//A Checklist for Smart Borrowing

• Don’t sign for a loan until you understand all the terms, and don’t be afraid to ask questions.
• Don’t go into debt for things you don’t really need. When you’re on your own, no more than one-third of your gross income should go to repay your monthly debt, including rent or mortgage payments.
• Pay off credit card balances in full each month. If you stay within your credit limit but pay only the minimum monthly payment, you could be in debt forever.
• Don’t have more credit cards than you need.  Don’t apply for a credit card just for a free gift.
• Control your debt.  If you have trouble paying bills and just let things slide without first seeking help, the resulting negative information in your credit report may seriously limit your ability to borrow money, rent an apartment or even get a job.