Every day, we see and hear tons of messages about credit (and debt!): getting it, using it, racking it up, and paying it off. You might have received offers via mail or email from credit card companies, and you've likely given some thought to student loans as you research college options.

Credit is a fundamental part of the financial landscape in most of the world. At its most basic level, credit allows a person to buy things when they don't have cash on hand. Most Americans use credit for everything from obtaining a mobile phone to establishing gas and electric service in a house or apartment. Cars, homes, and even businesses are usually purchased with some type of credit. A college education is often the first thing someone buys on credit, by taking out student loans.

Credit can be a powerful tool in your financial toolbox if you understand how to use it wisely.