Most American college students use credit cards. However, many young people don’t always handle them properly, and often face late fees, increased rates, and high balances. Many of the problems are due to a lack of knowledge, or simply not handling cards responsibly. Although many of these problems are the result of bad habits of young adults, consumer groups believe many of these issues are the result of practices of credit card companies. To help address this issue, Congress passed new laws to restrict the ways card companies handle credit card arrangements with consumers.

Effective February 2010, credit card companies will be required to follow the guidelines established by the Credit Card Act of 2009

The changes generally require credit card companies:
-to increase disclosures to card holders.
-to provide more lead time or advance notice when changing terms.
-to limit their marketing activities on or near college campuses.
-to require increased parental involvement in credit card activities of individuals under 21.

More detail of these new requirements and information on money issues affecting young adults and their parents are available on the website MoneyManagement101.org

Given the high costs of college and the common need to borrow, it is critically important for parents to make sure their student is using their student loans only for true educational costs. Unfortunately, too many students use loan proceeds to pay for lifestyle related costs and non-essentials.

We will be adding some posts with tips for lowering college costs and reducing student loan levels.

We feature a number of articles for parents who are adjusting to having their child move away from the first time. Also, there are plenty of tips and suggestions for college freshmen.

-Don’t skip freshmen orientation or any similar new student sessions. This is one of the few (if any) times you will get a structured introduction to the college, covering important topics such as resources, facilities, and other useful information.

-There is a lot of useful and current info on college websites. Be sure to check back periodically for useful updates and important changes.

-Use a map to schedule classes so you don’t end up running all over campus to get to your next class.

-You’ve have probably already started getting a bunch of junk mail from vendors who are targeting new college students and families. You will also be getting mail from various departments and groups from your college. Make sure you look carefully for anything coming directly from your college, since you might be receiving important documents, receipts, deadline information, etc. So, make sure you don’t throw away anything without carefully examining its contents.

-To get off to a good academic start, you might want to take a required pre-requisite course like math at a local college during the summer. Its a great advantage to get a tough course out of the way, and it might save you some money. Be sure your course fully transfers to whatever college you are attending.

-If you already know what English or Lit class you’ll be taking this fall, try to find out the reading assignments in advance, and read one of your books in advance in the summer. You’ll have plenty to do once school starts, so it makes sense to get a head start.

-Carefully examine your dorm room and report any damage or issues before you move in. You don’t want to have to pay for something you weren’t responsible for at the end of the year.

More tips to come at CollegeTipsForParents.org

One of our favorite authors and innovative thinkers, Seth Godin, just wrote a great article on his blog which provides some great suggestions for new unemployed college grads who have not found jobs: check it out: Graduate School for Unemployed College Students