Using Credit Cards Responsibly
These resources can help you understand the difference between debit vs credit cards, learn what your credit score means, and provide strategies for using credit cards responsibly.
Using Credit Cards Responsibly
- This course educates prospective and current cardholders on credit card fundamentals, along with tips and strategies for wise credit card management. We’ll start with the costs and benefits of consumer credit to help you assess whether you are ready for a credit card and explain how credit cards work and break down terminology you should be familiar with when evaluating credit card agreements. The University of Connecticut has contracted with iGrad to offer their online financial wellness tool, which provides a variety of resources to assist with financial literacy, planning and management.
How to Read and Understand Your Credit Scores
- A credit score is just a three-digit number, but it can have a significant impact on your financial life. Your credit scores (most people have more than one) can affect your ability to qualify for a loan or get a credit card by giving potential lenders a sense of how likely you are to repay your debts. Understanding credit score ranges can help you assess whether your credit may need some work. And knowing the factors that affect your credit scores can help you identify how to improve them over time.
- Debit and credit cards offer more than a way to access money without having to carry around cash or a bulky checkbook. Debit cards are like digitized versions of checkbooks; they are linked to your bank account (usually a checking account), and money is debited (withdrawn) from the account as soon as the transaction occurs. Credit cards are different; they offer a line of credit (i.e., a loan) that is interest-free if the monthly credit card bill is paid on time. Knowing the differences between the two are key in utilizing each and understanding their unique advantages.
