Credit cards 101

1
Credit cards 101
2
Shop around

• If you decide you are going to have a credit
  card.
• Each credit card company charges fees for
  different services.
• Ask questions?

3
APR

• Annual percentage rate is the yearly cost of
  carrying a balance on a credit card.
• If you have a good credit rating you can qualify
  for a better APR.

4
Annual fee

• The charge imposed yearly to use a specific
  credit card.
• Some cards may not have an annual fee.

5
Available Credit

• The amount of a credit line that has not been
  used. Available credit equals the credit limit
  minus the current balance
• Ex. If you have 500 credit limit and you spent
  200 your available credit is 300

6
Over the limit fee

• A fee charged for exceeding the credit limit on
  the card.

7
Credit History

• An official record of detailing how people manage
  their debts.
• Credit history can be used in determining whether
  you will or will not qualify for a loan.
• You need to have established a good credit for
  many reasons.