When students have one of the best college credit cards, they can learn quite a bit about managing debt and money. Plus, it can make learning to budget a necessity and shows the importance of paying bills on time.
Regardless of a person’s age, financial emergencies can occur. By ensuring there’s room on their credit card at all times, students have a source of funds they can tap into if the unexpected happens.
MISMANAGING THE CREDIT CARD
Whether it’s maxing out the card, missing a payment, or anything else that isn’t considered responsible behavior in the eyes of creditors, negative remarks carry far more weight since there’s not as much of a credit history to balance mistakes out.
CREDIT LIMITS ARE LOWER, AND INTEREST RATES ARE HIGHER
Often, credit limits for student borrowers are very low. Additionally, interest rates are typically higher. As a result, students can’t use the card often before maxing it out and carrying a balance of any size can get surprisingly expensive.
(...And Avoid Student Loan Debt)