Course: What is credit?

In the spring, Chance decides he’s tired of bike commuting and would like to purchase a car. He finds a sedan that’s perfect for his needs. After pulling Chance’s credit, the car salesperson notices the score is a bit low but decides to work around it. It means Chance’s payments will be higher than usual, and the interest rate will be up there as well.

This is news to Chance. The credit card was meant as a convenience. He never thought about how his late payments or large balances could affect him in the long run. He isn’t sure what to do.