the credit provider.
Emma B. Lommasson Center
The University of Montana
Missoula, MT 59812