A credit card is a powerful financial tool with diverse advantages, especially for building your credit history. At the same time though, it should be managed very carefully, because it may cause you to spend more money than your budget allows. To become financially secure, it is necessary to learn how to manage your credit cards wisely.

Adult learners may have credit cards in their names, and they need to keep their relevant information up to date to prevent acquiring fraudulent debts and to possibly repair their credit histories (i.e., protect their identities by regularly monitoring accounts, using secure connections, & keeping devices/software update).

Traditional students, who may be less likely to have credit cards in their names (because they must have a co-signer or proof of income if under 21), can either be an authorized user (no legal responsibility of paying the bill) or a joint owner (more responsibility, able to start building up credit history). Regardless, students need to fully understand the process and the seriousness of selecting the best card for their present and future needs.

Throughout this module on credit cards, you will learn about:

The pros and cons of credit cards
How to select the right credit card for you
How to read a credit card billing statement
How to manage your debt

You will also learn to identify the relationships between credit cards, credit history, credit report, and credit score (FICO).

For successful management of credit cards, you can follow five steps listed below. Let's get started!

Chapter 1. Advantages and disadvantages of credit cards

Chapter 2. How do I choose the right credit card for me?

Chapter 3. What's in a credit card monthly billing statement?

Chapter 4. What makes up the FICO Score?

Chapter 5. What's in a credit report?

Test your knowledge!