Task: You will study two sections from the Bank of America Credit site. Then you will write two paragraphs (5 sentences or more for each) explaining what you learned.
Directions:
1. On the Bank of America site, click on How Credit Cards Work and Managing Credit Cards. Study the site thoroughly. Watch the videos and read the articles.
2. Then, post two paragraphs on this blog about How Credit Cards Work and Managing Credit Cards.
3. In addition, list a relevant website that relates to this topic.
4. Finally, make thoughtful reactions to two (2) students posts (you will need to wait for others to post before you do this).
Grading:
20 points - 2 paragraphs answering what you listened to and what you learned (5 sentences ore more)
5 points - listing a relevant website (i.e. - you can list your podcast here)
15 points - reacting to two fellow students work (make a thoughtful reaction to what students said.
= 40 points
BLOGGING EXPECTATIONS
Due Date: Sunday at 11:59pm...
Goal: Understand How to Use Credit Cards and How to Manage Credit Cards.
This comment has been removed by a blog administrator.
ReplyDeleteAfter reading your information, I like how it is informative and how credit cards can be very beneficial and rewarding.
DeleteDana,
DeleteI enjoyed reading your response, I like how you explained what is a credit score. You did a good Job!
I like how you gave information about all the perks of having a credit card and the statistics of the average American use of credit cards-quali mcpherson
DeleteThank you for your response as it was very informative on how credit cards work in regard to credit scores. I agree that a credit score is very important. - Mishael
DeleteThis response helped me format my answer and I am grateful to have found it, good structure and organization of the information given.
DeleteI liked the way you gave information about the benefits of credit cards and how they will better your score and your whole finical credit.
Deletehttps://www.thebalance.com/how-credit-cards-affect-your-credit-score-4040514
ReplyDeleteOn “How Credit Cards Work”, it talks about understanding credit card rates, cash advance, credit card interest, and paying minimum payment. A credit card cash advance is when you make a withdrawal of cash from your credit card account. Though it sounds like a beneficial process, it actually involves a much higher annual percentage rate and higher transaction fee. It is best to use cash advance when you find yourself in an emergency. Moving into Credit Card Rates, there are many different types of rates which include: Standard, Variable, Penalty, Cash advance, and Promotional rates. You may not know when your rate may go up or down but it is always best to look or update it quarterly or monthly. If you aren’t able to pay in time, you are then charged with a penalty rate, but these don’t last forever. Paying the minimum payment on your credit card may be good but in reality, you are just pushing yourself even farther back in putting yourself into more debt. It is always best to pay more or just a little above the minimum to keep yourself from paying more in the future.
ReplyDeleteIn “Managing Credit Cards”, It talks about a wide variety of things, like debunking myths, credit tips, credit card safety, credit limit, debt-to-income ratio, and dealing with credit card fraud or identity theft. Some tips from credit card interest, are knowing your interest rates, looking for log promotional period cards, evaluate the balance transfer fee, and maintain a solid credit score. When disputing for a credit card charge, determine if it's an error or fraud. Regularly check your card for any mistakes. Keep your paperwork and contact your credit card company in order for the mistakes to be fixed. As most credit card companies expect you to abuse your spending habits, always make sure that you know your credit limit and are not spending over.
Website: https://www.nerdwallet.com/article/credit-cards/credit-cards-101
-Alberto Lorenzo
DeleteI like how you formatted it and how its understanding. I learned something I didn't know by reading your paragraphs.
DeleteDana,
DeleteI like how you explained your answer and how you separate the two paragraphs. You did a nice Job!
I love how greatly you conveyed your information and explained the subcategories, something I feel as though I could have done better in my response.
Delete^ this is my reply Mr.Del sorry I tried putting my name but it kept it as anonymous
DeleteI like how you explain your information in a very nice way and the website is very informational.
DeleteI like how specific you were explaining your information
DeleteYou gave really good information-Janye
DeleteThis comment has been removed by the author.
