A student credit card provides the opportunity to learn financial independence, while also taking advantage of a variety of benefits.
Before you apply for one of these, before you have this discussion with your college age student, it’s important to learn more about the many advantages. Here are a few things to consider:
• Financial education early in life
• A jumpstart on building your credit
• Access to a variety of high level features
• Alerts to ensure you never miss a payment
• Rewards designed specifically for students
If all this sounds good, now’s the time to learn more about the many student credit card offers. Here are the types of things you should look for when applying:
• A lower credit limit
• A competitive interest rate
• A variety of rewards, ranging from travel perks to cash back
• Protection, such as $0 fraud liability
• Powerful tools for tracking spending, budgeting your money, and paying bills on time
Only you know if you are responsible enough to carry a credit card. If you have any doubts about your ability to spend wisely, it may be best to hold off for the time being.
Those who realize that a student credit card is right for them could have one of these in their possession within a matter of days.
As long as you understand the advantages and potential pitfalls of a student credit card, you can make an informed and confident decision regarding what to do next.
What other advantages would you add to this list? Share your thoughts in the comment section.