Student Credit Cards Are A Necessary Evil

Student Credit Cards Are A Necessary Evil

It is a lot to expect a college student to understand the pitfalls of abusing credit cards without them having any direct experience with it themselves.  When a child enters college they are still usually naive in the financial ways of the world because, as parents, we make sure that they get what they need.  Sure many children, by the time they reach college, have already had a job because they needed to keep their cars on the road.  That is the best way to teach a young person responsibility, make them pay for something they really want.  But credit cards are a whole different animal.  Here is a plan that can make sure that your children have a credit card for college, they learn that abusing it can cause problems, and they are not financially scarred when they leave college for the real world.

Get your child a credit card for college and make sure the limit does not exceed a few hundred dollars.  You need to do this because you are going to be the one paying the bill and you want to make sure it does not get out of hand.  I know that many of you are thinking that "there is no way I am getting that kid a credit card!"  Making your child get a job to keep their car on the road is one thing, car loans and car insurance are not two things that your child can spend on foolishly nor do they want to.  A credit card is something a child will need to have experience in before they get into the real world and if you leave them to try and deal with their first credit card on their own they will more than likely turn it into a several thousand dollar cloud over their heads for many years after college.  Unless you enjoy seeing your child struggle with something that could have been avoided then you should be the one monitoring the credit card usage and paying the bill.  Consider it part of what they learn at college.  If they maximize the limit the first day and they do not have the card to use until you decide to pay it down then they have learned.  Sometimes being a parent means knowing your child's potential pitfalls and helping them avoid those pitfalls if at all possible.

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