BBB Offers Tips On Money Management for College Kids
UNDATED - Back to school season can be chaotic, and parents of college-bound kids might be forgetting to pass along money management advice.
With this in mind, Better Business Bureau has tips for parents on how to help your student along in the process. As you wave goodbye to your kid, keep these strategies in mind:
- Remind them to be responsible with credit cards. Studies show 2 out of 3 college students report having a credit card, and the average freshman ends the year with about $1300 of debt. Stress the need for your student to make regular payments on their card balances.
- Highlight the importance of starting and growing a savings account, even if it's small.
- Remind them to pay their bills on time to avoid late fees and service charges, which can be pricey.
Lastly, the BBB suggests you tell them to be watchful of their personal information, and shred any document with personal and financial information before throwing it away. Research shows that college students are particularly susceptible to identity theft - and 79% of the time, it's perpetrated by someone with whom they've had contact.