I know I sound like a broken record but I am reading article after article on college debt. Sallie Mae just released some statistics. Sallie Mae is one of the nations largest student loan organizations. What caught my eye is that the college student is carrying an excess of $3000 in CREDIT CARD debt.

This is what the report shows:

• 84% of college students have a credit card


• The average number of credit cards is 4.6


• Half of students have 4 or more credit cards


• 21% have a balance between $3,000 and $7,000!


• 19% of college seniors have balances above $7,000


• Only 11% of students have a $0 balance


• 80% have been surprised at their balances


• 68% have made a purchase knowing they didn't have the money to pay the bill


• 92% say they've used their card to pay for a college expense not covered by financial aid, mostly textbooks and school supplies

Article by, College Parenting Expert, Dr. Debi Yohn, whose advice on successfully getting college students through college with an emphasis on graduation and rewarding employment is sought by parents from around the world. Now for the first time, she reveals 27 Winning Strategies for Success - a guidebook geared to parents of new college students. Get her free e-Book now at http://www.collegeparentsadvice.com/ and improve your child's chances of a successful college experience.

Posted by Candice Arnold on May 19, 2009 at 7:16 AM | Leave a Comment (1)

Students are using their credit cards for food, clothes, cosmetics... During orientation, credit card companies are on campus in droves. Credit card companies have come under fire for this but they are still there.

I caution students not to fall for the "deals" offered by these companies. Free "T-Shirts", water bottles etc... are offered.

Here are some stats by college year:

67% of Freshmen have credit cards

90% of Juniors have credit cards

88% of Seniors have credit cards

Since 2004, there has been and increase of 60% of students carrying credit cards and 35% of the students report that they do not discuss credit cards with their parents.

Students need to have credit education BEFORE getting that first credit card. Adults have a problem with credit cards so why would we expect anything different from our young adults.

How will you discuss this with your student? Have you considered a debit card instead of a credit card?

Be sure to see my blog for even more information on credit cards...

Article by, College Parenting Expert, Dr. Debi Yohn, whose advice on successfully getting college students through college with an emphasis on graduation and rewarding employment is sought by parents from around the world. Now for the first time, she reveals 27 Winning Strategies for Success - a guidebook geared to parents of new college students. Get her free e-Book now at http://www.collegeparentsadvice.com/ and improve your child's chances of a successful college experience.

Posted by Candice Arnold on May 19, 2009 at 7:13 AM | Leave a Comment (0)

Money is hard to come by, especially because of the recent recession and the bad state of the economy. And this is why parents and students alike are worried about the latter's academic future. A college education has become more expensive, so it's natural that parents are on the lookout for any scholarship they can get their hands on. It's the best way to get your child through college if you don't have any money saved up or if your nest egg has diminished in value because of the economic downturn; you don't have to worry about the repayment of a loan on graduation, which often takes years to pay back because of the high interest rate.

It's not wrong to keep your eyes and ears open in order to secure a good scholarship for your ward; what could go wrong is your being taken for a ride by people who use your money troubles to rook you. If you're worried about a scholarship being a scam, here's how to read the signs:

• People who demand that you pay money in order to receive a scholarship. You're asking for free money for an education, and legitimate scholarships don't ask for any money to be paid in advance.
• Most scholarships are awarded by the government, either State or Federal. If you do come across a private scholarship, it has probably been set up for a particular community or for students who satisfy certain criteria. Do your research to see if your child qualifies.
• People who promise to return your money if you don't secure the scholarship.
• Never, ever give out details of your bank account, credit card or any other sensitive information. You could be robbed or have your identity stolen.
• Cold calls and emails that sound enthusiastic and claim that your child has been selected out of thousands to receive a scholarship.

Instead of waiting till the last minute and running from pillar to post for a scholarship and falling prey to conmen, start saving for your child's education from his/her childhood. If your financial situation does not permit you to do so, learn about the various scholarships available and see how you can get your child to qualify. If you have a particular college in mind, talk to the people concerned to see if your child meets their criteria to qualify for financial aid. If none of these ideas pan out, seek a loan, one that your child or you can repay in easy installments.

While it's true that a good education is expensive, it's up to you to make sure that it does not become more costly than it must be.

Guest post by Heidi Taylor, who writes about the graduate degree. She welcomes your feedback at HeidiLTaylor006 at gmail.com

Posted by Candice Arnold on May 7, 2009 at 9:31 AM | Leave a Comment (0)