Answer:
8. When starting your credit history, a low-credit-limit, high-interest-rate credit card should be paid in full, on time, every time.
9. APY means annual percentage yield.
Step-by-step explanation:
8. A person's credit history tells about the ability of a person to pay and repay his debts. This is very important especially when you want to avail of a credit card from a company because it reflects on how responsible you are when it comes to repaying your debts. However, when you are just starting your credit history, it is important to give a good impression, so you'd have an easier approval in the future.
Usually, for starters with low salary, a low-credit-limit with a high-interest-rate credit card is common. It is very important to pay your debts in full, on time and every time in order to avoid incurring a balance that you will be carrying from one month to the other. If you do this, you will be ending up paying lots of interest charge.
Paying in full, on time and every time will also give you the chance to have an increased credit limit in the future.
9. APY is also known as "Annual Percentage Yield." This is the actual amount (rate of return) that a person could earn while his money is being deposited in the bank in one year. Other than the deposited money, investment that earns a rate of return could also refer to bonds and stock share. APY considers the compounding interest in its computation. This means that the higher your balance, the higher the APY. The value of the asset also increases.