ReplyDeleteCredits have great value and rewards if used correctly, you can use your credit cards for so many things. There’s a lot of benefits such as building your credit, and rewards but none of those things are going to be of any use if you’re not paying your balance in full every month. The negative part of having a credit card is paying the high-interest rate if you’re collecting up debt from month to month. There are different types of credit cards that offer different rewards so it’s important to know what rewards you would like to reap the benefits of assuming your paying in full every month and steadily improving your credit.
ReplyDeleteManaging your credit card or cards can be a hard task especially for people that don’t know all the knowledge that comes with having a credit card you must know how to manage it correctly. A very important and simple pointer is to keep limit your spending and knowing how to spend it. It’s recommended that you try to spend 30% less than your credit limit, for example, if your limit is 500 don’t put more than 150 on the card. The most important thing about having and managing your credit card is making sure you chose one that aligns with your spending habits and rewards you would like to have.
I enjoyed how you talked about the risks and downfalls of owning a credit card and how to be a responsible credit card holder.
DeleteI liked how put different information in these paragraphs and how you told us about managing your credit card. You did a good job.
DeleteI agree with the information you posted, especially the fact to not use all of the credit limit you have available. That way you show lenders that you know how to borrow within a reasonable limit. - Mishael
DeleteNice setup when explaining the positives and negatives of a credit card. I also liked how you pointed out how managing a credit card can be difficult if a person doesn't have knowledge about them. Prevalent with a lot of people I know.
Delete^^^^^^^^^- Flimon
DeleteI like how you were able to explain how credit cards have good benefits and the way you put your information was very organized and well put together.
DeleteHow credit card works:
ReplyDeleteA credit card cash advance is a withdrawal of cash from your credit card account. Essentially, you’re borrowing against your credit card to put cash in your pocket. However, there are costs to taking a credit card cash advance and, in some cases, limits on the amount you can withdraw. Here’s what you need to know. The process may seem similar to withdrawing money with a debit card, what you’re really doing is taking a cash advance on your credit card. Unlike a debit card withdrawal, where you’re accessing your own funds, with a cash advance, your credit card company is essentially lending you money and charging your account. The charge will likely cost you, cash advances generally have a transaction fee and a higher annual percentage rate (APR). Standard or contract rates are your regular credit card rates. They’re part of the contract you agree to when you accept a credit card, and they’re listed on your monthly statement. These rates are tied to an index, such as a U.S. Prime Rate, and can go up or down if the index changes, depending on how often your credit card issuer updates the rates. To calculate your interest charge (numbers are approximate).
Divide your APR by the number of days in the year. 0.1599 / 365 = a 0.00044 daily periodic rate.
Multiply the daily periodic rate by your average daily balance.
Multiply this number by the number of days (30) in your billing cycle.
Paying only the minimum amount due on your credit card bill could impact your credit scores and cause you to pay a lot in interest. On the other hand, paying more than the minimum helps you save money, pay off your credit card balances faster and possibly improve your credit scores.
Managing credit cards:
A balance transfer is the most valuable choice if you need months to pay off high-interest debt and have good enough credit to qualify for a card with a 0% introductory APR on balance transfers. Such a card could save you plenty of interest, giving you an edge when paying off your balances. Disputing a credit card charge. Consumers can dispute fraudulent charges on their bill by calling their issuer. This is typically a quick process where the issuer will cancel the credit card in question and reissue a new one. You also have the right to dispute a credit card charge for a purchase you willingly made. Your debt-to-income ratio is a way that a lender can evaluate your financial habits as it shows how much debt you maintain compared to your income. As a borrower, it's important to understand what your debt-to-income ratio means, how to calculate it and how to improve it. Your credit limit is the absolute maximum amount that your credit card issuer will let you borrow while using your card. Each time you buy something, your purchase amount is added to your credit card balance. To know how much you have left to spend, simply subtract your balance from your credit limit.
The four very important steps to follow for anyone who has been a victim of identity theft.
Prevent further damage.
