Experts Reveal the Secrets in Handling Your First Credit Card

(Newswire.net — February 2, 2017) Tallahassee, FL — College students typically have credit cards of their own nowadays. This is true despite the fact that most of them are not yet wage earners. It is imperative that individuals who are planning to get their cards are equipped with the right knowledge needed to ensure that they do not end up in a financial embarrassment.

Experts reveal the secrets in handling your first credit card. While card issuers know that college students do not have income, they still do make offers. As a matter of fact, dormitory boxes have still been filled despite of the economic crises.

It is believed that college students are a huge source of revenue for many credit card companies. There are many advantages of having these cards. However, when they are not managed properly, they can be a student’s biggest enemy.

Nellie Mae, a student loan provider, conducted a study and found that the average balance of college freshmen is $1,585. When they reach their senior year, the amount swells to $2,864.

One of the things that get students into trouble is their free-spending mentality. This is especially true to new cardholders. Interest rates and hefty annual fees are just among the common reasons how a cardholder’s financial independence could instantly turn into a money nightmare.

One of the things card holders need to do is understand the terms of the card, such as its fees, interest rate, and payment schedule. It is similarly important that they are aware of the zero percent teaser rates.

Zero percent interest rate could be enticing to the point where cardholders end up spending more than they can afford to repay. When the introductory rate ends, the interest rate and balance then increase. Cardholders should know what the “go-to-rate” is.

Cardholders should also plat with the interest rates, and this means using the credit card calculator. They may, for instance, calculate the $60 worth of shoes and $15 food delivery at 20 percent interest can be quite expensive.

There are many ways to handle a credit card such as setting a budget, paying in time and in full. Consumers should also avoid going over the limit.

These are some of the techniques in handling a first credit card. Of course, it is also imperative that holders keep their cards safe from fraudsters, particularly identity thieves.

One of the ways to do this is to use the RFID blocking sleeves for credit cards and passports. These sleeves are designed to protect credit and debit cards from identity thieves who steal personal and financial information.

The RFID blocking sleeves are available at amazon.com for purchase (http://www.amazon.com/rfid-passport-sleeve-protector/dp/B0150T0AI2).