Dear GU Money Gurus,
My older sister has a credit card and told me to get one too. What do you think?
Have no fear! Credit cards may be fearful and daunting. As a young adult, it is advantageous for all individuals to have a credit card to build credit. Building credit at a young age will prepare you to take on a car payment, sign a lease on an apartment, or apply for a loan. There are dangers; it is smart to spend only the money that you have and be strategic with your payments. Having outstanding credit is not a bad thing, but keep a close eye on your current balance and be sure to never miss a payment! Debit cards take money out of your checking account directly after purchase while credit card bills are due at the end of the month, however, you can pay them at your own convenience.
Looking for advice or have any more Money questions? Money Mentors are here to help. We aren’t going to be your parents or your banker. We are fellow college students who give real-life money advice. Students can reach out to firstname.lastname@example.org to set up a one on one or email us with questions.