File an identity theft report.
Contact the police if necessary.
Dispute fraudulent/suspicious accounts with the credit bureaus.
I liked how you gave lots of information on each topic and broke down each of the topics to give us better info about the topic
DeleteI liked how you gave the most important steps to follow if you are a victim of identity thef - Na'Jir
DeleteYou go into detail with every section, which shows you have a clear understanding
Deletei like how much valid information you gave
DeleteDana
ReplyDeleteDana, https://bettermoneyhabits.bankofamerica.com/en/credit
ReplyDeleteThe page "How Credit Cards Work", talks about understanding different aspects of credit cards such as how interest is calculated, the cost of paying the minimum payment, what an advance is, and the rates different cards have. A credit card cash advance is a withdrawal of cash from your credit card, essentially borrowing against your credit card in exchange for cash. There is a cost that comes with this that usually entails a transaction fee and a higher APR. You will likely have a limit of how much you can advance. Credit card interest is calculated using the average daily balance. It multiplies the changing balances you have with the amount of days you had that balance, and divides it by the total amount of days in that billing cycle. Then you take that number and multiple it with the fraction of that months billing cycle over 365 and multiply it to your APR percentage to find your interest amount. Paying a few extra dollars on your minimum payment can save you years worth of accumulated interest. Credit cards also offer different types of rates that are dependent on how you use it. These rates are standard rates, variable rates, penalty rates, cash advance rate, and promotional rates.
ReplyDeleteThe page "Managing Credit Cards", talks about managing credit cards such as transfer tips, credit card safety, disputing charges, debt-to income ratio, understanding credit limits, and dealing with credit card fraud. Some ways to save on credit card interest is to look for a card with a long promotional period, know your interest rates, factor in the "go-to" rate, evaluate the balance transfer fee, keep payments current on your old card, and maintain a solid credit score. Some ways to keep your credit card secure is to practice credit card protection from day one, keep your account number private, keep your information current, be careful with your receipts, secure devices and networks, protect yourself online, check your account often, and report lost cards and suspected fraud right away. Debt-to-income ratio is the ratio that compares your monthly debt expenses to your monthly gross income. Its calculated by adding all the payments you make toward your debt during an average month. Then divide your monthly debt payments by your monthly gross income to get your ratio. Banks and other lenders study how much debt customers can take on before those customers have financial difficulties and they use this knowledge to set lending amounts. The preferred DTI varies from lender to lender, but the preferred maximum is around 36 percent.
https://www.consolidatedcredit.org/how-to-use-a-credit-card/dos-and-donts/
I like how specific you were when explaining every topic and providing a lot of information - Na'Jir
DeleteI liked how you formatted your writting and added clear details throughout.
Deleteafter reading this I have learned so much about how credit cards work and how to manage them. In the articles they talked about the credit scores, and credit reports. The right credit card can benefit you in so many ways. If you use your credit card correctly by making payments on time and keeping your balance low, having a credit card helps you build a good credit score. Having a good credit score can help you qualify for things like qualifying for loans that you might need. Credit cards are also very handy in emergencies helping you cover an unexpected expense if you can’t afford to pay it.
ReplyDeleteManaging your credit card is something that is very important it helps you get the things you need that you may not be able to afford at the moment. if you don't have a decent credit score banks wont feel comfortable with giving you a loan trusting you will pay it back. If you manage your credit card well and have a good credit score you will be able to qualify for things such as significant vehicle repairs, home repairs, and replacing broken appliances are expenses that are generally required. If you know all the basics of how a credit card works and you manage it correctly you will have a higher chance at having a great credit score.
-Quali McPherson
Deletehttps://www.moneyunder30.com/how-to-use-a-credit-card-responsibly
DeleteThere is much information to learn about credit cards in regard to how they work. One facet of credit cards is a credit cash advance. A credit cash advance is a withdrawal of cash from your credit card account. You're essentially borrowing against your credit card to attain cash. You can receive this money digitally or your credit card company can send you an account linked check via mail as what's known as a convivence check. Once that check is cashed, it is registered as a cash advance and as a result subject to the cash advance APR. Therefore, cash advances should only be used in the case of an emergency.
