The article below is from a series of money management articles about Student Loans …

Before you go and decide to apply for a credit card to purchase those new items you’ve been eyeing in the shops, you should take a step back and carefully consider your purchase. Being away from home at college is a liberating time. You are surrounded by new people and have a new set of responsibilities placed onto your shoulders. Applications for MasterCard, Discover and Visa credit cards are all around you. The mantra of “buy now, pay later” echoes through the halls.

Instant approval credit cards may be a godsend when you find yourself in urgent need of school supplies or in need of the basic things. However, far too often the ease and conveninence of applying and getting a credit card can lead to massive financial difficulty. Student credit card debt has spiralled out of control. Students are flooded with bank credit cards, MasterCard or Visa credit card offers and many do not stop and consider the ramifications of how easy it is to abuse their use.

No one is arguing that higher education is expensive. Tuition, room, board and associated expenses can deplete savings accounts very quickly. You, as a student, may have such an immense class schedule that finding part-time work is practically impossible. This is especially difficult if you are also enrolled in school activities, such as sports or academic organizations. Most parents simply can’t afford to pay for all the additional expenses incurred by student life, not to mention if there are other non-curricular expenses and luxuries wanted.

The key to understanding how to use a credit card, is one based on “need” only. Most students must have some form of funds in case of an emergency and it comes down to the student knowing the difference between an emergency and a simple want. Apply for a credit card and when you receive it, put it aside for real emergencies. Do not apply for every credit card offer sent to you. Pay careful attention to the interest rates and any associated fees that the lender states in their terms and conditions.

Apply for a credit card and use it when you absolutely must. Do not continuously apply for those college student credit cards just because you can get discounts on your purchase. Eventually, you will have to pay back the balance and you may not have the funds available in the event of a real emergency. Try to remember that going out with your friends for a night on the town does not qualify as an emergency!

For more resources on student loans, visit: Student Loans