Finances 101: A Course for College Students

Looking to build your financial GPA and credit score? Check out these tips to set yourself up for financial success in college!

Create Accounts

First things first, you’ll need a savings account (for your goals and emergency fund), plus a checking account (for everyday spending). Great news is you can open both accounts at Community Choice in just 30 seconds!

Start an Emergency Fund

Once you’ve got your accounts opened, start focusing on building a safety net. When it comes to building an emergency fund, saving 20% of each paycheck is a good rule of thumb. Having funds set aside for UNexpected costs can prevent things like medical bills or car troubles from becoming long-term financial burdens.

Set a Budget

Keep it simple. Track your money inflows (i.e. financial aid, family allowance, paychecks) and expenses (i.e. rent, groceries, subscriptions). You can use an app or a spreadsheet to track your spending patterns, and you may notice areas where changes can be made. Remember: budget savings before spending! Need more help? We’ve got beginner-friendly budget tips here.

Build Credit

A good credit score is like a good GPA: it shows your history and hard work. Building good credit takes time, which is why we’d recommend the Smart Card. It may not have the flashy rewards, but it’s a great way to build a solid foundation.

Pro-tip: Use your credit card like you’d use a debit card, aka know how much money you have to spend and stick to it. Try not to overspend and avoid carrying a balance you know you can’t pay off.

Shop Smart

College is UNdeniably expensive. Consider thrifting for dorm/apartment essentials, renting used textbooks for class or utilizing student discount codes. Saving money should be your top priority. Don’t be fooled by social media—you don’t need to splurge on this season’s hottest twin XL bedding.

Understand Student Loans

If you’re taking out loans for college, borrow only what you need. Not what the maximum is. Have a repayment plan in place, understand the interest rates and the difference between loans available to you. Don’t be afraid to ask questions!

Avoid Common Traps

Be mindful of…

• • Multiple installment purchase plans that encourage big purchases
    • A $1,000 purchase is still $1,000 even if it’s split into five payments!
  • Subscription fees that aren’t worth it
  • Convenient food delivery services that don’t seem that expensive when you’re starving
  • Just a $5 coffee… every morning

Why a Credit Union?

UNlike privately-owned banks, credit unions are not-for-profit and member-owned, meaning they make decisions based on what’s best for their members and the communities they serve. Community Choice is big enough to handle your financial needs but small enough to remember your name. If you’re looking for a place that cares…

This blog is intended for educational purposes only. For details about specific products or services, see credit union for details. For questions about investments, please consult your financial advisor.