ReplyDeleteAnother facet of how credit cards work are credit card rates. Your credit card account can offer a variety of rates that are to be applied depending on how you use the card. First, standard rates are regular card rates as the name implies. They are rates agreed to when completing a credit card application. Second, Variable rates are rates that are tied to an index such as a U.S Prime Rate and can vary depending on how the index changes. Third, the penalty rate is applied as a consequence of late payments. Fourth, Cash advance rates are applied to cash advance transactions when leveraging your own available credit to obtain cash on hand. Fifth, are promotional rates which are temporary rates to encourage users to sign up for or use their card.
Additional Source: https://www.nerdwallet.com/article/credit-cards/what-is-a-cash-advance
DeleteI liked how you explained in depth the different credit card rates. It always good to know all the possible rates a credit card company can change so you can understand your bills.
DeleteIn the article "How Credit Cards Work" I learned everything there is to having a credit card and the rules and basics to them. The key points are that you stay consistent with your card, and be safe with whomst you trust your information to! I get my credit card this year and I hope to follow all of these tips and have great credit. credit card is a secure and flexible way to pay and can be a good way to spread the cost of major purchases. But if you only make minimum payments or run up a bill you can’t pay back, credit cards can be costly. Think of credit cards as you splitting the cost of something expensive you can't buy up front just yet, with added cost/interest. Credit is managed to determine your liability as to whether or not you can be trusted to pay loaners back. Credit can be used for mortgages, car payments, installment loans, etc., as long as you pay your credit on time.
ReplyDeleteThere are many subcategories and topics to having credit in which the article reviewed. Your credit report is basically an overview of your overall financial history to which employers/lenders may review. Your report is a combination of four sections, personal information, credit history, public records, and credit inquiries. Your credit report and score aren’t the same, your report is a history of accounts and payments. So what happens if you miss a few payments and it is long too late for you? DOn't worry, to rebuild your credit it is important to make sure your credit report is correct, in that case report errors to credit bureaus. Cover your back payments as quickly as possible so they can be updated and not further negatively affect your account. Keep open old accounts, longer history creates a higher score.
https://www.creditcards.com/credit-card-news/how-credit-cards-work/
DeleteJairus Coleman I forgot to add the link
I like that you gave many key points, and you stated that your credit report isn't the same as your credit score
Delete-Janye
You gave clear evidence and details. It shows that you've learned more about credit cards.
Deletenice information agree with my peers gave good evidence on what we can learn.
DeleteThere are so many things to learn about credit cards and how they work. In the article “What is a cash advance?” It explains to you that a cash advance is a withdrawal of cash from your account. With a cash advance you are taking money from your credit card company and are charging your account basically. Cash Advances are mostly used in emergency situations. When you do apply for a cash advance there are some things that you do and will need to consider like the APR, Transaction Fee, and Interest- free period. There are always ways to avoid a cash advance like avoiding not needed purchases, making purchases on your credit card, monitor your balance when buying, and build or save up and create an emergency fund.
ReplyDeleteCredit Rates are a big thing too in understanding how credit cards work as well.
There are other things as well that I learned about credit cards. For example when dealing with a credit card dispute always contact the merchant right away and get it sorted out ASAP. Always make sure to keep your receipts and have everything in your bank account in order. If something seems wrong make sure to contact the bank immediately to have it check out. Also keep your old cards. When choosing a credit card make sure it fits within your financial life and will fit within your spending. In conclusion there will always be things to consider when using credit cards and there will be a lot of stuff that will need to be used.
Website:https://www.creditcards.com/credit-card-news/how-credit-cards-work/
I like how you go into depth about what YOU learned and not just summarizing the sections
DeleteI like how you put lots of information and went in depth with what you were talking about.
