Articles

There is a major debt crisis that is sweeping across America. The creditors best new tactic is to target their marketing at the young people to get them used to spinning their wheels on the credit treadmill at a tender young age. The big credit card companies post up regularly right outside of college campuses offering young unemployed students credit cards pre-approved with credit limits of $5,000 or more for kids with no credit histories at all. All with the intent of getting students over the edge in debt so once they graduate they will be riddled with credit card debt for a very long time.

This causes an abundance of unnecessary problems for young students. One detrimental problem is that kids need to take time away from studying to work more hours to pay off unnecessary credit card bills. Some situations force young people to drop out all together to get full time jobs to pay off their debts.

For anyone who has seen the rather scary documentary 'Maxed Out' you can see first hand how bad a debt problem in college can affect students. There were two college kids whose loving parents were interviewed, both of whom killed themselves over their overwhelming debts that they owed. The annoying phone calls from collections agencies didn't at all help the situation. Plus many more kids fall into deep depression because of the they find themselves stuck in.

These credit card issuers even go to the extent of recruiting other college kids to solicit their credit cards within the universities. Some students will earn up to $15 for every student who signs up to get a line of credit. And I am sure there are many more tactics they are using to sign up as many young college students as possible.

One way to counter this issue would be to teach students in the 12th grade before college about the associated risks that come with having lines of credit. There should be a mandatory class put into the curriculum of high school seniors educating them on what could happen if they abuse credit cards. The class should also teach seniors how to correctly manage their income to avoid any stressful financial problems in college.

Debt settlement is a sensible method of credit card debt reduction for the college students that have found themselves in a very bad debt situation that they can no longer bear to handle themselves. It will help college students save money and become debt free within a few years, so when they get out of school they will not be stuck with a large debt skyscraper over their shoulders.