Understanding your credit cards

What is a Credit Card?

A credit card is a card that you can make purchases that you dont have to pay until at the end of the month. Credit cards are most oftenly used when a person wants an item but they dont have enough money to buy it. 

Credit Score

Credit score is the score you get when you use your credit card. The better score you have the more possibilities you can get. For example if you have a bad credit score you will have more difficualty getting out a loan. Also if you get numerous credit cards from retail companies that will bring your credit score down.

Avoiding Interest

When you get your statement you will want to pay it all off before the due date. If you do so your credit score will go up because it shows that you can pay off what you basically borrow. If you do not pay off your statement then you will be charged. 

Best Credit Cards

For cash back credit cards of 2012 were

1. Scotiabank
Scotia Momentum VISA Infinite
Annual Fee: $99
Current Interest Rate: 19.99%

Card Details: Requires personal income of $60,000 or household income of $100,000; includes car rental insurance, extended warranty.

http://www.moneysense.ca/magazine-archive/best-cash-back-cards-2012