Make Your Teen Immune to Student Credit Card Debt
Tips For Avoiding Student Credit Card Debt
Why isn't student credit card debt as well-addressed as it should be? When a student heads off for college they have to fill out dozens of forms and send a lot of documentation to the college Registrar’s office. One often-required item is proof of certain immunizations, such as hepatitis and tetanus. So much emphasis is put on these on dotting the i's and crossing the t's, but one critical area is missed -- immunity to student credit card debt.
No Degree Required
You don’t need a degree to be immune to student credit card debt, but you do need a certain type of education. When I left for college, I was in for a shock. For the first month of school, nearly every time I went to dinner or entered the student bookstore, I was bombarded with student credit card offers. And guess what?
I ended up signing up for most of the student credit card offers I encountered. My roommate, on the other hand, turned down the often-aggressive attempts to sign up for student credit cards.
Why the Difference?
It took some time for me to realize why my roommate was immune to student credit card debt. For one thing, she was not a first-generation college student like I was. Her parents had degrees from prestigious institutions. She also already had her own joint credit card with her parents, so she didn’t need any new student credit cards. It takes a lifetime to instill important values about money and material possessions into young children.
What’s a Concerned Parent to Do?
Instruct your teen on sensible spending habits. As long as you have good credit yourself, get your teenager his or her own credit card under your account. This allows them to have the flexibility that credit cards can provide, but helps them from spending willy-nilly and acquiring student credit card debt.
Make sure you draw boundaries and let your teen know when it’s okay to use the credit card. Your teens should also inform you any time they use the credit card. With the wide availability of the Internet, this isn’t a difficult request. Just ask them to send you a quick email to let you know what charges to expect on your statement.
Also, don't forget, you need to make sure you clearly outline who will pay for what. These tips should really help your teen from experiencing student credit card debt.