How Credit Card Companies Allure College Students into Taking Loans
It is a matter of grave concern that current student loan debt has reached the disappointing figure of 1.3 trillion USD. And the targets of malicious schemes naturally are US college students. This loan debt figure has taken this gigantic shape majorly due to the enticing marketing policies of credit card companies. These companies take a variety of initiatives to bring more and more students under their ambit or loan takers. How they do it? Let’s find out.
a. Organization of easy loan camps
College students need money to meet their educational requirements. They mostly work along with studying. So, credit card companies come up with the idea of easy loans to encourage students to pledge their checks in lieu of quick money. The idea, no matter how interesting it is made to sound, is nothing more than a vicious circle. And the result is, increase in a number of students under debt.
b. Various discount offers
Credit card companies make students spend like anything by enticing them with incredible discount offers. The excited students give into the marketing gimmick easily and end up spending more than they can afford. Then, minimum amount payable is another alluring feature that keeps students glued to credit card repayment schedules.
c. Marketing on the students’ tendency to spend
Many credit card companies come up with offers that are bound to get takers. The excitement of owning something precious earlier than others makes students the best bet for the success of any marketing campaign. Students are too naïve to understand the tactics and they end up taking loans off the credit cards.
To combat all these malicious practices, financial literacy is the best possible alternative to consider. Visit https://www.diapers2deposits.com/camp to find how financial literacy can help college students stay away from the clutches of credit card companies and become financially independent in a real sense.