Using Credit Responsibly

An annual percentage rate, or APR, is a percentage that shows what it will cost you to borrow money. APR reflects both an interest rate and additional costs and fees applied to your loan or credit card balance.

Your credit utilization ratio has a big impact on your credit score – almost as big as your payment history. Here’s how CUR works – and how you can fix it.

Consider getting a credit card if your monthly expenditures are always comfortably below your income, and if you have a consistent history of paying your bills — like rent and utilities — on time. But getting a credit card might be unwise if you routinely overdraw your checking account or borrow money from friends and family.

High credit APRs are a pain. They make it difficult to pay off your card in full. So take steps to get your credit card company to lower your APR.

So you are ready to pay off debt, great! Now to decide which method you are going to use. The debt snowball or the debt avalanche? Here we talk about the difference between the two and give you a tool to decide which method is best for you.

Need to build credit? A secured credit card is a no-brainer. Had issues with credit card debt? Consider a prepaid card until you can get your spending under control.

Higher education is supposed to be a no-brainer: Even if you have to borrow, you’ll earn more with a degree. But that ROI is breaking down. As more students take out gigantic student loans and struggle to find the right jobs, they ask: is student loan debt worth it or not?

Credit cards get a lot of attention because of their rewards and sign-up bonuses, but there’s a treasure trove of value in the credit card insurance benefits also offered.

We all know that your credit scores affect mortgage rates. But your credit history can also affect how much you have to put down and the price you pay for private mortgage insurance (PMI). It’s not impossible to buy a home with damaged credit; it’s just much more expensive. Here’s why.

Doing a balance transfer can be a very smart financial move—but only if you’re doing it for the right reasons. It’s a process that is longer than clicking a few buttons. Here’s how to transfer a credit card balance.