(Jessica) Welcome to Money Matters on the Southern Bank Financial Wellness Network. I'm Jessica.

(John) And I'm John!

(Jessica) And today we're talking about whether it's better to have no credit or bad credit.

(John) Well, Jessica, ultimately,  both may give you trouble when applying for things such as loans or credit cards, but it's easier to fix no credit than bad credit.

(Jessica) With no credit comes no credit score. People such as landlords, lenders, or rental industries reference these scores as a way to see how reliable you are when repaying debts. Do you make at least the minimum payments. And are these payments on time?

(John) Yes. And remember, missed or late payments, a high utilization of your credit limit, and the number of accounts can all impact your credit score. Moving forward, it's a good idea to take action to improve your score, such as making payments on time and working to pay off any debt.

(Jessica) Credit cards are a good way to show that you can be responsible with money, but be careful to manage any debt. We'll see you next time on Monday Matters. And remember, Financial Wellness starts here!

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