Please fully read all PowerPoints and materials for this week before completing this assignment.
Directions: Please download EL 3, answer the following questions, and submit the completed document to the Turnitin link on Canvas. This assignment is worth 20 points.

CREDIT REPORT – PART I

1. Research a free credit report site (like CreditKarma.com). Identify the name of the site then submit one PRO and one CON for your chosen site.
2. Discuss your thoughts about the credit report site you selected.
3. Identify when your credit is checked.
4. What effect does checking your credit have on your overall creditworthiness?
5. What is a hard check versus a soft check?
6. Explain what is considered a “good” credit score (the actual numbers) and the implications of good/bad credit on loans, etc (must answer both).
7. Explain what a credit utilization ratio is and how you can use it to your advantage.

• If you complete a credit report, please answer the questions above about the process. However, THE CREDIT REPORT ITSELF IS NOT TO BE TURNED IN.
• DO NOT give out credit card information to the sites. This is an exercise in determining the process of credit check.

HOME OWNERSHIP – PART II

1. Complete the “How Much house Can You Afford” form at http://cgi.money.cnn.com/tools/houseafford/houseafford.html. (If you find a form you like better, that is fine, just make sure you post the link to the calculator as well). You can use the current 30-year fixed mortgage rate featured on the form or search online for better rates. Once you complete the form, copy and paste it into this document:
2. Using the amount you qualify for, look in the newspaper or on the internet for homes in that price range. What homes were available? Describe their features, prices, and why you may or may not choose one. (Location, schools, cost of living, etc.)

• Helpful hints: make sure to include your monthly payments on any loans, including; car loans, student loans & credit cards under the monthly debt. Do not include utilities or your current rent/mortgage payments.

• If you do not have enough income, use the projected income you will make once you graduate with your degree. Make sure the pay range is in line with the job postings you found in the previous learning exercise.

1. Visit this calculator, https://www.myfico.com/credit-education/calculators/loan-savings-calculator/ and explain how your credit score can affect your mortgage rate and interest owed.
2. Discuss what you learned about your situation.
3. Cite your sources in APA Format.