Which Student Credit Card is Best?
Helping Your Children Pick the Best Student Credit Card
It's only natural to want your child to succeed in life and that means helping them make the right decisions. choosing the best student credit card is one of the important decisions you can help them with. But how do you tell which student credit card is best for your child? Here are some guidelines to follow.
Low Credit Limits
Most student credit cards offer reasonably-low spending limits. However, if you co-sign for your child's student credit card he or she may rack up quite a bit of debt and you'll be partially (or totally) responsible for it.
If you co-sign for your child's student credit card, make sure the credit limit stays within reason. No student needs a credit card with a limit of more than $1,000.
Reasonable Fees
Some credit card companies like to tack on huge fees. Make sure any student credit card your child applies for has reasonable credit card fees. An annual fee might be okay if there's a credit history issue, but a fee of more than $29 shouldn't be considered unless the student has already damaged his or her credit.
Low Interest
Say goodbye to the days when students had to pay 20 percent interest or more for a student credit card. Your student should be able to find a student credit card with an interest rate of well below 20 percent. It may mean shopping around, but the time is well spent.
A Generous Grace Period
Many parents assume that all student credit cards have a grace period of at least 20 days. That's just not the case. Some of today's credit cards aren't offering a grace period at all. Make sure your child's student credit card isn't one of them.
By keeping the above tips in mind, you shouldn't have any problem finding a great student credit card for your child to grow with.