Best Practices For Using A Student Credit Card
Young adults in their early 20s, who are either finishing their undergraduate years or preparing for independent life immediately after graduation, may feel some trepidation about their personal finances. This may lead to some decisions that can cause problems in the long run, such as applying for a credit card they're not prepared to manage properly.
However, you may not have as much cause for worry as you think if you're in a situation like this. You'll find that there are a number of ways to successfully use a credit card at your age, even without having a great deal of established credit, in a manner that benefits your finances and satisfies your creditors.
Those who are able to do so might want to seriously consider applying for a student credit card, which can generally be done by anyone 21 years of age or older. Those under 21 can do this as well, though a co-signer will most likely be necessary if you don't have a steady source of income to affirm to your creditor that you can pay a monthly bill.
Once you've got the card, the trick is to use it regularly but carefully, which can be a bit of a difficult tightrope line to walk. However, if you don't manage to walk it, the consequences are not likely to be pretty. Make purchases on a consistent basis while being mindful of how much you're spending as it relates to your credit limit. Doing so will allow you to ask for and receive credit limit increases down the line.
Choosing the right card for you might not be easy, since you'll probably receive a whole swath of offers with a veritable cornucopia of promises. Read all of the fine print to the best of your ability and choose the card with the best interest rates and monthly payment stipulations for you.