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.