One of my favorite things to do is talk about credit, especially with college students. Why? Because it’s such a transformational time when financial habits are forming and futures are being built. Whether you realize it or not, the choices you make in college can shape your credit for years to come…and I want to ensure you’re set up for success!
I had the honor of speaking at Marist University recently and after reflecting on my visit there, here’s what I wish every student (and honestly, every adult) knew about credit.
1. Each Student Loan Is Its Own Account
Here’s something that surprises almost everyone I talk to: each time you take out a loan, say for each semester or school year, it’s reported as a separate loan on your credit report. Not just one.
Even though your school’s online portal might show one total balance and one monthly payment, behind the scenes, you’ve got multiple individual loans listed.
Why it matters: Each loan affects your credit history. Missing one payment or losing track of one loan can impact your credit score significantly.
My advice: Once you graduate, talk to your servicer about consolidating your loans. It can simplify your payments and make it easier to manage everything in one place. Just make sure you ask about all your options first.
2. Use Credit Cards Like Debit Cards
Credit cards are not the enemy, they’re tools that can work for you not against you. That’s why you’ll hear me talk often about “playing the credit game.” Because when you master how to use them intentionally, they can have awesome perks!
The key is to spend only what you can pay off in full each month. Think of your credit card like a debit card, where you’re borrowing the bank’s money temporarily. Then pay it back…on time, every time!
Why it matters: On-time payments are the single most important factor in your credit score. Just one late payment can leave a mark on your report for years. I know this all too well from my own young adult life, so I’m here to spread the word!
My advice: Automate your payments or set up reminders. You don’t need a high limit or fancy card, just consistent and responsible use.
3. Check Your Credit Reports Regularly
My number-one rule for everyone is simple: check your credit reports regularly!
You can get them for free (start here), and reviewing them helps you spot errors or suspicious activity early. Believe me, it’s much easier to fix something when you catch it quickly than letting it sit for too long.
Why it matters: Your credit report is like your financial report card. It tells your entire money story. If there’s an error or an account you don’t recognize, it could lower your score or even signal identity theft. Staying on top of your reports keeps you in control of your financial standing.
My advice: Plan a money date! Light a candle, pour some tea, and clear a little space on your calendar each month. Approaching your finances in a calm, relaxed way helps you see possibilities instead of problems. This simple ritual also helps you overcome avoidance or shame around money, which is often half the battle. Hold yourself accountable, and remember to make money fun…not a fear!
4. Authorized User vs. Having Your Own Credit
What I noticed at my recent event is that many students are added as authorized users on a parent’s credit card. Maybe that’s you? That’s a great start! It can definitely help you build some credit history. However, it’s not a long-term credit-building strategy.
Why? Because you’re not financially responsible for the account. If your parents close the card or it’s mismanaged, your credit could take a hit without you even realizing it.
My advice: Start building credit in your own name. A student credit card or a small secured card is an excellent way to begin.
5. Six Months Starts Now
Did you know it takes about six months from the time you open your first account to generate a credit score? That means the earlier you start building healthy credit habits, the better your foundation will be when you graduate.
Why it matters: Your credit history doesn’t build overnight, it needs time to grow and strengthen. By starting now, you’re giving yourself a major advantage for the moment you need a credit check. Think of it as giving your future self a financial gift that keeps on giving.
My advice: Open one account, use it responsibly, and let time do its thing.
Final Thoughts
Whether you’re a freshman figuring out financial aid or a senior planning for life after graduation, remember that healthy credit is the gateway to many beautiful opportunities!
The earlier you understand the credit game, the more empowered you’ll be when it’s time to rent an apartment, buy a car, take out a mortgage, or simply feel confident managing your money.
Start small, stay consistent, and keep learning. You’ve got this!
Want in on more credit tips?
- Follow me on Instagram: @creditjeanne
- Listen to the podcast: Credit Over Coffee
- Check out more resources: jeannekelly.net
- Download the app : https://www.creditbosslady.com/
