My article 10 Tips For College Bound Students, I wrote that college students should start using credit card while they are in college. This generated quite a bit of opposing comments. Specifically, I wrote:
Establish you credit history early. College is a great time to get your own credit card. This way you start your credit history early with those low spending limit student credit cards. However, be sure to learn the art of budgeting and do pay your credit cards off every month.
In the longer-term, it won’t make a huge difference. But students who can manage their credit accounts properly will be rewarded with a better credit score, a shinier credit history, and other rewards. I can understand the my readers’ concern, and I do agree that the primary focus should be studying. But there’s nothing wrong with learning important life lessons at the same time; especially about money management.
Aside what does it say about us as parents if we can’t teach our children to be responsible with credit card. I think that it’s better to let them make mistakes and learn how to manage credit card properly while the stake is small and we still have some influence over them.
On the flip side, I am well aware that there are adults who can’t handle credit card responsibly themselves, or have sworn off credit card forever for various reasons. For them, not letting their children use credit card is probably the right decision.
Agree or disagree?
Pinyo is the owner of Moolanomy Personal Finance and a Realtor® licensed in Virginia and Maryland. Over the past 20 years, Pinyo has enjoyed a diverse career as an investor, entrepreneur, business executive, educator, financial literacy author, and Realtor®.