With college costs skyrocketing each year, students are finding that money management is a key skill to have even if you’re an incoming freshmen. From pricing dormitory meal plans to considering a brand-new credit card, staying out of debt is a smart move.
There are several ways you can save money as a college student and ensure a stable financial course after school.
Go easy on loans
Private, subsidized, and unsubsidized loans are offered to many students with huge payback numbers hidden in the small print. In the past, students blindly took the money and crossed their fingers that their future job would cover the monthly payment.
But today, students have started to decline certain loan offers. There’s no need to have several hundred or thousand dollars left over in a checking account after tuition is paid. Students know they should take out only what’s necessary and reduce their payback costs after graduation.
Secured credit card benefits
Applying for a credit card is a rite of passage for young adults starting out in life. Today, there’s a wide selection of cards that offer a smart way to start your credit history.
Secured credit cards work just like a debit card. The student or parent places a lump amount, say $500, on the card. Students use the card until the balance reaches $0. They’re able to refill it again, if they choose. This controlled card prevents overspending while still offering credit benefits.
Save money on textbooks
Smart money management also includes pricing required school supplies, especially textbooks. With hardcover textbooks priced in the hundreds of dollars, students are finding alternative resources.
Used books sold on campus or online are perfect alternatives to save money. Some textbooks are even available as e-books, which allows students to download certain chapters rather than the entire book.
However, students must be aware that some brand-new textbooks are required reading. Updated information in the book could be requested by the professor, which makes it critical to own the newest edition to ensure scholastic success.
Learn to budget
College is a perfect time to start a budget. Because students don’t have complicated expenses yet, such as mortgages and student loan payments, a budget should be simple to devise and follow.
Set a budget for weekend activities and eating out, for example. Most of a student’s time should be filled with classes and studying, so high or complex numbers are unlikely to be an issue.
Take advantage of the meal plan
A college’s meal plan is typically less costly than eating out. Unless students have access to a kitchen in the dormitory, it’s wisest to take advantage of the school’s meal plan. Students have a selection ranging from vegetarian to old-fashioned comfort food.
Eating out is expensive and potentially unhealthy. Making smart food choices at the cafeteria keeps you out of personal debt while remaining healthy.
Money management has never been easier for college students. With online resources that provide numerous financing options and smart tips, and budgeting apps for the smartphone, students can control their spending while pursuing a degree.
