Are credit cards popular among students? And should you get one too? It is not a secret that getting your first credit card as a college or university student can be a tough process. Why? One of the reasons for this can be explained by a recent statistics showing that an average American graduate has about 37.000$ in student loan debt. Young people do not follow any strategies to help themselves manage that enormous burden.
Despite these problems, and the fact that choosing the first credit card is always an overwhelming and confusing process, most students don’t hesitate to apply for it immediately after high school graduation. Having a credit card can bring you a lot of advantages and make your life a little bit easier if you know how to manage your card history correctly. Let’s look at this issue a little bit closer.
Getting Your First Card
What can you get from having a plastic in college or university?
- It is the fastest way to build or rebuild your credit score. The sooner your the score starts, the sooner you’ll get a good loan;
- You can receive rewards and points to have a dinner or some kind of entertainment free of charge. A lot of students appreciate having additional bonuses;
- You can also earn double points to make particular purchases. For example, you can get up to 4-5% of cash back every time you go to a store or a filling station. Isn’t it great to earn some extra rewards to make your regular spendings?
Some students get it to pay for their books, others to establish loan or to manage the everyday expenses. No matter what the reason is, having a credit card is a common thing for a current generation of young people, as credit scores impact many things in life like buying a car or an apartment.
Among the most popular student credit cards are:
- Bank of America Student Card with no annual fee;
- Discover it Card with almost 5% cash back reward for purchases;
- Citi ThankYou Preferred Card with additional points for dining and entertainment.
But to get the most out of your plastic without a chance to get a huge debt, you should clearly understand the terms of it. In this case, it will be an excellent financial beginning of your future. The main principle here is to know how to manage and control your loan.
So, there are multiple credit cards on the market for now. As a student, you can always find the one which will be perfect for you and your needs. So, get a plastic and start building your credit history right now. Don’t be afraid of interests and debts. Just learn to manage your loan properly.