Educating Your Teens on the Importance of Avoiding Unnecessary Credit Card and Loan Debt

April 30th, 2015 by admin

In today’s economy, more and more parents are aware of the burden that debt can place on a person. Unfortunately, credit card companies are now targeting teens and college students and luring young adults into the credit card trap. It is imporant that teens understand how much debt can impact them later in life and parents will do well to begin to educate their teens about financial responsibility early.

Student Loan Debt

It can be very tempting to take a great deal of student loan debt while in school. The money from student loans can be used for many things other than tuition and books. Since it rarely goes directly to the school, young adult students can be tempted to use student loan money for things like laptops, electronics and other things they may or may not need as part of their educational venture.

However, students loans are exactly that – loans. And they will need to be paid back eventually. Although the qualifications to get a student loan can be quite easy, in today’s job market, the ability to make large student loan payments is not guaranteed. Many new college graduates are finding it difficult to find employment and are now faced with payments for their student loans that they cannot make. 

Inability to pay student loans not only effects credit negatively, but can be a burden that follows a student for decades to come. Unlike other debts, student loans cannot be eliminated, even in bankruptcy. Before taking on student loan debt, young people should think carefully about the consequences and their potential ability to pay it back.

Credit Card Debt

One of the largest criticisms of the credit card industry is their tendency to target young adults attending college. Often, young adults do not have much experience with managing their money and do not see credit card debt as real money they have to pay back. This can be very dangerous financially.

Negative credit from irresponsible credit card debt when they were a teen can make it hard for your son or daughter to get a job. Not only that, insurance companies and many other businesses now frequently use credit reports as a method of determining whether or not to accept a person’s business and what rates to charge them for services.

Credit card and student loan debt is a serious responsibility for any young person. It is important to educate your teens about the possible consequences of taking on unnecessary debt, no matter how old they are in life. High amounts of debt can be detrimental to future accomplishments and be a problem for years to come.

Julia Myers is a writer who enjoys sharing her knowledge and advice with readers.  For more on debt, Getting Your Financial Ducks in a Row offers readers information on helping your children escape loan debt.

Credit Card Consolidation Students Overview

April 27th, 2015 by admin

What are the most common challenges for a student loan?

In reality the student has used the loan, taking college entrance may face many challenges. At first it may be difficult to pay monthly installments on time. In addition, if a student does not pay, the interest can be collected and the number of credit card debt or loans incurred could grow unreasonable proportions.

As a result, students may feel pressure on credit cards or loans that have accumulated large balances. If so, you might consider choosing a credit card consolidation program.

Debt consolidation can create unwanted stress and tension during student life. Therefore, students must use the number of credit card debt companies trading and banking.

Students can also go on loan to consolidate debt with the authorization of a financial institution like a bank, credit card organizations and even universities. In this spirit, we can be sure that the studies continue as planned with only well-written documents.

What would be the best strategy?

Loan consolidation credit card can be used to reduce monthly bills and save a lot of money in the long term, further investigation. Given that fact, having a debt consolidation loan, a student may also be able to reduce debt faster.

What will your backup plan?

If a student believes he / she is in serious debt problems, then it is logical to ask intermediaries for the debt negotiation debt settlement with creditors on debt consolidation.

In fact, the professional debt in enhancing students’ education records to check the availability of consolidating credit card for students. In addition, professional consultants should also review the eligibility of the loan program debt consolidation and debt consolidation loan. This allows minimizing the possibility of having ignorant decisions that can lead to undesirable results.

In addition, debt consolidation, financing or cash can also be used by students in some situations, a heavy financial document. Some consolidators can help you get more bill consolidation loans too.

What is the best choice for you?

If possible, you can scroll all the credit cards and loans into one single regulation and payment. This will translate into one loan with low interest rates and a guaranteed long-term repayment plan that will be paid on time.

What would be your main task?

Students who plan to use credit card consolidation must devote his time to complete their studies successfully and then take a good job as soon as possible. You should at least try to land on a part-time work, so the monthly payment can be met at the appointed time. This, therefore, reduces stress and helps you focus on the development of his career, at the same time.

Creditcarddebtyes is a Non-profit organization. Our mission is to help people by providing the best financial education and credit card debt consolidation services. We also provide services such as credit card debt relief and help the nationwide people to get rid of their credit card debt.

Smart Credit Card Use for College Students

April 24th, 2015 by admin

Before any student is offered a credit card; it should come with valuable lessons to preserve their credit rating and financial stability. Unfortunately, students are one of the target demographics of credit card companies, as they are inexperienced and many students will max out their card before they receive their first bill!

