College Students and Credit Repair

NellieMae, a company that administers the Federal Family Education Loan Program, reports that 81 percent of college students own at least one credit card. Credit card companies are actually recruiting young customers on site at college campuses. In today’s economy, this doesn’t make much sense, but the credit companies make money when customers default on their payments, which is mostly what they are counting on when targeting young adults. The biggest travesty is that poor credit management could haunt our college youth and affect their success for years to come.

So, how do the future CEOs of America repair their credit score? The first credit repair strategy is as simple as creating a workable budget. One must keep in mind this budget should include all expenses; from books, class costs… to groceries. The key here is you must be prepared to cut back wherever possible. The next step toward rebuilding credit is to commit to paying your credit balance each on time month and making a goal of paying over the minimum payment because it’s only when you pay over the minimum you are able to truly work towards paying off your balance and establishing a positive credit history.