College Students And Credit

Today, it is more important than ever to start building a positive credit history while you are young. There are many credit cards that are specifically designed for the college student with little or no credit history, and many will even reward you with the things you love most: cash, travel, entertainment, and more.

As a young college student you are ripe for starting your own life and all the worldly stuff that goes along with it. One of these very important issues is credit. I am sure you have realized if you have not been taught that credit and your credit history and score is the number one important thing you can create for yourself. This will lead to you being able to secure many different types of loans, jobs, as well as affordable insurance. The list goes on and on.

Being a young college student or one just ready to start college I am sure you have received many offers via mail, email or from the college of your choice. There are many offers out there for you to take advantage of. However, it is important to remember to not let them take advantage of you. It is very exciting to know there are companies out there willing to provide a student credit card to you. This is great but you only need one. Many will find there selves in much trouble if they accept an offer for more than one student credit card. You are in college and might have a part time job and you will not be able to keep up with the monthly payments if you have more than one card. You will also find yourself in debt very fast because you will be using those different cards and will not realize how fast your debt can add up. This is the start of a poor credit history and score.

To keep you on the right track look at the many different offers you have. They will offer many different types of perks and benefits. Look at the benefits that will most fit you and your financial needs. A zero percent interest rate for 6 months that jumps up to twenty-five percent interest is not a good deal in the long run. All those purchases you made in the first 6 months if not paid off will also jump to the twenty-five percent interest. There is a cap of interest rate for each state, check on the internet and see what the state you live in has capped it out at and make sure you are not being given anything higher. But more importantly, try to get a card that is much, much lower.

What is important at this time in your young life is to treat a student credit card with respect and use it with caution. Use it as an emergency tool and give yourself piece of mind knowing you have a way out if needed. This is how your new found credit will work for you. Always remember that what you do today in regards to your credit is going to affect you in the future so making smart choices is the only way to go.