How can you ensure that your son or daughter uses their card responsibly before jetting off to university or college? First, ensure they realize the true cost of owning and using a credit card. From annual fees to interest rates, numbers mean everything.

Students are often subject to higher interest rates as many have not established a credit history thus have lower credit scores. For this reason, maintaining a balance should be avoided, especially while using a new card. If a balance has been created, it is essential to stop using the card and take measures such as picking up a part time job or a obtaining a personal loan from family members to pay off the balance. The less debt that the student is carrying, the higher their credit score will be – this is the formula for creating a high credit score from the very beginning.

How do you ensure that your credit score is increased? Many students are unaware that something as simple as maintaining minimum monthly payments or holding a cell phone with a monthly bill can be essential in increasing your credit score. Parents can co-sign for loans and other credit advances and ensure that payments are made to create an adequate credit history.

After the account has been open for an extended period of time, it is time to contact the credit card company and ask for a lower interest rate. In as little as a year, if good credit history has been maintained – many companies will offer to lower the interest rate for the card holder.

It is crucial that students realize this is not free money; this money will have to be repaid with interest. Credit cards are helpful for dealing with short term financial shortfalls, but should be paid within the grace period to avoid additional interest charges. With most credit card companies, the grace period extends from twenty to twenty five days after the purchase has been charged to the card, therefore, paying for the item within this period can save money on interest charges that would accumulate to the card.

Find out more about credit card debt: Free Credit Card Debt

New Credit Card Rules for Young Adults

April 21st, 2015 by admin

A report released by Sallie Mae reveals that an average student carries a burden of more than $3000 in credit card debt. At the projected rate, this debt could exceed $8000 pretty soon. The same study also revealed that most students had at least one card. Credit cards have become very common with students. And if students are also charged at the same rate, the debt mount up and results in credit card debt. This leads to a bad credit history and poor credit score. Furthermore, the student is plunged in credit card debt that is very hard to manage or overcome.

If you graduate with credit card debt, your plans may go downhill. Fortunately, the Credit Card Accountability Responsibility and Disclosure Act (CCARD Act) has been formulated to ensure that students have fewer financial obligations. This Act lays down specific guidelines to slow down the rate of credit card debt:

No Telephone Credit Card Approval

The new rules state that a credit card cannot be issued to anyone under 21 who hasn’t submitted a written application. This implies the restriction of telephone credit card approvals for teenagers by credit card issuers.

Applicant Must Have Income or Cosigner

Any applicant under 21 must have a cosigner. The cosigner should be over 21 and can be a parent, relative, legal guardian or anyone else. The cosigner is jointly liable for charges made on the account. The cosigning can be bypassed if the applicant proves that he has an income. The income should be enough to repay the charges. In other words, the applicant’s income should prove his ability to repay the debts.

Campus Credit Card Marketing

College students are generally lured by credit card companies with free t-shirts and other apparels, accessories and other attractive offers. The new rules have made this practice illegal. Credit card issuers can no longer lure students by giving clothes or other things in exchange for credit card applications. As a matter of fact, they are prohibited from offering any tangible item to opt credit cards. This includes credit card marketing within the campus, near the campus or even at events that are related to, or sponsored by colleges. Unless agreed by the applicant himself/ herself, credit card companies cannot send any pre-approved credit card offers.

But remember, these restrictions and guidelines are meant to prevent young adults from falling prey to credit card debt. These credit card rules are aimed at bringing in a fair system of credit. And if you are a student looking for loans, it is essential that you know your rights. However, these regulations do not directly solve debt problems. Solving debt problems needs meticulous planning and expert advice. So always think twice before you opt for a credit card.

Credit debt solutions

Becoming Financially Independent With A Student Visa Credit Card

April 18th, 2015 by admin

You carry a full load just like your classmates. Unlike your classmates, however, you do not party the night away or sleep off the little migraines caused by exams. No matter how tired or weary you are, you have to trudge to a convenience store two blocks away, and clock in at least six hours of work. It doesn’t seem to matter how hard you work, though. You can still barely pay for school, and you are still saddled with student loans that only seem to balloon with every passing term.

Obviously, whoever said there are many more important things than money has never tried being a poor student, juggling work and classes and barely making ends meet. If you’re one, and you have to keep worrying about where money for emergencies will come from, why not get a student Visa credit card? Since their creation in 1950, credit cards have made purchasing and payment more convenient for the public. Student Visa credit cards give you the same power even if you’re a struggling student on a budget.

