Financial management is an important skill that students should learn in college. This can help them with the transition to a professional life smoothly since they already know how to handle money well.
Universities and colleges still have a long way to go in equipping students with practical money management skills. However, students can also study on their own since there are a lot of online resources that they can check to learn how to be wise on money matters.
Huffington Post shared practical tips that every college student should know. The first part of the list can be found here.
Keep away from credit cards as much as possible
Use cash whenever possible. Credit card payments usually come with sky-high interest rates later especially when one can't pay the full balance on its due date. Students should be conscientious about their spending since they already have student loans to pay off and extra payments from credit cards will not be helping them.
Build a good credit history
While credit cards should not be one's main mode of payment, these can also help students establish a good credit record. It was previously reported that students can get credit for their rent. Services such as Rental Kharma and RentTrack take a bill that you are currently paying for and put it on your credit report. This can help build a positive history of payments without too much risk.
Be frugal
Again, students should be conscientious about their spending. Stop keeping up with the Joneses or, for the modern generation, the Kardashians. Make smart money decisions now and learn the habit of saving regardless of how small one's income may be. There is a way for students to save money and have a social life at the same time by planning their budget and being transparent about one's goals with friends.
Take advantage of student discounts
Student discounts may be one of the best benefits of being in school. A lot of companies and establishments respect the campus ID with discounts for products and services. Before making purchases, research on the best discount that one can get as a student and ask the retailer for more options.
