It seems that cases like this are becoming all too frequent for college students. Credit card companies offer students credit without many requirements or restrictions. They even approve large credit lines at low initial interest rates and later raise the annual percentage rate to as high as 23 percent. College students continue to take advantage of these offers, however, in hopes to build their credit. But it's also essential to keep a good credit record.
Credit cards can be very useful when used responsibly.
After all, it would be very difficult these days to make hotel reservations, purchase airline tickets, or even send someone flowers without a credit card. It's when they're not paid in full each month that credit cards become a problem. Often times, college student uses their credit card for school books, tuition bills or emergency car repairs. It's things like these, however, that add up quickly and make monthly billing statements hard to handle. Credit card debt can also lead to bad credit when the monthly payments become so high they can no longer be paid on time or even at all.