Students should be careful about credit cards

Students who have, or are looking for, the best credit card offers have been urged to keep up with their payments should they go on a gap year.

Paul Lewis, vice president of Credit Confidential, said that even though people are taking a gap year there is no excuse for a gap in credit card payments, a fact that is also important for university freshers to remember.

"It's very important to adopt sensible, responsible financial habits," he explained.

Mr Lewis pointed out: "It's very easy for someone not used to having a credit card to forget to pay for a couple of months, while very rapidly black marks are being added to their credit history. That can be very difficult to undo further down the line."

He also warned students to think very carefully about who they engage in financial commitments with, as living with someone who has an irresponsible approach to their finances can reflect badly on their own credit history.

UK adults with credit cards spend £3,804 on credit card payments each year, or £317 every month, according to the Standard Life report Your Commitments, Your Future.

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2011-10-17 13:11:28 © Moneyextra.com