Q: I was listening to your radio show and heard Tracy (Credit Expert) talk about different types of credit. Can you tell me what they are?
Revolving credit – is usually credit that you can choose to pay a minimal amount and decide how much you are going to charge (up to the limit). This includes credit cards, overdraft on a checking account, lines of credit, and some home equity lines.
Installment credit- accounts that require a set payment every month (does not include mortgages). These accounts include student loans and car leases or loans.
Mortgages – are loans used for purchasing real estate.
Public records – include tax liens, judgments, and bankruptcies