by Deca’s Financial Literacy Promotion Project

Duh duh duh… that sneaky word, credit, has come up again. Maybe it was a fun commercial singing about some credit report website, or a story on the news about increasing debt due to credit cards. There is an abundance of negative information about credit out there, and for good reason- used incorrectly, credit can not only affect your life in the future, but can drastically affect your lifestyle today!

But what about the good things about credit? After all, credit was invented for a reason, wasn’t it? Credit can help you get the things you want, from that brand-new car to a college diploma. Earned over an extended period of time, a good credit score can even allow you to have a lower annual percentage rate, or amount of interest you must pay a lender for the use of borrowed money.

Wondering about your credit score? Everyone is allowed one free credit report from three separate credit bureaus: Equifax, Experian and Trans Union Corporation (savvy credit-earners order one every four months, to stay on top of their credit three times a year!). Credit doesn’t start accumulating until the age of 18, but setting yourself up for using the tools that will be reported to your score- such as savings and checking accounts, loans and credit cards- will help you by teaching you how to manage your money in a good way.

If you’re still confused on credit, or want to learn more, feel free to stop by the Bruin Branch of Helena Community Credit Union to ask us your questions.