Being a college student you learn to do many new things. From learning how to do your own laundry to keeping your fridge and belly full the college experience includes many extra curricular activities and responsibilities not included in your program.
One of the most useful skills you need to learn is how to budget your money and how to survive off of a limited budget.
This was myself not too long ago; I was faced with the dilemma of wanting to continue going to school but not being sure how to pay for it. My tuition for the year had been paid, but I had absolutely no money in the bank.
One day while walking into student commons I noticed a booth near the doors, the letters on the banner hanging from the table read “MasterCard,” it seemed as if I had stumbled upon my financial salvation.
I did not even need to approach the lady working the booth, flagging me down she caught my attention and I wearily approached the desk. I was greeted with a bright smile and a friendly “hello, could I interest you in some financial freedom today?”
I felt welcomed and safe in the hands of this trusted financial professional, or so I thought.
We began the regular small talk sales banter; I mentioned that I was in the journalism program and she congratulated my on my choice and that was when the sales tactics began to take over.
I was being told that I was quite well off financially for a student; I didn’t owe money for my tuition and I was not eligible for government assistance. She convinced me that I would benefit from the financial freedom that comes with the student plan and a $1000 limit. I was told that I was getting the best interest rate in the country for a student at 19.9%.
I signed the papers and walked away told to expect my card in the mail in anywhere from two to three weeks. I felt satisfied that I had made a good decision and that I had made it on my own without the help of my mother.
I had no idea how wrong I was.
After receiving my card and using it for almost four months, I managed rack up a substantial debt from splurging on myself and other very irresponsible decisions. I hadn’t started to worry until I noticed that my interest rate had changed to 23.9%.
I immediately called MasterCard and was informed that it was not a mistake. Hidden in the fine print on the piece of paper that the wonderful lady helped me sign it was clearly written that MasterCard reserves the right to change your interest rate.
I was fooled. I was tricked into believing I was getting the best deal in the country, to learning my interest rate was definitely above average. It was certainly my fault for not reading the fine print, but what frustrated me is that MasterCard, a company worth billions of dollars sent people to a college to rip off broke college students.
My story is mild at worst, but I speak for those who are now far worse off than I due to being coerced into getting a credit card by a predatory corporation.
Let this be a warning to all, credit card companies and banks are not here to help you; they are here to keep you as a customer. One of their favorite methods happens to be burying people neck high in debt.