Introduction to Credit
Before you get a student Visa credit card, you should know the basics about credit itself. You need good credit when you get loans for homes or vehicles, look for a job, or more importantly, apply for a credit card. Your credit record is like your shadow: it follows you wherever you go. Before getting a student Visa credit card, be sure to take these steps, to help ensure you can maintain a clean credit record.

1. Study the credit card agreement.
There won’t be a quiz afterwards. Still, you should learn the key facts that are listed in the agreement. These include annual charges, finance charges, the grace period, and the APR, or annual percentage rate. It is advisable that you find a card with a lower APR, if you intend to maintain a balance on your credit card account.

2. Pay off your balance before the grace period ends.
Do this to avoid finance charges. Think of the grace period as a loan for a month. If you pay off the loan within a month, you won’t be charged interest.

3. Memorize your credit limit.
There is no excuse for not knowing your credit limit. If you exceed the credit limit and are unable to pay for it, you could face stiff penalties, fees, and the possibility of having your card frozen or your account canceled.

Choosing a Card for Credit University
Choosing a student Visa credit card is like choosing a college course. You should first gather information and then determine which one is best for you. Here are some popular cards that you could choose from.

Bank of America Student Visa Platinum: Benefits include no annual fee and no co-signer required.

Chase Platinum Student Visa Card with Flexible Rewards: Benefits include no annual fee, and 0% introductory APR.

Citi Driver’s Edge Visa Card: Benefits include no annual fee; rebate on purchases at gas stations, grocery stores and drugstores; and 1% rebate on everything else you purchase.

Wells Fargo College Visa Card: Benefits include no annual fee, low APR percentages, 24-hour customer service, and extra cards at no charge.

A student Visa credit card is not just a safety net in case of emergency. It is also an opportunity to prepare for future financial independence.

Read about high protein in urine and babysitting laws at the Knowledge Bin website.

Credit Cards for Students Important Tips

April 15th, 2015 by admin

Students should keep in mind that credit cards for students are not different from general credit cards. Financial agencies which issue credit cards for students do not hold, for any reason, extra sympathy towards the student community. This is why students must be more careful and responsible when they secure and use credit cards.

Students should have their individual monthly estimate of income and expenditure. It is wise for them to accept self-imposed restrictions of some kind. Magnitude of debt must not be more than ten percent of the final income of the students. They should believe that they secure loans using the credit cards for students.

Everyone knows that expense is restless. A part or major part of the expenditure remains within the knowledge of the individual student. On the other hand, students experience that they are bound to spend for reasons about which they are not already ready. Hence, they should learn to balance their income and expenditure intelligently.

As credit card is to borrow some money, reimbursement is obvious necessity. Students as borrower should be responsible regarding payment in due time. They should bear in mind that payment agreements on using credit cards for students must be honored.

Violation of payment agreement will go against the financial health of the students. Intelligent students study the credit limit mentioned in the statement. They try to remain just below the credit limit provided by the financial institutions who have issued the credit cards for students. This kind of students creates their own credit limit which is less than the offered one.

Violation of payment agreement means more financial pressure, because more amounts in the form of fines, fees and penalties are to be paid. Credit cards for students are also cancelled because of failure in honoring the agreement. One important thing in this respect is the date of payment or due date of payment. Student borrower can pay the credit amount after the due date of payment. This becomes late payment which demands penalties, extra charges etc.

Students having credit cards, sometimes, change their address. They should be ready to inform the credit cards issuing authority about the change. They should let the authority note their new address of contact, unless which there are chances for late payment.

Spencer Scott is author of No Credit Check Credit Cards.For more information about no credit check credit cards, credit cards for the unemployed visit

How to find best credit card when you are a student

April 12th, 2015 by admin

Students can benefit a lot from credit cards but they usually don’t know it because they find the bills intimidating. Still, a lot of people are questioning the idea of students having their own line of credit. There are lots of different credit cards out there and it’s just a matter of getting the right one for students.

There are also several reasons on why students should have their own card.

1. For emergency purposes – Most students are living away from their parents and there is no denying the fact that financial shortages can happen anytime. If a student is in need of textbooks or anything in school, they can easily use their card for it and pay for it later.

2. It teaches students to become financial responsible – Giving them their own card will give them an idea of what it’s like to handle their finances in the future. It will help them prepare for the future and it will let them experience both the negative and positive things that credit cards can bring.

