Question of the Week

Question:
True or False? It helps your credit score to carry a small balance on your credit card every month.

Answer:
False; it's your on-time payment history that matters most and paying off your credit card balance every month eliminates those hefty interest charges.

Questions to think about:

• Why do you think so many young people get the answer to this question wrong?

• 49% of credit card users admit to making a late payment on their credit cards which will lower their credit score, lead to a late fee and increase their interest charges.

  • Why do you think so many make late payments?

  • What steps can card users take to avoid paying their bill late?

Source: LendingTree survey