Credit card applications and exploring the topic
He will have to plan ahead if he wants to make a purchase that exceeds the available balance on his card. Perhaps a part time job is in order to cover those non essential purchases or to take full responsibility for payment of every purchase made with his student credit card. This is a good way to introduce the importance of purchasing only what you can afford. Student credit cards also reinforce the importance of paying balances on time and in full; your child will learn just how rapidly interest and late fees can accumulate on unpaid credit card balances if he is inattentive to payment schedules. As you can imagine, card issuers consider students high risk customers and charge them higher initial interest rates to cover potential losses.