Skip to main content

About this free course

Become an OU student

Download this course

Share this free course

Managing my money for young adults
Managing my money for young adults

Start this free course now. Just create an account and sign in. Enrol and complete the course for a free statement of participation or digital badge if available.

Session 7: A good credit rating and how to keep it

Introduction

In the video, Bobby puts in context the themes of the session. You’ve looked at the institutions that lend money, the various ways money can be borrowed and at what determines the cost of borrowing. You’ve also looked at when borrowing is rational and when it is foolish. In this session you extend your analysis of debt and explore how to integrate the cost of managing your debts within your budget. You take a look at the activities of the credit reference agencies and at how you can manage your financial profile to maximise the credit score assigned to you.

You start by looking at how decisions about whether or not to borrow money should be taken only after examining alternative routes for financing major acquisitions.

Download this video clip.Video player: mmmft_1_video_week7_intro.mp4
Copy this transcript to the clipboard
Print this transcript
Show transcript|Hide transcript
 
Interactive feature not available in single page view (see it in standard view).

By the end of this session, you should be able to:

  • understand the pros and cons of borrowing money to buy things – relative to other ways of financing a costly purchase
  • understand credit scoring and the activities of the credit reference agencies
  • know how to maintain a good credit score
  • know what you can do it you have problems with debts.