College students are bombarded on a near-daily basis with enticements of spending on credit. From credit cards to financial aid products, college students are likely to graduate with some form of debt burden.The debt that a college student incurs while in school will likely follow him to his post-college life. This debt can wreak havoc among personal relationships and can cause unnecessary stress.
Move Back Home
The college graduates of 2009 around the country are saddled with an average of nearly $24,000 each in college loan debt upon graduation, according to CNN Money. One of the largest expenses upon graduation is securing and maintaining housing. Facing unemployment rates among their age group of nearly 15 percent, as many as 85 percent of college graduates in 2009 opted to move back with their parents after graduation. As recently as 2006, this rate was only 67 percent.
Resist Credit Card Offers
College students are faced with near-constant offers of credit card accounts from unscrupulous credit card companies. An investigation performed in 2010 by the Huffington Post Investigative Fund found that some colleges and universities have colluded with credit card companies to sell the names and addresses of their students to these companies. In addition to selling their information, these institutions have granted the credit card companies access to school functions to solicit students. College students should resist these temptations and recognize them as a ploy to ensnare them as a credit card customer for life.
Resist New-Car Fever
College student and recent college graduates often buy a new car, but Kiplinger Personal Finance says they generally do not need one. Kiplinger indicates that a new car, on average, will cost a student $5,800 over the course of a nine-month academic year. A costly auto loan could hinder a college student from paying off more important debt, such as student loans, in a timely fashion.
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