Credit cards in the hands of college students can be a major problem. Students signing up for card without realizing how high interest rates add up. If a credit card is used irresponsibly, the student can be still paying it off many years after college. Consider getting a debit card instead of a credit card. If you do get a credit card, don't charge more than you can pay off each month, and read all the terms and conditions closely.
Although many students qualify for student loans, grants and scholarships, some students don't qualify for enough. Many students work to cover extras and to make up the difference. If they can't find jobs, they might not have enough money. Another problem is balancing work and school. Sometimes work interferes with classes, but if the student stops working, he'll be short on money.
One common problem for college students is spending more than they make. If you spend more than you make, you won't have enough to cover all of your necessities. Spending on non-necessary items such as entertainment, health and beauty and going to bars is another pitfall that derails college students. Make a strict budget that outlines where all money will be spent each month, and stick to it. It's OK to budget out a little money for extras once in a while. To save money and spend less, consider leaving your car at home; you can walk around most college campuses with ease. Bring your lunch to campus, and try to eat out infrequently. Look for student discounts; many establishments offer a discount if you show your student ID.
Thousands of students depend on financial aid to attend school. If a problem arises with a student's financial aid eligibility or account, it might bring a major financial crisis. Problems that occur can be low academic performance affecting eligibility, misplaced paperwork and failing to fill out the Free Application for Federal Student Aid by the deadline, which varies by state. Check on your financial aid progress and eligibility with the financial aid office regularly, and turn in any requested paperwork promptly.