How can a student get a credit card ?
March 6th, 2007Credit card issuers are very willing to give away cards to college students with no credit history and no income.That is because the credit card companies are willing to gamble that parents will bail out their kids if they get into trouble.
Here is a list of the top offers for students:
| Citi® mtvU Platinum Select® Visa® for Students | 0% for 6 months then 17.99% |
| Discover® Student Platinum Card | 0% for 6 months then 16.99% |
| Citi® Platinum Select® Card for College Students | 0% for 6 months then 17.99% |
| Discover® Student Clear Card | 0% for 6 months then 16.99% |
| Universal Entertainment Student MasterCard® | 0% for 6months then 18.24% |
| Citi® Driver’s Edge® Card for College Students | 0% for 6months then 18.24% |
There is choice but both parents and students should be aware that many credit card issuers are looking to make some easy money off college students. Here are some things to consider:
- Look for hidden fees
Certain issuers may hit the cardholder with a number of fees or gift that require the cardholder to keep a balance on their credit card consequently paying high interest. - One card is usually enough
Trouble often begins with an individual student carrying too many credit cards. - Use the card wisely
Excessively use of their plastic could leave young people in serious debt. Four years of reckless credit spending can put a serious dent on their future finances. - Be aware that you are building credit history
Bad credit history racked up during the college years can haunt young people when they try to enter the workforce. - Be aware of identity theft
Careless handling of on-campus credit card offers can leave students open to identity theft. - Choose a card with low interest rate after the initial sign up period
Although many cards offer introductory rates of 0% for the first six to 12 months, student should find a find a credit card with an annual percentage rate in the mid-teens, or about 16% to 17% or below, and to avoid altogether any credit card with an APR over 20%. - Consider rewards credit cards
If the student has control of his or her finances and pays off their card balance each month a rewards credit card is the best choice. This is a card which provides incentives as points when charging such student expenses as books, groceries, or gas. - Choose a card with a grace period
If you doubt you can make your payments on time you can choose a card with a grace period of least 20 days. - See if the Citi mtvU Platinum Select Visa Card for College Students is for you
Among the credit cards that experts recommend for college kids, the Citi mtvU Platinum Select Visa Card for College Students occupies the top spot on many lists. Experts highlight the fact that the card offers points for students who pay their bill on time, as well as for earning a good GPA - If you can’t get the hang of responsible credit card use, don’t get a card.
It is much worse for a student to enter the workforce with bad credit history than with no credit history at all. As the College Parents of America’s Boyle states, it is not necessary for young people to build a credit history while in college. He believes that employers are not expecting recent grads to have a credit history, with a college degree in itself helping to establish credit.