Understanding Credit

Credit gives you the ability to purchase large items when you don't have the money available. It involves borrowing money with the understanding that you will repay the loan through regularly scheduled installments over a specific period of time. Credit also helps build your reputation as a borrower. The more disciplined you are at repaying your loans, the better credit history you will build. Good examples of credit are student and car loans, as well as credit cards.

Click here for more information on the different types of credit