Education and Finances: Two Top Priorities of a College Student The first years in college are where the seeds of a financial foundation are planted. While many students can still rely on their parents for financial assistance while still in school, many young adults will take on this responsibility on their own. Some may get a job to support themselves financially during the years of school. Others may find work as a means of socialization and extra spending money. One common roadblock for a lot of first time college students is a lack of credit starting out. Students who want to become more financially independent of their families or those who are planning early for a life after college, are interested in building their credit the right way. A good place to start is at the bank. Approach the bank where you currently have an open account and speak to a manager about applying for a credit card or a line of credit. If you find you are not yet eligible for the card, ask about the steps you need to start taking to be in the right position. Once you do qualify for a credit card of your own, take the time to understand everything involved with credit card responsibility. Initially, your credit limit will be low – perhaps a few hundred dollars. As you begin to use the card and all of your bills are paid on time and in full, you will see your credit limit begin to increase. This does not mean you have to spend more. The credit limit increases also raises your levels of responsibility. By continually making on time payments for the require amounts, you are steadily improving your credit history and credit score. As a college student, you may not yet realize the importance of good credit in the time after college. Without good credit, you may find it difficult, if not impossible, to rent an apartment, buy a car, and in some cases, find a job. If you ruin your credit early in life, it is a good bet you will spend a large portion of your life trying to build it back up again. Students have a lot to focus on during the college years. In addition to education, financial stability ad good credit should be the most important things students should focus on if they wish to remain ahead in the game of life after graduation. * * * * Tisha Kulak is a writer for www.creditorweb.com, where she writes about student credit cards and responsible credit card use.
Thanks Tisha for this great article! As college students we must all carefully control or finances so that we do not tarnish our credit history. If we get off to a good start now, we will be able to build a solid credit history that can help us with purchases in the future. Labels: Education and Finances
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I know several students who end up in a ditch due to their bad credit history. As a youngster, you should resist against the temptation of "cheap credit" and similar offers. I believe having a part-time job is the best way to learn and earn.