Financial Literacy Credit Series: Building Your Credit with Credit Cards

If you are planning on building your credit by using credit cards there are important things to remember. Always pay your credit card bills on time, if you can try to pay them off in full each month and never go over the limits on your cards. Another great tip is to never put more than 20% of your monthly income on credit cards this will keep your debt to income ratio down and keep paying them of manageable.

If you have an emergency and you have to put stuff on your cards make sure to keep the balance of each card at less than 30% and never go over 50% of the cards balance this keeps your debt to credit ratio down, so you don’t put negative marks on your credit.

For all of LearnKey’s Financial Literacy Month resources, visit learnkey.com/financiallitmonth