College students need money just as working people with families need money every day. The only difference is in the amount of money needed. (Check out this student budget calculator here, it may help you determine just how much money you will need.) Big banks go out of their way to lure students into applying for their credit cards. It is their business and that is how banks make money. In fact,banks make sure that they never run out of credit cards for college students.
Big banks have a number of credit cards that are specifically directed at college students. However credit cards for college students can lead to a debt trap from which there is no way out. The banks entice students with low interest rates and longer interest free periods but in the end the debt and the interest on the debt begins to spiral out of control. College students are still too young to know how to handle their finances and are at an age when they are most vulnerable. Most of these students end up with large debts which they have to repay even several years after they leave college. It is not a pleasant way to start life after college.
Credit cards for college students are readily available and one only has to apply and the approval rate is almost 100% and very quick. This quick approval ensures that students do not get much time to think about their spending habits. Most students do have part time jobs but that little income almost never covers the credit card expenditure. They never see the danger until it is too late.
Credit cards for college students is not a bad and ugly idea. But it is good only when students are also taught how to use their credit cards wisely. In fact it can be converted into a great learning experience before these students go out into the real world. Learning how to handle their income and expenditure through the use of credit cards can be a great way to ensure the financial health of students in their later years. College credit cards are bad only if used unwisely. They can be effective tools for a better financial future for students once they learn the finer points in the use of credit cards.