Credit card debt doesn’t shun anyone who doesn’t want to shun it. It treats everyone equally, whether that person is a seasoned professional or just a college student. As a result, credit card debt for college students is not uncommon. Because college credit cards have much lower credit limits, college credit card debt cannot rise to the level of other credit cards. However, college student credit card debt is a much bigger threat because many students are already in debt due to the loans they took out for their education. If they leave college with college student credit card debt, they will not only have to pay back their academic loans, but also pay back their college student credit card debt.
Since most college students are inexperienced in using credit cards, they can easily fall victim to what we call “college student credit card debt”. In fact, college student credit card debt is one of the reasons why credit card providers maintain low credit limits on college student credit cards. The solution to avoiding college student credit card debt is similar to the solution to avoiding any type of credit card debt. So the first thing to do to avoid college student credit card debt is to understand the concept that credit cards are not free money and that whatever you pay with your credit card must be repaid to the credit card provider when your credit card bill comes. So don’t treat credit cards and cash separately. Avoid overspending, for example, don’t buy something just because it’s on sale, the sale goes on and on and there are better deals every time; only buy those things you really need. One thing to do is to prepare your monthly budget and stick to it strictly. Never deviate from your budget. Another very important precaution to avoid credit card debt for college students is to avoid applying for a second credit card. Some students tend to apply for multiple credit cards simply because college credit cards have low credit limits. However, this is the perfect recipe for getting into college student credit card debt. This is how college student credit card debt accumulates. A single credit card is more than enough for any student.
The real meaning of a college student credit card is to be used as a training ground for learning more about credit cards. It should not be used as a tool for debt (college credit card debt).