3. To build their own credit score – Giving them their own credit at an early point will enable them to build their own credit score and credit history if they take care of it properly. Students however, should not forget to order credit report regularly to keep track of everything in the report. Also, it is important for one to know that they have to pay their bills on time to avoid getting negative marks on their credit report.

Here are a few tips on how to choose the right credit card

1. Choose a card with a low credit limit – Even though it is not advisable for students to exceed their credit limit, getting a credit card with a low limit will help you manage your bills easier, especially as a student. This will also minimize future debts (if you were to accumulate any) because the limit is low. Also, you will be less tempted to think that your credit card limit is infinite.

2. Make sure you read the terms and conditions of every card that is being offered to you – This will let you know with what you’re going to deal in the future. Also, a lot of people don’t read the terms and conditions and in the end they end up having financial problems.

3. Do not apply for multiple credit cards at once – You may think that your chance of getting your own card is higher if you apply to a lot but you’re just actually putting yourself into more trouble. Apply for a single card and stick to that. The fewer cards you have, the less temptation to spend.

4. Do some research – Researching online or even going to your local bank to inquire about the type of cards that they’re offering will help you learn more about each one. If you plan on going to the local bank, you can talk to the person who will assist you and tell them exactly what you’re looking for. They might have the right card for you or if they don’t, you can just go to different banks and inquire once again.

A lot of people may not agree with idea of giving students their own line of credit but doing so still has its perks. Follow these tips and make sure you choose a card that best suits you to make it easier to manage.

Joy is an active blogger who is fond of sharing interesting finance management tips to encourage people to manage their personal finances. More specifically, she advocates that people should check 3 credit scores regularly. Follow Joy and discover the best credit cards are for students with bad rating.

Credit Cards for Students Basics about Use of Credit Cards

April 9th, 2015 by admin

Sense of responsibility is a valuable quality with which the students should learn to be armed with from early life. When a student secures a credit card and begins to use the credit card, it is time for them to take care of the same card in its use, yes, responsibly. Financial institutions issue credit card to the students if they satisfy a few formalities. The credit cards that are issued to the students have no difference with the same cards which are issued to others. Students should bear in mind that the banking agencies do not offer them any concession for their student identity and that they would never get any special favor, although they are in possession of credit cards for students.

Students should learn to be organized in managing his finance. He should assess what amount of funding right then he has and how much he can spend in one month. During assessment he must include compulsory expenditure and also expenditure which are not compulsory. He will do better if he can impose restrictions on himself when it is necessary for him to spend. Does he know, with a credit card in possession, what the ration between income and debt ideally should be? One’s debt, it is advised by the finance experts, should not be more than one-tenth of one’s total income. Students should remember that the same is true for credit cards for students.

Students who have credit cards for students should learn how aptly balance between earning and spending must be maintained. Finance, by nature, loves to enjoy motion. It is common among humans that their consciousness is sometimes betrayed or covered when they have inflated purse. They do not keep in mind what materials they must not purchase for their financial health or where they must stop while spending.

Credit card is used for borrowing. This is to mean that task of repayment is a part of it. Students holding credit cards for students should remember that they must be responsible in honoring the repayment schedule. If they violate repayment program, they will be charged with fines and penalties. Next, they should not cross the credit limit which the finance agency has stated them to note when credit cards were issued to them. Students should set their individual credit limit at lower point than what has been mentioned by the credit cards issuing authority. Students may change their address, but the credit cards issuing office must be immediately informed of the new address.

Spencer Scott is author of No Credit Check Credit Cards.For more information about Prepaid Credit Cards, Credit cards for bad credit visit

Avoiding Credit Card Debt in College

March 9th, 2015 by admin

These days, college students are accumulating larger credit card balances and graduating with an increase of debt. While cost of tuition and fees tend to be increasing at schools, students are pulling out the plastic to pay for more purchases. Unfortunately, many of the purchases created using credit cards are for living beyond their indicates. Students are building large credit card debts with regard to consumer goods and developing poor money management skills for future years.

Credit Cards in College

Throughout the past 10 years, credit card companies have targeted college students. Based on the article, ‘Why Do Credit Card Companies Target University students? ‘ written by Liz Roberts, credit card companies purchased many giveaways, including ‘CDs, mugs, and T-shirts. ‘ Credit card issuers try to gain loyalty with consumers while in school but additionally look for considerable profits from students making past due payments or only paying the monthly minimum.

