Student Credit Cards Five Ways To Keep These Under Control
College life is thrilling and it paves the way into adulthood for you. Most young people see only the opportunities and fail to see the responsibilities that come with these. As a result, when the graduation day comes, there are unmanageable debts to pay and solvency problems. While it is true that abusing student credit cards is easier than staying in control, there are ways that can give the reigns in your hands and keep you out of trouble. Here are five tips that would help you:
1. Budget for every month – there are certain expenses heads that are recurring, which would give you a fair idea of how much money you would need every month during college days. Add to this amount about 10 per cent for contingencies and another 10 per cent for fun related expenses. Do not, under any circumstances, deviate from this budget.
2. Control your spending – it is very easy to decide to buy things when you have student credit cards. Remember however, that this is money you have to pay at the end of the month. If you do not pay the bill in full, you would be charged about 3 per cent interest per month, compounded interest. Is the thing you are buying worth such trouble? The best way to side step the temptation of making such purchases is to postpone to the next day. It is amazing to see how the need to spend disappears the next day.
3. Use cash – paying with cash would make you realize the real value of things. Develop the habit f paying with cash whenever possible. Use the student credit cards only in exceptional cases, when you do not have the cash needed. Pay the student credit cards bills promptly, befre the due date, and in full.
4. Be a responsible adult – adulthood is fun and every college student is impatiently waiting to step into this world. Understand that authority comes with responsibility. You need to be responsible for your own actions and financial discipline is one of the most important aspects of your adult life. Learn to be self-reliant when it comes to money matters and plan your expenses carefully without relying too much upon your parents. This is a great way to build a positive credit record.
5. Keep only one student credit card with you – you might be eligible for more than one student credit cards and your parents might help you get two or three for you. Never carry all the credit cards with you because when you do so, it is almost impossible to resist the temptation of using these college credit cards.
Student credit cards.com @ October 2, 2008