In most cases, parents don t really teach it, professors don t teach it and many young adults are left to suffer the bumps and bruises of learning to handle their personal finances through trial and error. As a result of four years of poor credit management and poor spending habits, graduates begin their careers trying to dig themselves out of a financial hole. One that some never fully recover from. Not because the damage is irreparable, but because over the years, they have developed poor money management skills that will follow them for life. It s important to learn to effectively manage your personal finances during your college years for the same reason that credit card companies target students.
Research shows that students tend to stick with the credit card company that they start with.
In other words, these companies recognize that you re developing habits that you will hold on to for a long time. Managing your finances doesn t have to be a dreaded task. If you follow a few basic guidelines, you can keep your credit in good standing, develop a habit of budgeting, and start investing, while in school. The number one foe for students and their credit rating is a 3-inch piece of plastic. You guessed it credit cards.