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Student Credit Cards
In recent past we can notice credit card companies are also offering credit cards especially for students in the form of student credit cards. So far the various credit card companies have been quite successful in their business by offering credit cards for students. The credit card companies particularly targets the college students luring them with special student credit cards and also with low entry level interest rates.
There are now a vast number of options to choose credit cards for students. It includes Student Master cards, Student Visa card etc. But, at times these credit cards bring uncertainty among students when the time comes to pay the loan taken.
The main problem among us, particularly among students is in failing to understand the interest codes and long term impact on having multiple credit cards which are continually offered to us. So, it is most important to first go through the fine print, deciding the credit card which can be taken up, knowing the interest on it and what we end up paying in the near future.
The credit card companies charges its consumers with interest rates which may be between 7% - 30%. In most cases, college credit cards or student credit cards are being offered with a low introductory interest rate. Sometimes, the interest rate is being made to 0% in order to make it more appealing. As the introductory period expires, the interest rates for most of the student credit cards plunge to about 15% to 18%.
Generally, the interest rate for student credit cards remains around 15%. It’s always better for students to stick with credit cards which have a low consistent interest rate rather than a fluctuation one. If not, there is every possibility for students when they have to pay excessively for the privilege taken in using the credit card.
Although student credit cards are of much necessary especially at the time of emergencies, it can cause tremendous damage if it is misused or used in a irresponsible manner.
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