DeleteI like the way you out alot information that we can learn
DeleteLizbeth what did you learn?
DeleteAfter reading both of the articles I learned so much about credit cards and how they work. Something I didn't know previously was that getting new credit cards affects your credit score even if you don't use it. Applying for a new credit score make up about 10 percent of your credit score making it crucial you only open smart lines of credit. Having multiple credit cards does help show lenders a credit history and proof of making on time payments. But it always isn't a good thing. Having multiple unpaid credit cards will seriously hurt you credit score
ReplyDeleteAnother thing I learned was that having a high credit card limit is a good thing. If you manage your credit accounts wisely you can take advantage of a high limit and make your debt-to-credit ratio low. This is a good thing because 30 percent of your credit score is based off you debt-to-credit ratio and keeping your balances low will keep your ratio low. Thus helping to contribute to a good credit score.
https://www.lexingtonlaw.com/blog/credit-101/credit-facts.html
- Na'Jir Glenn
DeleteHow credit cards work: This article talks about the the different aspects of how credit card interest is calculated, what an advance is, the rates the different credit cards have, and also the cost of paying the minimum. Credit card interest is usually calculated by using the average daily balance, and it multiplies the changing balances that you have with the amount of days you had that balance, and it divides it by the total amount of days in that billing cycle. This was a really helpful article. Applying for a new credit score will make up about 10 percent of your credit score and it will make it crucial that you open smart lines of credit.
ReplyDeleteManaging credit cards: In this article they were giving you many ways on how to manage your credit cards. I think one important thing is that you have to be organized so that you know which card is which because some people use different cards for different payments. One thing you have to do is pay your bills on time. If you don't pay your bills on time then your credit score will be bad, and no banks will want to give you a loan. That is why it is important to pay your bills on time, so that your credit score won't be low. Managing credit cards is very important and in order for your credit score to be good you have to know how to manage them, and pay your bills on time.
https://www.thebalance.com/four-steps-to-make-the-most-of-your-credit-2386317
-Janye
2nd link: https://www.nerdwallet.com/article/credit-cards/credit-cards-101
Deleteone thing i learned from my read though is that when dealing with a credit card dispute always contact the merchant immediately and get it sorted out ASAP. Always make sure to keep your receipts and have everything in your bank account in order. If something seems off make sure to reach out to the bank immediately to have it looked at. Also keep your old cards. When choosing a credit card make sure it fits within your financial needs and will fit within your spending limit . to sum up everything that has been stated there will always be things to consider when using credit cards and there will be a lot of stuff that will need to be used. card management is important while also having a card because without keeping track of your card and spendings on it you can easily over spend and even run into a few mistakes on your trancastion history which could affect ya credit score which will make loans harder and etc
ReplyDelete-wil
DeleteNeed two paragraphs....
DeleteFrom the videos and articles on, "How Credit Cards Works" it gave me extensive amount of information on understanding credit rates, card interests and minimum payments. I learned in the "How is credit card interest calculated", that your interest is calculated from your APR and your average daily balance. To calculate your daily balance you add up how many days you had what money, multiply them than divide by the number of days in the month. Theq total of that then gets multiplied by 22.99 (APR) and the number of days in the month divied by 365. The total of that equation will be how much your interest should come out to. Also from the video "The true cost of paying only the minimum payment on your card" I leanred that paying just a little extra could save you tons. Instead of paying multiple payments over time, which could cost you more than what your even paying for, you can take the next step and pay a little bit more than owed.
ReplyDeleteFrom the articles listed under "Managing Credit Cards" they taught me the importance of checking my account frequently and making sure i'm up to date. A few tips I picked up on were to try to steer away from autofill of account numbers on websites and apps. Autofill could result in thief or fruad if it is gotten by the wrong person and it could lead to huge problems. A couple others were to draw a line on extra space of reciepts and keeping your information updated and current. Also I learned how important your (DTI) or Debt-to-income ratio is. DTI is important because it gives you an idea of how good you will be able to keep uo with monthly paymenyts. Keeping up with monthly payments are one of the most important things in credit because it will boost your credit up and open more opportunities for you. All in all watching the videos and reading the articles gave me a huge boost in my education on interest and credit cards.
https://www.discover.com/credit-cards/resources/how-does-my-credit-card-interest-work/
This comment has been removed by the author.
