ATLANTA (FOX 5 Atlanta) - There are lots of new experiences ahead for your college freshman: making new friends, learning to tend to themselves a bit; and, understanding when something isn't good for them like those credit card offers that are filling their mailboxes.
Hey, parents, you need to school them on how to manage this new experience. Your college freshman who is, what 18 maybe 19, now has a few offers in his hands. Tempting, isn't it?
But it's more than that, according to a new survey by WalletHub. The finance site surveyed 2019 incoming college students and found one in 10 college students think credit cards are free money. Read that again. Credit cards are free money, they believe.
Hey, mom and dad. This is where you jump in and give them an old-fashioned lesson in credit card use. The good news is that nine of the 10 students don't think that's true.
But let's deep dive a bit here into this WalletHub study. If you have a female student, she's five times more likely to think she could be a better money manager. Fourteen percent of students would rather miss a credit card payment than a party. And finally, 35 percent of students rely on parents to help pay their credit card bills.
Now, establishing credit is also important for young people, so WalletHub has offered up a few credit cards it thinks is best for students.
When that student comes home with plastic in her pocket, make sure you see the bills at month's end. This way you can keep an eye on it. Make sure you tell your newly independent student that paying off $1,000 in credit, at a high interest, can take years to pay off.