Student Credit Cards are an Important Part of a College Students Financial Life

Most College Students struggle in their first year of college trying to get their financial life in order. Many college students are from different backgrounds and environments which make taking on financial responsibilities very different.

Student Credit Cards and Student Loans are much more prevalent for students whose families cannot pay for their entire college education. Many college students not only get grants, student loans, student credit cards and scholarships, but have to also work jobs at such places as Olive Garden as servers to make end meet in college.

This can all be very stressful on a college student who already has a full time load of classes and then is trying to take on all this financial responsibility all at once.

You also find certain college students that fall into the category where their parents make a good income and they cannot qualify for government student loans or grants and have to take out privatized student loans from places like Bank of America or other financial institutions to get enough money together for their college year.

Another key aspect of college life is the need for a student credit card. Most of the popular institutions that give out student credit cards are Bank of America student credit cards with the Bank of America® Student Platinum Plus® Visa® Credit Card and Chase Credit Cards with their Chase + 1SM Student MasterCard® and of course the Discover® Student Card.

A student credit card is very important in regard to building up ones credit history before actually graduating from college when it is too late to try building up a history at that point when the college graduate is now wanting a vehicle or to buy a house or condominium.

These college years are a critical time not only to prove that they are responsible as a student but also to show a responsible credit history that will carry on with them throughout their careers and financial life.

Many adults feel that a college student has no business with a credit card and that they will use them irresponsibly which will in turn damage their credit rating. This can be the case and for those students that are too immature to handle a student credit card I would say the better option would be to get them a pre-paid card and that way you can set a limit on how much they spend before it runs out and needs to be reloaded.

The only problem with the prepaid credit cards is that they are great in this aspect of control but they will not report to the credit agencies and therefore will not let the college student build a credit history through transactions for food, gas and other basic essentials. Just using a credit card monthly for books, automobile expenses and other school expenses can really add up and build a solid credit history.

There are many advantages to having a student credit card if it is used responsibly. For one it is much safer to carry a credit card around than to have a couple hundred dollars on ones person to be stolen or lost. This is not hard to do if one is going to buy books at $100 per these days.

So safety can be a great benefit of carrying the student credit card along with building a credit history that can be used to their benefit upon graduation. If a car breaks down while driving around town or out on the highway a credit card is excellent for these types of situations and can get the student out of a jam until the parents can help them later once the situation has been dealt with.

Another benefit is that some cards offer reward points and some have a 0% introductory period. The main objective is to keep the card paid off each month and not to run a balance if possible. The reward points built up can be used to purchase items such as electronics, Apple Ipods or other cool items that reward the college student for their transactions and responsible financial habits.

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