Dakota State University -- NDSU Agriculture
7 Morrill Hall, Fargo ND, 58105-5655, Tel: 701-231-7881, Fax: 701-231-7044
Credit Card Debt Is Common Among College Students
Young adults are going to college to learn, broaden their experience and meet interesting new people. No one aspires to a higher education to acquire long-term credit card debt. Nonetheless, more and more students are piling on debt at a time when theyíre least able to make the timely payments required.
"The average credit card debt among undergraduate college students is about $2,748 an increase from $1,879 in 1998," says Debra Pankow North Dakota State University Extension Service family economics specialist. "The overall percentage of students who own four or more credit cards has increased from 27 percent to almost 32 percent within the same time period."
"By offering credit cards to students, credit card institutions are helping produce unprecedented numbers of credit risks who in the future will have difficulty qualifying for mortgages and other loans," Pankow says.
"One of the best approaches in helping your kids lead a credit-wise lifestyle is simply to talk with them about the consequences of irresponsible spending. Help your kids understand that their credit record, just like their high school transcript, can have a lasting impact on their lives."
A strong credit history is vital to a good financial future, Pankow says. "With student loans and credit cards, college students can start a good credit history by establishing their ability to manage and repay debt."
Parents can offer the following advise to help their kids with credit card debt.
By taking the time to consider what seemingly easy money now can mean, students can avoid long-term credit problems.
If you are interested in preventing credit card debt for college students, contact your local extension agent or contact Debra Pankow at (701) 231-8593 for more details.
Source: Debra Pankow, (701) 231-8593, email@example.com