Question

Why is it important to pay credit card bills on time and to pay all loans on time? How does this impact your credit score and why does your credit score matter?

Answer 1

If you don’t pay on time it’ll cause interest and you’ll end up hurting your credit score. Now if you do everything responsibly you’ll end up with a good credit score which will let banks loan you larger amounts of money seeing you have a good record of paying back on time

Answer 2

if you wait too long to pay them off, you owe more money every time you don't pay them. the you credit score drops. if you don't have a good credit score, banks and other places won't lend you money in the future, because you would be known to not pay off your debt.