Student Credit Cards — What You Need to Know Before You Sign Up
Every college student can tell you that they have seen several offers for student credit cards on campus. These credit card offers are everywhere. They come in bags at the student book store, in the student newspaper, and of course, online. But a student credit card is usually hiding some traps for the unsuspecting college student. If you are thinking about college student credit cards, consider these factors before you sign up.
Most college student credit cards lure young people in with the promise that they are pre-approved for the card. This pre-approval process normally involves checking your credit and deciding based on a number of factors that you would be a good candidate for credit. If you have established good credit, the pre-approval process confirms that you are able and willing to pay back your debt on time and in full.
However, most college students do not have any credit. So the pre-approval process simply involves confirming that you are a student. This should make you suspicious. What it means is that the company is willing to gamble that you wont pay...