When your child becomes a college student, he or she gets hundreds of credit card applications offering to apply for best credit cards. Many college students are particularly interested in student credit cards. These plastics are issued by all major credit card companies and offer your child to use the card for a great variety of expenses and even a chance to get nice bonuses and rewards. But what are the main advantages and disadvantages of students credit cards? What should your child know about these cards? How can you help your boy or girl to avoid credit card debt?

There are many types of credit cards for students: students cards with rewards, students cards for limited credit and even students cards with instant approval. Depending on the issuer, there are many differences between students credit cards and regular plastics:

• Students credit cards have lower interest rates.
• You don't need to have minimum income in order to be qualified for student card.
• These cards are easy to get.

• The majority of these plastics have no annual fee.
• At first, these plastics offer low credit limit, but as soon as a student proves himself or herself as a responsible creditor, the credit limit will rise accordingly.

Usually at the beginning of each semester the representatives of credit card companies appear on college campuses and offer students to get a credit card. And here's where all the problems begin. College students usually have lack of education about credit cards: they apply and get approved for more that one card and soon find themselves in debt.

According to the statistics, 40% of students fall into credit card debt before graduating college! If your child is heading to college, give him or her some tips about credit card usage:

• Pay with your card only for things that you really need.
• Pay your credit card bills in full and every month. If you miss your payment, credit card company may raise your interest rate.
• Explain that it is not wise to apply for a credit card just to get a gift certificate.

• Teach your child about wise money management.

If you are sure that your child will use students credit card responsibly, here are some advantages of these credit cards:

• Your student will get the sense of responsibility and independence as soon as he or she will receive a credit card in his or her name.
• A credit card will help to develop good credit habits.
• As a parent you can be sure that your college student has a credit card that can be used in all emergency situations.

• If your student has student card with rewards he or she can use it to buy books or groceries and earn rewards.

As you can see students credit cards can really help your child, all you have to do is to make sure that your college student is responsible enough to start credit card usage!