When people talk about your credit, they mean your credit history. Your credit history describes how you use money. For example:
How many credit cards do you have?
How many loans do you have?
Do you pay your bills on time?
Grow good credit. How you handled your money and bills in the past will help lenders decide if they want to do business with you. Your credit history also helps them determine what interest rate to charge you.
If lenders see that you always pay your bills on time and never take on more debt than you can pay back, they’ll generally feel more confident doing business with you.
If they see that you’re late on your payments or owe more on credit cards or loans than you can repay, they might not trust that you will pay them back.