Avoid bad credit during College
College is expensive. While in college, students are often broke because of low paying jobs and because they try to use whatever they can for tuition. Some students have no job during school and try to live off of what they earned at their job over the summer. It's a tough 4 years.
What is really tough about being broke in college today is how easy it is for college kids to get credit. A broke college student can do a lot of damage with a piece of plastic. Even the most careful student can go overboard when given a credit card. It's so easy to pay for everything with a card, and it's also easy to feel like you can afford everything because you have a card. Overspending on a credit card can be detrimental to your credit.
Once they've created bad credit, they've created a whole mess for themself. Bad credit has many consequences. The worst is that it will make it near impossible to take out a loan which most people need in order to buy a house, buy a car, or start up their own business.
You need good credit in order to prosper in your life post-college. The first way you can prevent bad credit is to avoid credit cards. Credit cards should only be used as a quick way to pay, not as lent money. You should always pay off your entire balance every month, or else you will be paying a lot of money in interest.
College students often use cards to pay for the things they couldn't normally afford. Don't do this! It will only hurt your credit score in the long run because interest will pile up and you won't be able to pay it.
The other top way to stay away from bad credit is to always pay all your bills on time. This can also help mend poor credit. This includes everything from your cell phone to school tuition. Pay all utilities, bills, rent, everything on time! Even just one late payment can cause damage to your credit history.
If you don't have credit, this is another great way to build it. You don't need to have a credit card to build credit. Pay your bills on time and you're creating and excellent reputation which will help you get approved for loans in the future.
Stay on top of your finances and you can manage college and good credit. Don't let things get out of control and you can expect your credit history to stay on top.
What is really tough about being broke in college today is how easy it is for college kids to get credit. A broke college student can do a lot of damage with a piece of plastic. Even the most careful student can go overboard when given a credit card. It's so easy to pay for everything with a card, and it's also easy to feel like you can afford everything because you have a card. Overspending on a credit card can be detrimental to your credit.
Once they've created bad credit, they've created a whole mess for themself. Bad credit has many consequences. The worst is that it will make it near impossible to take out a loan which most people need in order to buy a house, buy a car, or start up their own business.
You need good credit in order to prosper in your life post-college. The first way you can prevent bad credit is to avoid credit cards. Credit cards should only be used as a quick way to pay, not as lent money. You should always pay off your entire balance every month, or else you will be paying a lot of money in interest.
College students often use cards to pay for the things they couldn't normally afford. Don't do this! It will only hurt your credit score in the long run because interest will pile up and you won't be able to pay it.
The other top way to stay away from bad credit is to always pay all your bills on time. This can also help mend poor credit. This includes everything from your cell phone to school tuition. Pay all utilities, bills, rent, everything on time! Even just one late payment can cause damage to your credit history.
If you don't have credit, this is another great way to build it. You don't need to have a credit card to build credit. Pay your bills on time and you're creating and excellent reputation which will help you get approved for loans in the future.
Stay on top of your finances and you can manage college and good credit. Don't let things get out of control and you can expect your credit history to stay on top.
About the Author:
Did you graduate from college only to find a pile of student loans? Find out more about student loan consolidation services and government student loans. Don't let your student loans overwhelm your life.
posted by Credit Counseling at
2:13 PM
0 Comments:
Post a Comment
Subscribe to Post Comments [Atom]
<< Home