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The Benefits of Canadian Secured Credit Cards for Students

The year was 1982 and the thing that stands out the most was my first credit card. I had just started a new job and was anxious to get my credit started. Getting credit through the bank was what I wanted. I thought that if I could get credit from them, then I was on my way.

The only problem was that I was living on my own and didn't have anybody to co-sign for me. I didn't want to ask my mother as that was not cool. They didn't have secured credit cards back then. So I had to find someone to co-sign for me.

Not knowing who to ask, I decided to ask my employer if he would co-sign. He gladly did it for me and I then received my very first credit card. I would never forget that day.

For a while there, I would spend about $20 - $30 a month, just so I could see what would happen on my credit card statement. Mind you, I would then immediately pay it off since I can't stand owing money and I didn't want to rack up a large amount on my credit card. As this went on for a few months, I noticed that I became more confident in managing my money and my credit. This later helped me in my own business when it came to managing large amounts of money.

1) University / College Students have no credit rating - My story is the same as university students who are just starting off. They don't have a credit rating with Equifax or TransUnion and thus are required to either get a co-signor for an unsecured card, or put up some security for a secured credit card.

2) They want independence from parents - Like myself, students want their independence. They want to feel like they can handle themselves away from home. This gives them a sense of well being in that they are able to manage themselves away from their family of origin.

3) They need an affordable credit card - A secured credit card allows a student (who has a part time job) a chance to start their credit history. They are able to put down a small deposit which makes it affordable for them.

4) It helps them learn to manage money and credit - Owning a credit card establishes a good habit when it comes to paying your bills regularly. It teaches students, who are just starting out in their new life, the responsibility of money, the pros and cons of overspending, etc.

A secured credit card allows the student to get a reasonable priced credit card, start a credit rating and then "practice" to make payments and keep his/her credit in good standing.

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College Students often have a difficult time obtaining credit as their credit score is not yet developed. One of the best ways to start a credit score is to get a Canadian Secured Credit Card. Visit www.canadian-money-advisor.ca for more info. Don't reprint the same version as everyone else. Get your own unique content canadian secured credit card article

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