For creditors your credit score sums up your life with three numbers... The score affects credit lending, buying a house, it could even be a deciding factor for your employment. Know your score and if it's low...how to fix it. The urge to splurge and say CHARGE IT can be overpowering, "Gives me a little chance, little extra time to pay it back." But the more you charge and the more credit you have can hurt you financially if you don't handle it right. Your credit score...sometimes called a Beacon or FICO score... is used by creditors to decide if you're a worthy risk. In her case maybe but that's not the rule... Your score depends on how much you earn, owe, and how you handle your credit. Get a credit report from one of the three agencies; Experian, Equifax or Trans Union. The report is free if you've been denied credit otherwise it's about 10 bucks. If you're score is low...here's five ways you can fix it. 1-Pay bills on time...early if possible. 2-Pay down debts, you'd be surprised how ten or twenty dollars a month in extra payments can cut your debt. 3-Don't close old accounts if you have a good payment history with them...in the long run they can affect your score more than a new card with missed or late payments. 4-Try credit counseling from a not-for profit agency that will set up payment plans. Jack Hogan's with Consumer Credit Counseling, "It's basically for individuals who have missed payments, slow pay or credit that's been outstanding on the credit report for a period of time." -And by all means 5-Avoid bankruptcy...it may help in the short run but it will haunt you for years and destroy your credit score.