Based on, the average student today is putting ‘$2,200 on credit cards for educational expenses.’ This includes tuition, books, and general fees associated with higher education. This 2009 statistic is ‘more than double the $942 spent in 2004.’

Sallie Mae also found that many students are utilizing their credit cards for expenses associated with ‘living past their means. ‘ This is contributing to the typical undergraduate student accruing ‘$4, 100 in credit greeting card debt, up from $2, 900 in 2004. inch Students are buying flat screen televisions, clothes, and expensive phones with money they don’t have. Carrying a balance for years results in students paying significantly more and developing bad habits.

Developing Bad Money Routines

Poor money management skills in college can translate to fiscal problems for a long time. Many college students will graduate with tens of thousands indebted, leading some to believe that adding only some more thousand on credit cards is ‘not a large deal. ‘ The problem associated with credit greeting card debt, aside from interest rates often considerably a lot more than student loans, is the habit of spending money that doesn’t exist.

While in school, students are forced to get loans to finance their education. These loans are thought an ‘investment’ in their future. Accruing credit card debt, as a result of living ‘beyond a person’s means, ‘ was established when the college college student had no money. After securing a job and receiving a real paycheck, this habitual spending can increase. If students were previously purchasing unaffordable items outside their budget without any money, having a little money in their pocket is only going to perpetuate bad fiscal habits.

Establishing Good Fiscal Obligation

Students must establish strong fiscal responsibility while within college to develop good money management habits for future years. Using credit cards wisely builds a history of good credit which will benefit large loans, such as homes and car purchases. Unfortunately, many students abuse this ‘plastic cash’ believing which charging up giant bills for electronics and clothes is ‘necessary’ when in really is ‘excessivity. ‘

Fiscal responsibility is very important, just like brushing teeth to prevent cavities or looking both ways before crossing the road. Without proper guidance, ignoring this critical ‘life skill’ will lead many university students to insurmountable debt. Students, parents, and universities must promote good money management habits to ensure the college experience prepares young minds for the near future, instead of bankrupting it.

Kindly visit our College Credit Card Debt blog to know more about credit card debt. Click Here to Enter.

Age Requirements on Credit Cards

March 6th, 2015 by admin

The granting of credit to anyone is giving a loan from a person or institution to a person. When credit card companies give a credit card to a student attending a college or university, they most likely are increasing the amount of debt the student is incurring. The reasons for this increased debt are numerous, the student is incurring student loans, the students needs spending money for everyday items, the student is not paying attention to what they are buying. Whatever the reason for the increased debt, by the time the student graduates, the amount of debt is so high, it will take years before the student can pay the debt off.

A common practice in the early 2000′s was for credit card companies to give gifts, like clothes or food, to college students just to apply for a credit card. The cards were given, the companies thinking the students would pay the cards off after graduation. A common treatment of the credit cards bu the students, was increased spending. They now had the ability to buy recreational things that they could not have before. Since they were in school full time, their ability to pay for the items was limited. They ran up credit card balances, often only paying the minimum payment required. This minimum was often lower than the interest charged on the account, so the outstanding account balance would grow. The result would be balances that were over the approved credit limit, which caused more fees.

With the financial meltdown during 2008 many people wanted financial reform. In 2009 Congress passed the Credit Card Accountability, Responsibility and Disclosure Act. This act imposed laws that credit card companies must follow.

One such result of this act was that people under the age of 21 can not get a credit card unless one of two requirements are met. One is that they have a co-signer on the account. The second is that they prove full time employment. The co-signer requirement is so that someone else would monitor the students spending and payment patterns. If the student does not pay off the credit card balance then the co-signer would be required to. Often the co-signer would be the parents of the students. A credit card for a college student gives them some financial freedom from their parents.

Parents like giving their children credit cards for the same reason. The student does not need to call home for different things when a credit card can be used to buy the items needed.

If someone is under 21 and wants a credit card but is not a student and a co-signer is not available another option is open to them. They have to prove they have full time employment and that they have been working full time for over 18 months.

The purpose for these two requirements is to protect both the student and the credit card company. The student will have someone who monitors their activity and can call them in when things are out of line. The credit card company will have someone else to fall back on if the student does not make payment on the account. If no co-signer is available the company wants to know the applicant has money to pay the balance on a monthly basis.

Brian has worked in the Finance field for a number of years.  He has helped many clients get credit cards and or improve their credit.  To find out more information on  Credit Cards read additional pages on this topic.