Applying for a credit card is an easy process. As a college student, you may feel overwhelmed by the abundance of credit card offers suddenly appearing in your mailbox. Although you may not be making lots of big purchases, card issuers want you as a client for an increased likelihood of retaining your business down the road. The Nebraska Attorney General offers these helpful hints about credit cards:
- Not all credit cards are equal. Shop around for the best terms.
- Limit the number of credit cards you have. The more you have, the more likely you are to spend.
- Read the cardholder agreement and understand the terms.
- Pay your credit card bill in full and on time every month to avoid interest charges.
Students can prevent pre–approved credit card offers from being mailed to them by opting out at http://optoutprescreen.com.
Make sure you know the interest rate and look for the lowest rate you can get. Many companies offer good deals for college students just starting out. If you can´t figure out which offer is best for you, ask your parents, or a trusted person with a good credit history for advice. Chances are you can´t go wrong with a well-known and respected company. Remember to carefully examine the fine print of credit card offers.
The federal Credit Card Accountability, Responsibility, and Disclosure (CARD) Act bans on-campus gift marketing of credit cards to students. No credit card issuer may offer "any tangible item" to a student of any age as an incentive to apply for a credit card, either on campus or at a university-sponsored event.