Credit cards are available for college students and learners who need a credit card to help pay for study material or for more personal reasons during studying. It is important to note that students take care when applying for credit cards as many banks and financial institutes offer specials just around the same time that college begins trying to lure a learner into taking out a card with them. A student credit card, like any other types of card, is not free money so before signing on the dotted line consider these few terms that may be stated on a contract:
Annual Fee – This may be charged by a credit card company as a yearly membership fee and will vary greatly from one bank or financial institute to another, find out what they charge.
Finance Charge – Charged on the unpaid portion of your monthly bill, this is simply an interest charge and once again can vary from one company to another so look carefully at this rate.
Cash Advance Fee – Do not take cash advances. Interest rates are usually sky high and cash advance fees are steep.
Late Payment Fee – This speaks for itself, if you are late with your monthly credit card payments expect to pay fees that may also result in you having to pay higher interest rates.
When you apply for a college student credit card remember that you are the one going to be held responsible for the monthly repayments. Read the applications very carefully before signing, pay particular attention to the fine print. Make sure you are aware of what will happen if you skip a payment on your credit card bill or if you are late with a payment. Compare the different credit card options from one bank to another to make sure you are getting the lowest possible interest rates on the card you apply for.
If you are studying and looking for a financial solution to meet your needs then also consider a debit card instead. A debit card for college students allows you to use the card just about anywhere without you running the risk of spending more money than you actually have. A debit card is used in the same way as a credit card except the money is taken from a savings or a cheque account. All in all it is just a matter of using your common sense before signing for any particular solution for you so take your time on this and you will find the correct types of credit or debit cards to suit you as a college student.