Why? Because when you buy on credit - such as a house or a car - you'll pay a lower interest rate than a person with poor credit.

A good credit score comes as a result of good money management, so here are some ways to get started on the right foot.

First, remember that this takes time and the effect is cumulative. The time to start building a reputation is right now, so it will be there for you later.

Discipline is the first step. This means saying "no" to most of the credit card offers that come your way, and working hard never to use over 30% of the credit available to you. It also means paying every one of your bills by the due date, and paying a bit more than the minimum payment. Strive to keep your non-mortgage debt down to 15% of your income, even when it means delaying the purchase of a new gadget or a classy addition to your wardrobe.

One simple method to make sure you pay your bills on time every time is to use a blank calendar page. Enter each bill and its due date about a week ahead of time - so there's time to mail the check. One caution: don't assume that the due dates will be the same each month. Read each bill when it comes in and record the payment date accordingly. Mark off each bill as it is paid.

Add up all your payments, deduct them from your income, and see what you have left to save and spend. And do be sure to save some - building your net worth is the next important step toward your high credit score - and a bright financial future.

Small amounts add up, so just keep putting a few dollars away from each paycheck. By the way, having both a checking and a savings account will earn you a score 4 times higher in that category than having a checking account alone - so open a savings account - and never give in to the temptation to withdraw money for luxury items or entertainment.

Lastly, be sure to check your credit score often - so if there's a mistake you can get it corrected quickly!