Dear Opening Credits,
I have never had a credit card before, and have really never used my Social Security number for much of anything. What kind of credit card do you recommend that I start with? -- Amobi

Dear Amobi,
Sometimes the most basic questions are the ones that need addressing more than any others. Just how do you get a credit card when you've never had one before and even your Social Security number hasn't been used much? I'll start from the beginning and take you all the way home.

Who issues credit cards. Banks, credit unions and credit card companies all grant credit cards to qualified individuals. These products are like loans, but instead of borrowing a set amount all at once and then repaying in equal installments until you're eventually at a zero balance, you're given a credit line to use in a far more flexible way. That line is the maximum amount you may borrow, and can range from a few hundred dollars to tens of thousands. The issuer sets the terms, which include a credit line, annual percentage rate (APR) and number of days you have to send a payment before the interest-free grace period expires (around 30 days).

How to use it. When you get a card, you can start to charge immediately. You may shop with it at a store, order over the telephone or enter the data online to buy something from a Web retailer. You can use it as often as you like, as long as you don't exceed the credit limit. In about 30 days, you'll receive a bill. It will indicate what you charged and where, as well as the total of what you owe. While it's recommended that you pay in full, you do have the option to send at least the requested minimum payment, which is usually about 2 percent of the balance. Interest will be added to any remaining balance that you roll over to the next month and the higher your APR, the more in finance fees you'll pay.

What the issuer does with your credit card information. What you do with the card is no secret. The issuer sends all of your activity, including the credit line given to you, the amount you currently owe and whether you've made on-time or late payments, to the three major credit reporting bureaus -- Experian, Equifax and TransUnion. These companies compile your data into credit reports that they make available to others who may have a business interest in you. To make it even easier for those who want to know how you've been managing your credit, a credit scoring company takes all your financial data listed on the reports and translates it into a score. That number is the quick and easy way for a lender to know what kind of borrower you are.