Weighing The Pros And Cons Of A Student Credit Card For Your Son Or Daughter
As you as a parent look at your son or daughter as they may be preparing to go off to college in the near future, or perhaps returning to college after being there for a year or two, you probably still see that 5 year old who skinned their knee or that first grader at his first time at bat in the school baseball team. But face it, they are getting older, and you still have the privilege and responsibility to teach them and guide them.
But have you talked with them about credit? Sure, you've talked with them about school, about their extra curricular activities, about smoking, about drinking, about sex, but have you also talked with them about credit, or is the extent of their credit knowledge what they have picked up on their own, or perhaps from hearing you and your spouse argue about it?
You should seriously consider getting them a student credit card. No, really, this is for both your benefit as well as theirs. Let's take a look at how that is a benefit for both sides of the fence.
Student Credit Card For Your Benefit
If your son or daughter has already spent at least a semester at college away from home, you probably already can see how a student credit card would be a benefit to you. If your child has not yet gone off to college, you will quickly realize how a student credit card can benefit you.
What I am referring to is the call home to send more money. These types of calls are almost weekly events for most students. There is the deposit for the lab fee that they didn't know about, there is the additional study guide for $50 at the college bookstore that would help a great deal with that tough course, there is the parking ticket they got from the campus police, and the list goes on forever.
If they had a student credit card for these items, it would serve multiple purposes to help you. They would not be calling home constantly singing the same song to send more money. You would have a written record of what they are charging to the credit card, which can help both you and them track their expenses, perhaps opening the door for you to work with them to live within a defined budget, which is knowledge they will use for the rest of their lives.
Student Credit Card For Their Benefit
Particularly if this is the first time your child is living away from home, this can be a real eye opener for them. They will quickly discover that a student credit card does not represent "free money" but it is money that is "rented", and the interest can grow quickly if the bill is not paid. The student will discover that they now have a responsibility to pay the bill on time and to not overspend. And while you hope this part will not happen, they will discover the feelings they get when they receive that nasty email or phone call from the credit card collections department about that past due payment, and that these people are not kidding.
If they can learn the concept of using a student credit card without overspending and to be conscious to make their payments on time, or even better, to not carry a balance at all, that is the best lesson you could have helped them learn. Credit is both a responsibility as well as a privilege, and if they treat credit with respect, they will get respect out of it.
One of their rewards will be to be establishing their credit while they are in college, and when they graduate, they will have a firmly established credit score, which will help them focus their energies elsewhere after they graduate, instead of trying to establish their credit history at that point.
For more insights and additional information about a Student Credit Card please visit our web site at http://www.student-credit-card-resources.com
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