"I can't wait to get a credit card. It will be cool to buy
whatever I want, whenever I want." Look out - that kind of
thinking will get you into trouble! A lot of people think that
credit cards are "magic money." But a credit card is just a
financial tool that lets you borrow money, which you have to pay
back. important to know what you're doing with a credit card. If
you use it credit. See other good reasons to have a credit card,
too. How Credit Cards Work When you use a credit card, you are
borrowing from the credit card company to pay for your purchase.
The company will send you a bill once a month showing everything
you charged. On that bill, the credit card company lets you
choose whether to pay the full amount back at once, or just pay
part and carry a balance over to the next month. If you do that,
you will have to pay interest on that amount next month. Your
credit card will have an annual interest rate, such as 15%. The
fact that most credit cards let you roll over your balance from
month month can