The college years are often memorable, where you gain knowledge and a true sense of independence. When you move on to a graduate degree or a new career, one thing you don’t want to take with you is credit card debt. Yet, according to a 2023 survey of undergraduate students, 42.1% of respondents said they currently had credit card debt.
To avoid falling into the debt trap, here are five tips to help you save money:
1. Make a budget
If you start tracking your spending now, you’ll set yourself up for a lifetime of good financial habits. You don’t have to get fancy—multiple budgeting apps might be able to help.
2. Don’t buy new textbooks
Textbooks can cost you a lot, up to $1,200 a year. But alternatives like buying used books, using ebooks, or renting them can help you save money. You can find used textbook stores online or see if other students on campus are looking to offload their used books. When you’re done, you can also try selling your books to other students and put a few bucks back in your pocket.
3. Avoid eating out
The Education Data Initiative reported that college students spend roughly $410 eating off-campus each month. By eating in and cooking your meals, you can save a significant chunk of change while cutting down on high-fat foods.
4. Credit cards are for emergencies only
While opening a credit card can help you establish credit, you should only use it for emergencies or if you can pay off the balance every 30 days. If you can’t pay the entire balance, pay at least the minimum each month so you don’t accrue late fees and penalties.
5. Get credit counseling
Whether you’re in credit card debt or not, a credit counseling organization can help you create a budget and learn more about being financially responsible. When it’s time to pay off your student loans, they can also help you with your repayment options.
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