Rise in students credit card debt

Now a days the ratio of credit card debts in students is increasing day by day as every students use 3- 4 credit cards for their minimal needs. According to a survey it has been seen that most of students are facing finance changes as they are not able to pay monthly payments on time. The median amount for credit card debts has increased to 3 times among college students in the last 5 years. As per Sallie Mae's survey the credit card debts among the students has increased from 373 USD to 939 USD in present days.

One of the most important reason in this rise in credit card debt among students is because credit cards are easily available now a days. The students using credit cards for their each and every needs.
A survey in 2007 reveals the fact that young consumers aged between 18-24 pay around USD 3 for every USD 1 in a debit card overdraft.

However its not true that credit cards are evil but the only thing which you need to understand is to proper use of it. Credit is helpful is so many ways like you can easily book your flight by this , you can pay your all types of bills online .It will help you in case of emergency. The thing which you need to do is to make your credit history strong so that in future it will be very easy for to take any kind if loans.

There are some steps which will help you to avoid credit card debts in your college life : -

1. Always avoid credit cards for your day to day purchases

2. You have to read the manual and guidelines for using credit card before the use because it will help you to know that how much you will have to pay for cash advances and late payments.

3. Always you need to be careful about tempting low interest rates, which don’t last long.

4 Above these all things , the main point is to payoff your bill in a monthly bases . It will be better for you to not use credit cards if you not financially fit to payoff your monthly payments.


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