If you’re like most people in the U.S., while you were in school you learned a lot about subjects like math, science, languages, andEnglish. You probably didn’t learn much if anything about credit or budgeting, and these are topics that you really need to know about.
Financial decisions come up just about every day, and sometimes you might feel like you aren’t ready to make these decisions. Can you afford to buy a house or a car? Should you get a new credit card? What should you do if you’ve accumulated too much debt? These are just a few credit questions that schools typically don’t prepare students to handle.
In a nutshell, budgeting is planning how you’ll spend your money. The goal is to live within your means and ideally to have some left over for saving or investments. The only way you know for sure where your money is going is to keep track of how much is coming in and how much is going out by sticking to a budget.
A great way to stick to a budget is by using budgeting apps.Many budgeting apps are free and can connect to your accounts, track spending,and give you a clear picture of where your money is going as well as what you can and can’t afford.
Protecting Your Credit Score
From the first time you borrow money or buy something on credit,your performance is being tracked. You might think it’s no big deal if you pay a little late or skip a payment and plan to catch up next month, but every time you pay more than 30 days late, your credit score goes down.
A low credit score can hurt you if you want to borrow money in the future or get a new credit card. It might even be held against you if you try to rent an apartment or apply for a job. You need to do what you can to protect your credit score by paying your bills on time and borrowing responsibly.
Improving Your Credit
If you’ve made some financial decisions that weren’t great,you need to know what to do to improve your credit. Some things you probably weren’t taught in school that can help you to improve your credit score include:
Need some guidance on things you didn’t learn about money and credit in school? Dovly is your one-stop-shop for all things credit. We can help whether you’re just getting started building a credit history or need help raising your credit score. Don’t let what you don’t know hurt you. Get in touch with Dovly today and find out how we can empower you to have a better financial future – try it risk-free with our free membership tier.