State Consumer Protection Warns College Students About Credit Card Scams

Friday, August 12th, 2022 -- 8:01 AM

(Raymond Neupert, WRN) Students on their own at college for the first time are going to be tempted by offers to sign up for credit cards, but be careful before you do.

State consumer protection administrator Lara Sutherlin says those preapproved credit card deals often come with catches. "Some of these offers may look really good. But they also can include really high annual percentage rates, APR, or hidden fees, that can increase the amount that you owe if you're not careful."

Sutherlin says even taking one of those offers could affect your credit score. "You should really think clearly about whether you want a credit card or whether you need more than one, it's probably unlikely at that stage in the game."

Sutherlin says many businesses will offer cards to college kids, who aren't ready to handle having that sort of money available. "Be very wary of those credit card companies that are posting up at your colleges and trying to encourage you to take out one or two credit cards. They have high APR and they may have high interest."

Sutherlin says if you do need a credit card, get one from a bank you or your parents' trust and stick to having just one for now.

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