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Understand your credit score.

Consumers rely on credit cards but don't realize it effects on your credit score and other bills


A survey, by J.D. Power, says that nearly 1 in 5 bank customers are unaware of how their credit score is determined. "The highest rate of respondents that are unsure are the vulnerable and under-40 populations," according to the June survey of 4,000 U.S. retail bank customers nationwide.

Like many, you may believe that carrying over a balance on your credit cards from month to month helps your credit. Not true. It will actually lower your credit score thanks to a credit scoring factor called credit utilization.

Of course, inflation is a price poison that can slowly bleed value out of a dollar, and credit cards might help to ease the budget pain. But debt is not a long-term cure. Work to protect your spending power from inflation and carry credit card balances as sparingly as possible. Your credit score not only affects other loans like auto and home loan but can affect insurance rates and utility deposits


Learn how to create a budget and manage your credit by reading a book on financial essentials.

Financially Independent Teens, Financial Essentials , Financial Essentials for Women by W omen, Budgeting for Women by Women and Financial Essentials for Couples. These books are available on Amazon as a Kindle or print book. Our website has additional information that you may find useful.




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