College students receive lots of credit card applications every day. All the offers seemed to be quite beneficial. But be careful! Credit card applications conceal many financial traps.
If you want to get your first credit card, consider your financial aims and opportunities, first of all. There are many banks that offer credit cards for students. You can have little or no credit history, you still have good chances to get a card.
There are many types of credit cards around. Shop around. You can get a low interest credit card, plastic with no annual fee and even with a reward program. If you apply for a credit card with rewards find out what rewards you want to get. You can get a cash back credit card, or air miles credit card, or a card with reward points that can be redeemed for gift certificates. Consider your preferences before to apply for a credit card.
There is strong competition between credit card companies and one can meet lots of banks' representatives in college campuses. They offer free T-shirts, hats, pens, and other things if you sign out a credit card application. Never apply for a credit card in this way! Credit cards are not about free stuff and college spirit! Credit cards imply great responsibility about your finances and spending habits. Make sure that you are wise and responsible enough to keep your spendings under credit limit, to pay all your bills on time and you will be able to pay off the debt in the future.
Banks and credit card companies are aware of students' light-mindedness and innocence about credit cards. That is why they often apply high interest charges and late fees to student credit cards. Nobody wants to lose money.
Keep in mind, student credit cards do not give you free money. You can make any purchases on your student credit card now, but later you will have to pay them multiplied with interest charges. So, think twice before making lots of purchases on your credit card.
Credit cards can as help you to build strong credit history, so to ruin your credit. Everything is in your hands! Using your student credit card wisely, you will get certain benefits and will reach your financial aims. But if you misuse your plastic, you will get nothing but huge debt and financial problems. The choice is up to you!
Article Source: http://www.articlealley.com/http://adrianaredmon.articlealley.com/choosing-a-student-credit-card-479039.html
Will a second credit card boost my credit rating?
I got a student credit card last year. I've always paid all my bills in full and on time. Now I'm getting "pre-approved" offers for WaMu platinum cards with a credit line ($7,500) bigger than my life savings. I don't need and won't use this extra credit, but maybe a high credit rating could help me in the future. Would taking on this extra credit line boost my rating, or would it be pointless?
Answer
The inquiry will cause your score to decrease by a few points. But, after some time of a second card being in your name, combined with that you'll have more credit available compared to the credit you've used, it will increase your score and allow potential lenders to see that you can be trusted with credit.
answer? Please share and answer below, in the
comments section.
Posted in 
Tags: 