Protect yourself from identity theft when applying for a student credit card
Don't give your personal information out to just anyone claiming to be a respresentative for a student credit card company. Because credit card applications require you to fill in your social security number, fraudulent credit card applications can lead to identity theft. Always research a student credit card before giving them your information to make sure they're legit.
Read the fine print on your student credit card contract
Read the fine print before signing up for a student credit card. Look at the disclosures section to find out what the interest rate will be and if the credit card company will be at liberty to adjust it periodically. Also find out how the interest is calculated.
Look at what other fees are associated with the card. If the card offers any introductory interest rates, find out what the interest rate will be when the introductory rate expires and when that will take place.
Student credit cards can offer great deals, but you need to be able to recognize a good thing when you see it and avoid the bad.
Learn how to read your student credit card statement
Use your student credit card to learn how credit works and how to successfully manage a credit card account. For at least the first month that you use your credit card, keep the reciepts for all purchases made with the card so you can compare them against the bill. This will help you know if you are getting charged for any extras. If you are carrying a balance from month to month, and only paying the minimum monthly payment, look at how that is affecting how much you owe overall. If you aren't paying down the principal at all, increase your monthly payments. If you have taken out a cash advance, look at the fees associated with that and decide if it was worth it. Most importantly, pay attention to the payment due date. Ideally, you should pay the entire amount due before the due date each month. This will get you on the road to an excellent credit score that will benefit you for years to come.
Pay your student credit card bill on time
Don't be late paying your student credit card bill. Student credit cards carry all the responsibilities of any other credit card, meaning that late payments will lower your credit score and affect your ability to get a low interest loan in the future. When you miss a student credit card payment, you will be charged a fee that accrues interest. If you continue to miss your payment deadlines, even minor purchases on your student credit card will turn into major financial burdens. If it would help you to pay your bill on time if your due date were changed, callyour student credit card customer service number and ask for a change.
Learn to use credit cards responsibly with a student credit card
Be picky about the student credit card you sign up for. If it's your first credit card, look for one that has a low limit--around $300-$500. This will help you not overcharge so your monthly bills will stay manageable.
As with any credit card, the best student credit card will have a low interest rate and no annual fees. Look around before applying for your student credit card so that you can make an educated decision.