University students urged to focus on credit card APR rates
Students can get distracted by gimmicks, says expert
University students urged to focus on credit card APR rates”
University students should focus on the APR rates offered with their chosen credit card and not be swayed by gimmicks, according to a financial expert.
Martha White, writing for the Financial Time website, expressed her belief that many young credit card users often wrongly opt for a card which is sponsored by a particular brand rather than focus on important details such as interest rates.
She said: "If your laptop has a meltdown or your car needs a new transmission, you're going to care much less what your card says on the front of it and more about whether you're paying that bill off at 12 per cent or 25 per cent interest."
Ms White also advised students to pay off their balance in full each month as it is unlikely that they will have time to earn extra income to service any debt.
A recent report by payments company Visa Europe underlined the popularity of credit cards, with 58 per cent of credit card users preferring to use contactless cards over cash to pay for goods if they were in a rush.
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