Credit Card Tips For College Students

As adults who will likely have a credit card for the very first time, college students have the chance to create fruitful financial habits and good credit histories that can help them throughout their lives. If you’re one of them, look to these simple suggestions as guidelines on how to make the most of this opportunity.

• Sign up for only one credit card and pay it off in full month to month. This will ensure interest rates don’t affect you adversely apart from helping you build a long and positive credit history.
• If you can eat it, drink it or wear it, avoid using your credit card to buy it. Young people are easy targets for impulse purchases using credit - a habit that can literally ruin you later in life. If you want to use the card to earn points then only swipe it for expenses that you can pay for immediately within the next two to three days. Doing otherwise will leave you at the mercy of steep interest rates (which most student cards unfortunately feature).
• Take advantage of your credit card’s online features. Many cards now offer online alerts (some even SMS alerts) when you’re close to your limit or when payment is due.
• Don’t be taken in by flashy offers. Most college credit cards come with bling-blings designed to make them look attractive, but carry steep charges and fees along with it. If you’re building up credit, you’re safer using a regular card with normal rates.