Building Credit: Tips for students
It is important for students to build their credit wisely while in college. Credit cards become a little harder to obtain upon graduation until one can provide proof of income and financial stability.
Credit Card Insider is described by Jacob Lunduski, Director of Community Outreach for Credit Card Insider, as being “created with the goal to educate people to use credit cards to their advantage. This stems from learning how credit cards work and how to build credit.”
“As you may have seen, we only encourage responsible and disciplined credit card use,” Lunduski said. “If you follow our content, you should be able to avoid fees and credit card debt. We don’t encourage any attempts to manipulate credit scoring systems or constantly applying and canceling cards. We offer a ‘Learn’ section of our website that teaches you everything you need to know about credit cards and how to use them. Also, we have a large breakdown of each credit card and how to get the most value out of that card. We offer a safe way to connect to the card you want to apply online. There are many fraudulent sites and links out there. We want to make sure you get the card you want safely and securely.”
An “excellent” credit score is 760-850, a “very good” score is 700-759, a “good score” is 660-669, a “fair” score is 620-659, a “poor” score is 580-619 and a “very poor” score is 500-579.
“You should always strive to have the best credit possible,” Lunduski said. “You are legally entitled to one free credit report per year from each credit bureau at https://www.annualcreditreport.com/. The important aspect of this is to build good financial habits with credit cards. These include not exceeding the credit limit provided to you, paying your credit card in full and on-time every month and buying only what you can afford. Responsible credit card use will improve your credit report and credit scores over time.”
If credit cards are not used with discipline, however, the user is in danger of building bad credit.
Paying bills on time helps build credit. It will be especially necessary for graduating students, as they will also be required to pay back any student loans accumulated during a college education. It is very important to pay back student loans on time.
In today’s society, we use bank cards and credit cards more than cash. Students need to be aware of how to budget themselves wisely and protect themselves against fraud.
Upon graduation, if a student does not already have a job lined up, he or she will be searching for the right position. Financial security through good credit is very important, especially when applying for a job. Most companies may not hire someone if they have a low credit rating.
This is good information in a time when we shop in a cashless society, both in the stores and online. Though people may make credit mistakes, they are repairable. Paying attention to credit scores can help secure a stable financial future and safeguard against identity theft. Building Credit: Tips for students – The Houstonian