Our credit system is a remarkable thing. It provides opportunities for people from all walks of life to accomplish things that previously were reserved for those of privilege. Owning a house, earning a college degree, starting a business—these dreams come true every day thanks to the idea of credit. But if credit is misused or consumers are unaware of their rights in a credit transaction, what had once been a dream come true can wind up feeling more like a burden. Knowing how credit works—and how to use it wisely— is essential to achieving personal financial goals.
How much do you know about credit? Take the Credit Quiz to find out:
DEBT MANAGEMENT TIPS
Review your statements regularly from your creditors while on the DMP. Report any unusual fees or activity to CCCS Operations Department, and send a copy of each of your statements every three months for official review.
Know your priorites. Allot enough income for the essentials (shelter, utilities, food, medical, savings).
Keep an accurate record of your cash flow and expenses in order to stick to your plan.
Refrain from using your credit to subsidize your income.
Deposit part of your income into a savings account to meet emergency expenses.