Should your college student get a credit card?

As your child (now technically an adult) packs for college, you’re probably checking off the usual list—bedding, laptop, laundry detergent, some textbooks. Yet one item might still be up for discussion: should they get a credit card?

It’s a big decision, but when paired with clear expectations and honest communication, a credit card can be a smart tool for building financial independence. That’s according to BOK Financial® Director of Product Management Deana Dobbs, who encourages families to see credit cards not as a risk to avoid, but as an opportunity to teach and reinforce lifelong habits.

“Credit cards can absolutely benefit students, as long as they’re ready and supported,” Dobbs said. “The key is preparation, not just in the weeks before school starts, but long before they graduate from high school.”

Start with a conversation and a plan
Dobbs encourages parents to start building financial awareness early with their teens. “Before you hand your student a credit card, give them the tools to manage one,” she recommended.

She encourages parents to look for signs of readiness:

• Have they handled a budget or tracked spending?
• Do they understand the difference between wants and needs?
• Have they shown discipline with the money they’ve earned or been given?

During high school or the summer before college, families can take simple steps to build habits:

• Set spending limits with an allowance or budget.
• Review a credit card statement together.
• Create a plan to cover bills, including how and when to pay.

Some families assign the student a credit card to use during the summer, with an agreement to pay it off using income from a job. “That experience helps them understand how credit works before the added pressure of school and managing it on their own,” Dobbs said.

She emphasizes that the goal is not to spend beyond their means, but to practice using credit as a structured tool. “A credit card should never be a way to buy something you couldn’t otherwise afford,” she said. “It’s a way to build a track record of responsible borrowing.”

She also encourages families to discuss what counts as an emergency. “Is it a textbook? A plane ticket home? Food? You want your student to be very clear about what your family considers an emergency.”

Vendors on college campuses often promote credit cards aggressively, sometimes offering freebies for applications. Students without a frame of reference may sign up without understanding the long-term impact.

“This is why those early lessons matter,” Dobbs said. “By the time they’re offered a card, they should already know how credit works and how they plan to use it.”

Two options: yours or theirs
There are two common ways college students gain access to credit:

1. Becoming an authorized user on your credit card
This option allows students to build credit under a parent’s account. The parent retains control and models responsible use.

“If you’re financially stable and pay your bills on time, this can be a great teaching opportunity,” Dobbs said. “Just be clear on expectations, what the card can be used for, what requires a conversation and how you’ll review charges.”

Still, there’s risk. Missed payments or overspending can impact the parent’s credit. That’s why Dobbs recommends firm boundaries and open dialogue.

2. Opening a credit card in the student’s name
Once students turn 18, they’re eligible to apply for a card independently.

“This gives the student full ownership, but it also means the parent may not have visibility into how it’s being used,” Dobbs said. “That makes the upfront conversations even more important.”

Whichever path families choose, the goal is transparency. “Students need to understand that credit is not free money,” she said. “It’s a tool that can help or hurt depending on how it’s used.”

The pitfalls to watch for
Without clear boundaries, students can fall into patterns that damage their financial future. Overspending is the most common risk, and it often begins with small, impulsive choices.

Dobbs encourages families to talk about these red flags:

• “Buy now, pay later” plans. These plans encourage spending money students don’t yet have.
• Retail credit card pitches. Offers at checkout may sound appealing, but multiple cards make it harder to track spending.
• Carrying a balance. Interest charges add up quickly. The goal should be to pay off the card in full every month.

“Students don’t always realize how fast debt grows when payments are missed,” Dobbs warned. “It’s not just about this month’s bill; debt can affect how lenders view them for years.”

Helping your student recover from a credit mistake
Even well-prepared students can make mistakes. If that happens, Dobbs encourages immediate action.

“Encourage your child to talk to you about their money issues,” she said. “The sooner you can get involved, the easier it is to make a plan and avoid long-term consequences.”

Students should also contact their card issuer for support. Many financial institutions offer payment plans or budgeting support.

“The worst thing a student can do is ignore it,” Dobbs said. “Unpaid debt doesn’t disappear. It can be sent to collections and stay on a credit report for years.