Do College Students Abuse Credit Cards?
Credit card companies have been running after college students with offers with the motive of being able to keep them for a long time if they will be able to get their business at a young age.
Unfortunately, this is affecting young people in a negative way financially. Here are some proof:
- 83% of students that had their own credit card in 2004 had spent $2,300 more than their credit limit.
- 32% of students had four or more credit cards in their possession.
- An average graduate student had six credit cards with them and in every seven, one has a debt of more than $15,000.
- 65% of teens in 2005 did not pass a financial literacy test according to Jump$tart Coalition.
Most young people nowadays carry a lot of debt and most of them probably apply for personal loans for people with poor credit just to pay some of it. Some college students do abuse credit cards.
We can say that credit cards cause financial cancer and unless you want to get bad credit loans with no credit check because you are buried in debt, then keep the following pointers in mind.
- Get a low credit limit. This is for the sake of not getting tempted in using money that is not yours. You may be blinded by a high credit limit and find yourself spending more than what you can pay for. To eliminate this possibility, maintain a low credit limit until you are ready.
- Send payments on time, all the time. This is becoming a cliche for most of us but the most important result for this is for you to form the habit of diligently paying debt on time.
- Own a maximum of two cards. This is for you to be able to keep track of your spending better. Avoid opening department store credit cards because they barely help in building your credit.
Tags: bad credit loans with no credit check, credit card abuse by college students, personal loans for people with poor credit