ECONOMICS
CREDIT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Jenny should acquire several credit cards to established that she can manage them responsibly.
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Jenny should obtain a secured credit card or cosign with a parent
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Jenny should re-apply for the same credit but include a letter of recommendation from someone who knows her well and can vouch for her character
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Jenny should apply for a different type of credit. Since she was applying for a bank loan, she should apply for a credit card
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Detailed explanation-1: -Age – You will need to be minimum 18 years of age to apply for a Credit Card. Even if you are an add-on Credit Card holder, the age limit needs to be met. Anyone meeting this criteria becomes eligible for a Credit Card. Income – Each bank has a specified minimum income set by them as an eligibility criteria.
Detailed explanation-2: -Understand the basics of credit. Become an authorized user on a parent’s credit card. Get a starter credit card. Build credit by making payments on time. Keep your credit utilization ratio low. Take out a student loan. Keep tabs on your credit report and score.
Detailed explanation-3: -Become an authorized user. One of the quickest and easiest ways to build credit is by becoming an authorized user on a family member’s or friend’s credit card. Apply for a secured credit card. Get credit for paying monthly utility and cell phone bills on time.
Detailed explanation-4: -Pay your bills on time and in full. Payment history accounts for just over a third of your credit score. Consider tools to help establish credit. Don’t use all your credit. Check your credit once a year.