DeleteThis comment has been removed by the author.
DeleteI like how you included DTI ratios, casey
DeleteFrom the "How Credit Cards Work" section, I've learned about a cash advance. A cash advance is simply withdrawing money from your credit card. There could be some fees, but the website has taught me how to avoid those fees. The Khan Academy video taught me a lot of basic terms I've heard a lot but didn't really understand, and it taught me a whole new concept, so that was great. From the video I got a clear understanding of how interest is calculated. They take your average daily balance and multiply it by the balance. Some days you could have a different balance, so if you do you should include it. After this, they divide it by the total number of days of the billing cycle. I believe this was the most memorable thing I learned from that section.
ReplyDeleteFrom the next section, "Managing Credit Cards", I learned mainly about the truths and myths of owning a credit card. I found out that some things I've thought to be true for a long time are actually not true, like if you pay a little bit of money on your credit card, it's still a missed payment. This section also educated me on stuff I never knew before like a debt-to-income ratio, which is a ratio that compares all your debt to what you make a month. To calculate your DTI, you add up all your bills and payments for each month. If the DTI is 36% or higher, this is bad. The good news is that you can lower it. Some steps to take to lower your DTI :
- raise the amount of debt you pay each month (pay it off faster)
- avoid buying things you can't afford( or putting stuff on layaway, etc).
- recalculate the ratio each month
https://www.moneyunder30.com/credit-card-basics
Delete- Darsha
I like how you put examples at the bottom for the "Managing Credit Cards" section.
DeleteThe reply should be for another student blog...and there should've been 2 replies...
Deletelove the examples at the bottom
DeleteIn the "How Credit Cards Work" section, I learned about credit card cash advance. A credit card cash advance is when you borrow money from your credit card to put money in your pocket. When the credit card company lends you the money, they charge your account. I also learned about the different rates that can come with having a credit card. There are standard rates which are your regular credit card rates, there are variable rates that can go up or down depending on if the index changes, there are penalty rates that come from late payments, there are cash advance rates which happens when you use your credit card for a loan, and lastly, promotional rates which are temporary and encourage you to use your card. In one of the videos, I learned how to calculate credit card interest. To calculate your interest you to your average daily balance and multiply it by the balance. Some days you could have a different balance, so if you do you should include it. After that, they divide it by the total number of days of the billing cycle. In the second video, I learned about minimum payments on a credit card. I learned that paying just a little extra could save you tons. If you do multiple payments, it could make you pay more than what you are paying for.
ReplyDeleteThe section, "Managing Credit Cards," gives you multiple ways to manage your credit card. One important thing I learned from this section was how to dispute a credit card charge. When you see an error on your credit card it is best not to wait too long, it's better if you dispute it right away. To make a dispute you have to determine whether it’s an error or fraud, notify the merchant, keep your paperwork, contact the credit card company, and make sure you receive a reply. You have to make sure you check your statements regularly. Another thing I learned and thought was very important was about credit limits. It talked about why it mattered and what happened if you went over it. Your credit limit is the maximum line of credit extended to you by a lender. I learned that part of your credit score is determined by how much credit you use. I learned that it is best if you use 30 percent or less of your available credit. You can get overcharge fees, a decrease credit limit, or a closed account if you go over your credit limit.
Kay'jelynn
Deletehttps://www.incharge.org/understanding-debt/credit-card/how-to-manage-credit-card-debt/
DeleteThe blogs that i have went through today helped me have a better understanding on how a credit card is supposed to be properly used and the things that i should be doing to make sure i do not fall into dept. Credit Cards hold money that you wish to borrow from the banks that you will eventually have to pay back. If you do not pay the money for whatever reason you may fall into something call debt, that can hurt your credit score. If you haven't made any kind of effort to pay it back, in other word, after a certain time they are allowed to add interest to what you owe, which basically means that you will have to pay even more then what you borrowed.
