Should a college student have a credit
card? What are the advantages and disadvantages
of credit cards for college students? Will credit
cards cause excessive debt for college students. Find
out in this informative article.
Student Credit Cards: Basic Guide
Many students start becoming consumers of credit when
they get their first student credit card in college.
Student credit cards can give them a highly convenient
way of making purchases; however this is also a time
of great responsibility as they start their first endeavor
into money management.
You need to be careful when using your student credit
card. This is the time you start building your credit
report which will come into play when you start needing
money to buy a house or a car. It is very easy to misuse
credit in college. Usually it is very expensive being
a college student nowadays and it can be hard to keep
track of bills and pay them on time.
However a student
credit card can also be very convenient. It can
teach you better money management skills. If you work
hard you can start building a solid credit score.
Students can also avoid carrying around cash. Many
student credit cards offer protection incase the card
gets stolen or lost.
There is much choice for students when it comes to
selecting a card. The first thing when choosing a
student credit card is to find one with a low APR.
Many student credit cards will even allow you to accumulate
points from your purchases which you can redeem for
DVDs, books, CDs and other cool rewards.
If you misuse your student credit card and keep making
late payments, you will be under a huge debt burden
when you graduate and need to buy a home or a car. Student
credit cards are not a student loan. Consider them as
high interest loans which you should pay off immediately.
On the other hand by properly managing your payments,
you can have a good credit score when you graduate.
If you make your payments on time, you can also avoid
the interest charges. Be careful of the late fees on
your student credit card. Student credit cards generally
have low interest rates but they might have a smaller
maximum credit limit.
If you are a college student, you may have received
a lot of student credit card offers through the mail.
Credit card companies want you to get hooked on their
card early in life, so that you remain their loyal customer
in the future.
Online applications have made it very convenient to
apply for a student credit card. In addition the internet
can let you shop around from a wider selection of
cards right from your home. Usually it is a secure
way to apply if the online site has a secure server.
You can qualify for a student credit card if you are
at least 18 years of age.
See
all available student credit cards & compare
About The Author: Jakob Jelling is the founder
of Cashbazar.com.
Visit his website for the latest on personal finance,
debt elimination, budgeting, credit cards and real estate.
