Are you a student and want to have a credit card? Do not worry because the student credit cards are offered for students who are over 21 years old. If you are over 21 years old, you can get it. This post, we will introduce people about some advantages of the student credit cards.
In the previous post, Info Credit Free introduces people to the Swift Code State Street Corp in the US, to get more information people can read the article List of all Swift Code State Street Corp for people to transfer money. Now, let find knowledge about student credit cards in the post today.
STUDENT CREDIT CARDS
Just like a lot of article posts such as easy loans for people have bad credit, credit bureau contact information, unsecured loans for people with bad credit…, this post about student credit cards also includes some main parts.
1. When can people get student credit cards?
When a student can get a credit card? Able, yes – if you are over 21. Time has changed. Previously, if you were an 18-year-old college student, you would walk around the campus and you would see a credit card information sheet for students with two or three people holding it and giving out free T-shirts, hats, coupons and more to attract everyone’s attention – and, hey, do you want to register for a credit card?
You will, because that sounds like a good idea even though you don’t have a job, but, hey you worked all summer, so is that true? Or maybe you had a part-time job at the dorm store.
So college students, many of them are freshmen, have signed up for credit cards without really thinking about it, and soon, it becomes popular not only with student debt but also also credit card debt – and a lot.
2. Some types of student credit cards
2.1. Apply directly for a student credit card
If you have a job, even a part-time job, you can apply for a credit card and depending on the issuer, you may be granted. Just help yourself and only apply if you feel you will have this income for a long time. After all, there is a reason for the existence of the CARD Act.
If you have a credit card, but you don’t have a stable income and you use that credit card, you’ll easily get yourself into financial trouble.
Now, if you are denied your first choice card, you may want to consider signing up for a secure credit card. It can be a great way to build credit, but they require you to deposit cash – and if you are a college student, extra cash may be missing.
2.1. Ask a parent to co-sign a student credit card for you
You and your parents really want to think about this for a while. Especially your parents. If everything goes south because you have spent more on the card that you can pay back, then your co-signer will have many difficulties as you have to pay the bill.
If they don’t have deep pockets, you could get them in a financial mess, which is presumably the last thing you want to do. Again, it really comes down to how responsible you are with money.
2.3. Ask your parents to make you an authorized user of one of their cards
This is probably the best strategy – again, as long as you are responsible for the money. Like, instead of registering yourself, you can use your parents’ credit card. Your parents may feel less pressure in this scenario than they can sign a credit card.
This is their card and they can track every purchase you buy. It helps people – it’s your training wheel version for credit cards. You can find out how to use your credit card and get benefits from your parents’ credit score. Assuming they have good credit scores, it can also help you.
It doesn’t necessarily make it much easier to get your credit card, because future lenders realize that people using an authorized credit card (in this case) aren’t really responsible for paying. bill. But becoming an authorized user will often benefit your credit score, especially until this point, your credit score and history are basically non-existent.
3. Some information about student credit cards
3.1. When do people need to pay for fees of student credit cards?
Obviously, your credit card statement has a due date and you want to be paid in advance. But, still possible, you may need to drill it in your head. Pay before the due date, usually 21 to 25 days after the end of your credit card statement. If you pay before the due date, it is an interest-free loan that you have been provided.
If you miss that due date, you will have to pay interest and it could be a late fee. And while that may seem like math that even a 5-year-old can find out, many adults who are short of money and harassed have missed credit card payment deadlines. It’s easy to imagine a busy college student forgetting credit card payment deadlines.
3.2. How credit card bureaus come up with your credit score
You know that paying bills on time is important, and you probably won’t be surprised to know that it’s the most important factor in how your credit score is scored. But it’s not the only factor. Credit utilization ratio, which was mentioned earlier, is the second most important factor.
You can pay everything on time but have credit cards that are essentially maxed out, and your credit score will be dinged. And the length of your credit history is the third most important factor, which is why many personal finance experts suggest getting a credit card in college, so you don’t leave college, and, say, want to buy a car but are hindered in getting a loan because you don’t have any sort of credit history.
There are other factors involved – like if you’ve applied to a slew of credit card and loan offers, the various inquiries for credit, even if you don’t take all of them, can lower your score – but the factors above are the most significant to be aware of.
3.3. Be aware of the fees that sometimes come with credit cards
Annual fee is one of the main concerns. You really want to be careful about getting credit cards with an annual fee. Some credit cards are large, up to $ 300, $ 400 or even more.
A consumer can justify spending that money on an annual fee to use their credit card if they use their credit card in a way that allows them to take advantage of the privileges and facilities that come with credit card rewards (such as airline miles collection).
But if you’re a college student with a part-time job or a full-time, unpaid job, you just don’t need a credit card with an annual fee. (Fortunately, as noted, most credit cards designed for college students are free every year.) And then, of course, student credit cards or not, if you pay. late, or you spend beyond your limits, you may find charges piling up on what you owe.
3.4. Cash advances should be avoided
Credit cards provide cash advances, where you can go to ATM and withdraw cold cash. But interest payments for them are much higher than the amount you buy – and interest starts immediately instead of after a grace period, which is typical of standard fees.
You may be in an emergency – your car is broken somewhere and you need money to pull a car or a mechanic. Sometimes it is rare, yes, it is worth it to receive the advance, and you will be glad they exist. But as a general rule, far, far away.
This post is about student credit cards. We provide this information to offer you with some of the necessary information that is useful for getting the best student cards. Also if you are using credit cards and would like to know how to borrow money, please refer to the Best loan companies for poor credit link we just provided in the previous article.
In addition, we provide a variety of information on insurance or the Swift Code of each bank in the US in many previous articles. If you are living in the US and want to know about insurance or code, people should read some articles like such as Swift Code JPMorgan Chase & Co, health insurance companies, car insurance quotes online…
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