As many SMCC students are making a greater transition into the life of fiscal responsibility, banking and money will become more and more important. This is why it is critical that students attain a credit card. To put it simply, credit is essentially the idea of making a purchase with borrowed money with the promise that the borrowed money will be paid back including interest. Having a good track record with paying off credit makes one’s credit score go up, allowing a broader range of financial opportunities like housing and stock investments, travel, and more.

Oftentimes, credit cards are seen by people as free and infinite money, and as such their credit card debt skyrockets and they will use up all of the credit available to them at the time. If credit card debt isn’t paid within a certain window of time, one’s credit score will go down. Being able to manage credit is essential to maintaining financial stability and prosperity. Credit is taken into consideration for almost any major financial loan. If someone has bad credit, they will not be granted the loan money.

Many credit cards also have a rewards system – a way to incentivize people to use their credit card. Most of the time, credit point(s) are given for every dollar spent and then paid. These rewards are often in the form of cash back, travel points, merchandise rewards, and/or more.

One must always be careful when selecting, using, and paying off credit cards, but establishing a good credit score early on in adulthood can be highly beneficial. SMCC students, to begin your credit journey, visit creditkarma.com to browse the best credit cards for beginners. If you have parents with credit cards, there may also be a way for them to add your name to their credit card in order for you to receive the benefits of their good credit. For those who already have established credit or want to find out more about credit, click here.