6 tips for college students considering 1st credit card

Consumer advocates, college officials offer advice

By Martin Merzer

Here are six tips offered by consumer advocates and college administrators for students who are solicited by companies offering student credit cards:

1. Walk on by.  Be leery of on-campus or near-campus solicitations by credit card issuers and their representatives. There is no such thing as a free lunch, and in return for that "free" slice of pizza or sandwich, you might find yourself applying for a credit card you do not need and is not right for you.

2. Opt out.  Some colleges give your name, address and e-mail address to credit card issuers as part of marketing deals. If you are overwhelmed by credit card marketing offers, contact the federally mandated credit bureau solicitation "opt-out" list at (888) 5-OPT-OUT, or (888) 567-8688. Placing your name on this list will reduce the number of prescreened credit card offers you receive, but it will not eliminate all offers.

3. Lobby your school. Ask your school not to share student names and other personal information with credit card companies. Ask your student government to support this position.

Credit card videos
For more on this topic, check out this video: Credit card video: The basics Credit card video: New rules for credit cards on campus

4. Pay up, part one. Pay off your balances in full and on time every month. That way, you'll avoid interest charges and all sorts of other potential issues and problems. Paying just the monthly minimum payment amount could keep you in debt for years.

5. Pay up, part two. If you can't pay the full balance, make the largest possible payment every month. Make your payments as early as possible (at least seven to 10 days before it's due) to avoid late charges.

6. Other pesky issues. Watch for changing due dates -- credit card companies sometimes change the date with little notice, nudging some people into late charges. Call your card company and ask for a lower interest rate -- many companies would rather lower your rate than lose your business.

See related: Credit card issuers wear out welcome on campus

Published: December 8, 2008

	Three most recent Student credit cards, young credit stories: Students, credit cards and the new reform law: The fine print – Credit cards and college students: How new law changes marketing of, access to credit cards for young adults ... Credit card marketers drop out of college – Fall 2009 is card issuers' last unfettered chance to sign up students. Rather than give an all-out marketing blitz in its last chance, issuers pulling back ... College students love, hate new credit card law – College students across the country praise and condemn a new law that will restrict issuing credit cards to anyone under 21 beginning in February 2010 ...

	CreditCards.com's newsletter Did you like this story? Then sign up for CreditCards.com’s weekly e-newsletter for the latest news, advice, articles and tips. It's FREE. Once a week you will receive the top credit card industry news in your inbox. Sign up now!