In 2004, college seniors had an average credit card balance of $2,900. By 2008 the average was $4,100.
Other sobering numbers from the Associated Press:
• One-fifth of seniors have a balance greater than $7,100.
• A student has an average of 4.6 credit cards.
• 82 percent of students carry balances that incur charges.
What about your kids? How many cards do they have? How do they use their cards? How big are their balances?
Your kids may not want to talk about their private financial affairs in your group, but perhaps you could create a questionnaire that your kids fill out. Then you could discuss their credit card behavior—and where it will lead if they continue the way they are.
Also, help your kids look out for credit card offers that give them free iPods, T-shirts or food in exchange for signing up for a new card. If kids pay cash for purchases instead of charging, they may save enough to buy a new iPod on their own!
