By Jamie Harrison

Amber Schaffer, a 2006 ETSU graduate, knows first-hand how easy it is to accumulate credit card debt. She learned the hard way as a college student.

“I kept getting a new credit card when one would get maxed out,” said Schaffer.

The unstable economy, fewer available student loans and numerous job layoffs make credit cards the way college students pay for things. Books, gas and even groceries are being charged. Is there a way for college students to responsibly use credit cards without debt after graduation? 

According to a recent MSNBC study, 67 percent of college students had a credit card in 1998 with that figure rising to 75 percent today. 

Schaffer can remember during her first semester at ETSU that booths would be set up in the D.P. Culp Center, offering free gifts for those signing up for a credit card. She said that the card issuers never explained or even included literature on responsible spending. 

Schaffer mainly used her own credit cards during the summer semesters when financial aid was smaller. She used her cards for living expenses like groceries and gas. 

Schaffer said she felt lucky that she was somehow always able to pay her monthly credit card bills. By the time she graduated she didn’t have a big credit card debt.

Jennifer H, last name withheld by request, a 2005 ETSU graduate currently enrolled as a graduate student, wasn’t so lucky. She received her first credit card at 18 and quickly had nine to 10 cards at one time.

Jennifer would always tell herself that she was only going to use her cards for emergencies. She would do well until she ordered pizza on a Friday night or saw a coat she just “had to have.”

“No one ever explained to me how quickly you can get in over your head with credit cards,” said Jennifer. 

By the time Jennifer was in her junior year at ETSU, she filed for Chapter 7 bankruptcy. 

On March 9, 2005, HR 1208 was signed into law. This law is also known as the College Student Credit Card Protection Act. The bill gives new rules for credit card agencies. An account can’t exceed more than 20 percent of a college student’s gross annual income. It also states that no more than one credit card can be issued to a full-time college student without independent income. 

This bill came into effect after Shaffer and Jennifer graduated. They now hope that others can learn from their own past mistakes.

When asked about what advice they would give to current college students who are considering a new credit card, Schaffer was quick to reply.

“Keep the card for emergency uses only,” she said. “Give the card to someone who will hold you to that.

“Don’t use the card for groceries or gas,” said Schaffer.

Jennifer had a different view.

“Don’t get a credit card. They give a sense that it’s okay to splurge and that is where the trouble begins,” she said.

Regardless if a college student has a credit card or is considering applying for one, responsibility is the key. The passing of HR 1208 is some reassurance that may help prevent a student from spending more than he can afford. It comes down to each individual exercising control in what he purchases.