If you’re just starting out on your own, you’re probably thinking about getting a credit card. This can be a wise decision if you manage it right. It is almost impossible to get along in today’s world without a credit card. As a parent you may want your son or daughter to have credit card for emergencies when they go away to college. Use this student credit cards overview to learn the basics.

Benefits of a Student Credit Card

A student card is the best first credit card for a young person to have. There are many benefits to having a student credit card such as:

• You need little or no credit to qualify.
• Banks give students low rates.
• It helps build your credit.
• It offers peace of mind for emergencies.
• It helps you learn to manage your money.

According to the Federal Reserve, Americans average $7,000 in debt apiece. By using student credit cards early in life, you may be able to learn to manage your money and avoid this debt trap.

Things to Avoid

No student credit cards overview would be complete without covering what you need to avoid.

• Only use your student credit card for things you really need, not for pizza, beer and that new handbag you think you can’t live without.
• Avoid using your credit card to pay for tuition. This can really add up quickly. You’ll get a better interest rate on student loans.
• Don’t jump on the first offer you get. Hold out for the best credit card rate you can find.
• Only have one card. You don’t need more than one and having multiple cards will only mean you’ll have more debt.

Student Credit Cards Overview of What’s Available

According to CBS News, freshmen receive an average of eight credit card offers. This number increases to 18 by the time they graduate.

There are several student credit cards available. Discover, CitiBank, and Capital One all have cards tailored to students. Many cards offer you 0% APR for at least six month.

Rewards for students are also generous. You can get cash back when you make your payments on time plus cash back on purchases.

Start Your Credit History Wisely

When you are conducting your own student credit cards overview keep in mind the choices you make now will follow you for a very long time. A good credit history is a valuable asset to have in today’s economy. Choose and use your card wisely and it can be an investment in your future.