We will all make some very drunken New Year’s resolutions this year. From packing in the fags to learning to drive or maybe a new hobby, there will be ideas a plenty; all of which seeming like such a good idea at the time. As students, there is definitely the attitude that certain things can wait until after our courses have finished but one thing that should definitely be considered sooner rather than later is finance.
Although no-one ever intends to get into debt, this is ever so easy to do when we’re at University. Lectures, nights out and youth all play their part and by the time we put on that mortar board and prepare for the real world we can find ourselves in more than a spot of bother. Add to that the recent economic meltdown and limited jobs and it hasn’t been the best few years for students to get through their degree without ending up in the red.
Here at Young Academic, student finance is something which is close to our hearts being the national student news site and we have therefore put together a few tips for you to bear in mind so you can avoid bad credit and make sure you are in a good financial situation when you leave University.
Keep On Top Of Your Student Overdraft
First and foremost, it is very important to keep one eye on that student overdraft and remember that the minute you finish your studies, interest will be whacked on with aplomb. It is ever so easy to just see that grand or two as your money as your own and forget that one day, the bank will come calling. If you get any extra money from work, family or any extra-curricular activities, why not put some towards paying this off sooner rather than later?
Careful On The Credit Cards
Another bad student habit when it comes to finance is credit cards, with many if not all the lenders targeting students as one of their prime demographics. Some students have several of these on the go and this can result in big trouble. If you fall behind on your payments, credit card companys show little mercy and this will result in your credit rating being severely damaged. If you have to get a credit card at two at University then keep the credit limit as low as possible and do your best to pay the balances off even if it just a bit at a time. Also, look at balance transfers as often as possible as these can reduce if not eliminate the interest you are paying.
Only Use Top Lenders
This is crucial if you want to avoid bad credit when you’re at University. There are so many dubious lenders out there, particularly when it comes to payday loans so be sure to do your research. You should only be looking into borrowing money as a last resort and if you have a steady income to be able to afford the repayments but if you have to, take to the web. For instance, you can look up lenders such as Bamboo Finance to check out their testimonials, user reviews and the quality of their website; here you can also take a look at things like interest rates and payment terms which are obviously crucial.