Before borrowing, compare your total payment obligations with the income you will have for making the repayments. Another good habit to get into is shopping around for the best bank interest rates. It may not seem to make much difference at first, but it is always important to get the best value for your money. Create a budget to identify expected annual income and expenses, including savings and holidays. A budget for a holiday in New York will always be larger than for a local one.
Credit bureaus maintain credit reports, which record a borrower's repayment history.
Negative information in your credit reports can affect your ability to borrow. Carry appropriate insurance to avoid being wiped out by an illness or accident. List your financial goals, along with a realistic plan for achieving them. South China Morning Post Publishers Ltd. All rights reserved.