A big influence in my life was my Grandmother.  She was a child during the great depression.  Over and over again she preached a simple but very important message:

• Never borrow except for a house.
• When you earn a dollar save a quarter.

Fortunately, this message stuck.  I am 34 and still live my life around these two simple financial principals.  Unfortunately, kids today are not being taught these lessons.  According to American Student Assistance 2 out of 3 college students currently have credit card debt.  The average balance is approximately $3,000.00.  This is up $1000.00 from 2004.   

We are stuck in a time of rapidly increasing educational cost and rapidly diminishing financial resources.  Students turn to credit cards because they can not borrow enough in student loans to cover cost.   

Banks and financial institution are capitalizing on this trend by setting up shop all over college campus with some nice kickbacks going to the universities.  They will get students to sign up in exchange for a free T-shirt or coffee mug.  Here are some things you can do: 

• Take a lesson from Grandma Mil (My Grandmother) and have frank financial discussions with your    children.

• Monitor their financial situation and don’t be afraid to ask questions about their finances.

• Apply for financial aid, this will guarantee your student some Federal Loans.

• Have your student get summer employment or a paid internship. 

• Have your student apply for scholarships.  (THEY CAN USE THE SCHOLARSHIP SURFER ON THIS WEBSITE  FOR FREE)

• If you feel your student absolutely needs a credit card for emergencies get them a card, teach them to use it responsibly and get the statement sent to your house.

I will admit I am not a big fan of any student having a credit card.  It is too easy and too tempting.  I would suggest getting them a debt card instead.