A credit score is a quick one-number metric used by lenders to see how good you are at paying back debts! 💳

The lower your credit score, the less likely you are to be able to borrow money for something like a home, or a car

The higher your credit score, the more likely a lender will be willing to lend to you 📈

The one-number metric varies from 300 to 850! Here's how that score changes. . . 👉

If you pay back your credit bills on time, then your credit score increases 📈

If you miss payments, then your credit score will decrease 📉

Let's say you give a friend $10 and expect to get paid back in a month

However, that friend never pays back the loan you gave them.

It’s pretty unlikely that you’ll be willing to give them more money 🏦

Now imagine a different scenario where that friend always paid back your loan on time, wouldn’t you be more willing to let them borrow money the 2nd time?

So, credit scores measure your ability to pay back debt 💪

This means that credit cards are simply a delayed payment! They are not free money 🛑

So, you should only use your credit score for small, everyday payments you can 100% afford. 🥳