Congratulations – you just graduated from high school and have gone away to college. This is one of the most exciting times in the lives of young adults. They enjoy the freedom of living on their own, eating what they want, and sleeping when they want. It is also the time when these young adults start getting store charge cards and credit cards. While many students use credit properly, many others do not.
The ability to have and use credit when and where you want is very important to consumers of all ages. Having credit available means that in the event of an emergency or for a planned purchase, you have money available without having the money on hand. And by repaying the amount of money used gives consumers the opportunity to reuse the credit the next time they need it. The problems start when consumers, especially young adults, misuse their credit.
Problems occur when teens, college students and young adults start getting multiple credit or charge cards, use them excessively and don’t pay the credit amount back to the lender. This act will have a negative effect on the card holders credit report by showing up on their credit history. Each borrower has a credit history that starts the first time they borrow money either through a loan, charge account or line of credit. How they handle that credit obligation will have an impact on future borrowing opportunities. Generally speaking, if you handle your credit obligations properly by paying on time, you will be able to borrow again in the future.
The important thing to remember for teens, college students and young adults is that they use common sense when dealing with credit and charge cards. By being responsible with your borrowing, it can only improve your credit history and credit rating. Remember, any amount of money you borrow will have to be paid back in the future.
General Credit Information
Using Credit Wisely
Information for Teens
Information for Parents
We hope that this information has been helpful for teen-aged borrowers who are just starting their credit history as well as helpful for parents who are looking to help get their young adults on the path of good credit. Feel free to visit this page in the future, and to tell others about the information here. Happy credit!