Skip to main content

Charlotte Metro Federal Credit Union Blog

Learning & Guidance

Charlotte Metro’s Learning and Guidance provides you with dozens of educational resources, guides, quizzes, and customizable templates to make connecting the financial dots in planning, implementing, and reaching success simple. Check it out!

Debt | Credit Cards

By: Yanna
June 21st, 2022

If you have a credit card or a line of credit (like a Home Equity Loan), chances are you’ve heard the term “Revolving Credit.” But, what the heck is it?!

Debt | Credit Cards

By: Yanna
June 20th, 2022

It’s easy to see a credit card as “free money” and spending more than your means. But if you're not careful, you could wind up paying a lot in fees and interest, hurt your credit score, and really hurt your wallet.

Debt | Banking 101 | credit scores

By: Yanna
June 17th, 2022

It’s understandable to be concerned about your credit score being affected when opening a new credit account. In your research, you probably want to weigh your options to not only compare which account will get you the lowest interest rate for loans (for highest return on savings), but also if opening the account will affect your credit score.

Debt | Credit Card

By: Yanna
June 16th, 2022

Some people are terrified of credit cards because the consequence of misusing one will certainly affect your credit and your wallet negatively.

Debt | Credit Card

By: Yanna
June 10th, 2022

Did you know credit cards can be used for more than just swiping to make a purchase in a store or online? You can also take advantage of your credit limit to do a cash advance and withdraw cash or use a balance transfer to move a balance from another credit card.

Debt | Credit Card

By: Yanna
June 9th, 2022

Credit card debt just sucks - plain as that! 

Debt | credit scores

By: Yanna
June 3rd, 2022

Some people don't realize a problem with their credit score until it's time to apply for a loan.  Then, the most recommended way to increase your score is to take out more loans to prove to lenders you’re responsible. But what if you just can't afford to get another loan - then what? 

Debt | credit scores

By: Yanna
June 2nd, 2022

So you’re ready to establish or build your credit score and are looking for ways to do it? In your credit building research, you’ve probably come across the recommendation to open a credit card. On one hand, credit cards can help you build credit, earn rewards and access exclusive benefits, and provide you with extra cash flow when you don’t have the money at your disposal. On the other hand, a credit card could hurt your credit score, your credit history, and your wallet if you used too much of your limit, carry a balance and rack up interest charges, or miss a payment.  Since this financial tool comes across as a blessing if used properly and a curse if misused, you may want to avoid credit cards altogether.  Luckily, when building credit, it doesn't have to be with a credit card! There are other ways.  Via GIPHY I know you want to go about building credit the right way since credit affects your everyday life. While many people are concerned about building credit to have better approval odds on their next loan, having good credit affects more than just future loan rates. Other than acquiring another tradeline, having good credit affects: Where you live: Landlords look at your credit history when you apply. It tells them whether or not you’ll default on paying your rent.  Your employment: Some employers (not all) look at your credit to see how you handle large sums of money. Your utility bills: Your utility bills are not loans, but it could affect your credit score should you fail to pay your electricity or gas bill. If you have a bad credit history, you could be required to put down a deposit or have a cosigner set up your utility account.  Your auto insurance rate: Auto insurance companies look at your credit history to determine your insurance risk score. So, if you have a good credit score, you could pay less for insurance.    Now that you know what a good credit score is good for and how it can affect you, here are some actionable steps to take to boost your credit score without using a credit card.  

Debt | Credit Cards

By: Yanna
May 26th, 2022

Ok, let's just rip the band-aid off and get straight to it - How many credit cards is too many? There's no exact number of credit cards to have, and it varies for every credit cardholder. It’s certainly good to have one, but it wouldn’t be bad if you had two (or six!) credit cards sitting in your wallet today. What really matters is how you use it. It's a frustrating answer, right? But don’t worry – I can explain…. The cool thing about credit cards is the benefits, and there are so many to choose from! There are store credit cards, cards specifically for air travel, and more credit cards offering cool rewards and perks like cash back or discounted rates at your favorite restaurant. Having options of which credit card to use before making a purchase can feel like you’re 100% covered where you have the flexibility you need for the unexpected. Especially if you're not carrying large amounts of cash. "But how many credit cards is too many?!" As an undergrad, this was my question when I received multiple credit card offers in the mail. It was sooo tempting to apply because the offer meant more credit power at my disposal if approved. But I also had other questions that came with that: What would multiple credit cards mean for my credit score? Would it hurt or help my score and history? Is there a penalty for having too many credit cards?  Could I wind up incurring more debt? What should I do with my current credit cards?  These are all excellent questions to ask when you’re thinking about applying for another credit card and if you already have two or more. Understand there is a risk of having multiple credit cards and there are benefits but it depends on a few factors.