ReplyDeleteNow onto how to manage a credit card, This talks about how you can keep your credit safe and what to do if you realize a mistake has been made on your card. There is some things you just have to know in order to help keep your card safe like your interest rates. This would go with out saying but keeping you information private, any thing that can be traced back to you by a strange you would want to keep safe.
Casey Cruz
DeleteIf I had to break down what debt is in a nutshell it’s money owed by one party to another. Debt can be a very complicated situation or a manageable one. Of course, there are all different types of debt and each situation usually requires a different approach. There are even different ways to find debt relief, But you have to be careful when searching for debt relief don’t go for something that sounds too good to be true. There two types of debt secured and unsecured, secured debt means the borrower (You, for example, can be the borrower) has an asset which can be many things in negotiations but in this case Money as collateral for the loan. Unsecured debt is not backed by an asset A very common example is credit card debt, typically in credit card debt situations if you fail to make payments you’ll most likely get your debt sold to a third-party debt collector and from there they go on to sue you for payment.
ReplyDeleteBeing involved in any type of debt can get out of hand if you’re not managing it correctly but that doesn’t mean it’s not impossible to manage routinely. When managing debt you have to prioritize wisely and organize your finances and debt accordingly. Always pay your bills on time if you miss a payment don’t wait until your next one is due, you should always pay it shortly after you don’t make it harder for yourself paying late fees for every month you miss. Even if you can’t afford to pay the whole thing at least make sure you pay the minimum payment and chose what debts to pay off first you must organize debts and finances smart .
I like the research you did and how well you formatted your paragrpahs -Yawil/Wil
DeleteCredits have an amazing value and rewards if used the right way you can use your credit card for different ways and alot of benefits such as a way to build credit and gain rewards but one of these things are going to be useful if you don't pay your monthly bill The negative part of having a credit card is paying interest if youre collecting up debt monthly
ReplyDeletepayment history amount owed length of credit history types of credit and credit inquires all determine your credit score the average American credit score is 700 the 3 credit bureaus are transunion eqifax and experian it should be common pratice to consistently check your credit score-Yawil/wil
How can credit cards work: In this article it talks about the differences aspects of how credit card interest is calculated, on what an advance is,and the rates the different credit cards have, and also the cost of paying the minimum. Credit card interest is usually calculated by using the average daily balance, and it multiplies the changing balances that you have with the amount of days you had that balance, and it divides it by the total amount of days in that billing cycle. credit cards as you splitting the cost of something expensive you can't buy up front just yet, with added cost/interest. Credit is managed to determine your liability as to whether or not you can be trusted to pay loans back. number and multiple it with the fraction of that months billing cycle over 365 and multiply it to your APR percentage to find your interest amount. The Paying a few extra dollars on your minimum payment can save you years worth of accumulated interest.
ReplyDeleteIn this article on how to manage Credit Cards, talks about managing credit cards such as transfer tips, credit card safety, disputing charges, debt-to income ratio, understanding credit limits, and dealing with credit card fraud. Some ways to save on credit card interest is to look for a card with a long promotional period, know your interest rates, factor in the "go-to" rate, evaluate the balance transfer fee, keep payments current on your old card, and maintain a solid credit score perhaps gives you multiple ways to manage your credit card. One important thing I learned from this section was how to dispute a credit card charge. When you see an error on your credit card it is best not to wait too long, it's better if you dispute it right away. To make a dispute you have to determine whether it’s an error or fraud, notify the merchant, keep your paperwork, contact the credit card company, and make sure you receive a reply.If you know all the basics of how a credit card works and you manage it correctly you will have a higher chance at having a great credit score in the future.
https://www.consolidatedcredit.org/how-to-use-a-credit-card/dos-and-donts/
Delete