Whether Or Not To Apply For A Credit Card


College students are constantly feeling the pressure of credit card companies vying for their business and wanting them to apply for a credit card. MasterCard or Visa credit cards are all around and continuously try to offer incentives for students so they will sign up. They want you to save your cash and instead use their plastic for your school purchases, but far too many students find out too late how quickly this can become a bog of quicksand.

Instant approval credit cards may be a godsend when you find yourself in desperate need of school supplies or in need of the basic essentials. However, far too often the ability to easily apply and get one can lead to massive financial problems. Student credit card debt is out of control. Students are inundated with bank credit cards, MasterCard or Visa credit card offers and many do not consider the ramifications of how easy it is to abuse their use.

No one doubts that college is expensive. Tuition, room, board and associated fees can wipe out savings very quickly. You, as a student, may have such an immense class schedule that makes working part time impossible.

This is especially difficult if you are involved in school activities, such as sports or academic organizations. Most parents cannot afford to pay for all the extra expenses a student incurs, not to mention if there are off campus expenses and luxuries wanted.

The key to understanding how to use a college student credit card, is one based on "need" only. Most students must have some form of money in case of an emergency and it comes down to the student knowing the difference between an emergency and a simple want.

Apply for a credit card and when you receive it, put it aside in case of real emergencies. Do not go around applying for every offer you receive. Pay attention to the interest rates and any associated fees that the lending company requests.

Do not apply for a credit card every time you walk into a store. Don't fill out an online application for one every time you are surfing the net. While you want to have a good credit rating, each one you apply for goes against your credit score and can begin lowering it dramatically.

There is a delicate balance between improving your rating and seriously hurting your credit score. Be smart, build credit ratings, use your credit wisely and you will learn how to be financially responsible.