Students are good customers for credit card companies because they tend to stick with their first card and use it for many years, even though they often have loans and don't have jobs. Students shouldn't use their credit cards for anything but emergencies if they don't want to get into trouble with debt. They should know what happens after they use a credit card. This would help them keep better track of their money.
Students should be aware that credit cards made for students usually have high interest rates and a lot of bad terms. This is mostly because students are more likely to not pay back their loans than people of other ages. The fact that most students have short credit histories is another reason why the rates are so high. Students should remember that a credit card shouldn't be seen as a way to make money. Even though students have good intentions of paying their bills on time when they get a job, this never happens. Most students don't know how to handle their money well, which hurts them when they max out their cards.
Some companies that give out credit cards do not need permission from a parent to give credit cards to students. This makes things worse because the students are then given credit cards with pretty high limits, which they think is their money and spend on different things. Instead, it's better to use cash whenever you can. College students can use debit cards instead of cash. They let stores take the money right away from the customer's bank account. If a student needs cash, they can also use them at ATMs.
So, try not to get a credit card in the first place, and if you do, try to pay off your bills by the due date. Because if you don't, getting out of debt could take you longer than getting through school.
