The most thrilling thing about being a college student is becoming more independent. Financial advisers do recommend that the best time to begin building credit history is while you are a student. With the modifications to the credit card law, it is still a lot easier for a student to get his/her first credit card. If you are a student yourself, what should you to maintain a favorable credit record? Here are some tips:
1.Choose the right credit cards for students. For people who are below 21 years old, they can apply for a student credit card with the help of a co-signer. On the other hand, if you can prove that you have an independent source of income, you can be eligible for a student credit card even without a co-signer.
When selecting your first credit card, ensure that you understand the Terms and Conditions of your bank or credit card issuer. Remember that there is certainly not one credit card that will match everyone’s lifestyle. Thus, you must examine your own needs and look for a credit card that will match up to your lifestyle.
A credit card with a low interest rate is best as it minimizes the risk of debt build-up should you need to occasionally carry a balance in your account. Even so, keep in mind that the surest way to maintain good credit history is to use your card only on important expenses and to pay off your complete balance on time.
2. Use your credit card regularly. Simply placing your student credit card in your wallet is not going to help you build good credit. To be able to build credit, you should demonstrate your capability to manage debts and repayment. Use your card on important purchases but keep your charges minimal so you can make your payments on time.
Read Full Article: Good Credit Tips for Students
