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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.
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About
The Author
Jakob
Jelling is the founder of http://www.cashbazar.com.
Visit his website for the latest on
personal finance, debt elimination,
budgeting, credit cards and real estate. |
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