On my first day of college, I remember arriving, heading to my first class, and just before reaching the doors, being offered a pack of M&Ms. All I had to do was fill out a credit card application. I didn’t realize it then, but that would be the most expensive pack of M&Ms I ever had. I thought my first class of college was beyond those doors, but my real first test of adulthood was happening right there. And I failed spectacularly.

I didn’t realize that I was being specifically targeted due to my lack of knowledge about credit cards. This isn’t to say that student credit cards are inherently evil. Instead, not knowing how to use them responsibly can be financially disastrous. On paper, it seems innocent—you need credit; it’s our world. However, the way I was introduced to credit cards was flawed. At 18, I was legally responsible but entirely unprepared. Neither my parents nor the education system taught me how to manage a credit card responsibly. This resulted in years of financial hardship, and I paid over $5,000 in late fees and interest. That pack of M&Ms cost me $5,000.

How did I get here? It started innocently enough. Before Amazon.com, credit cards were used for small purchases like movies or outings with friends. Initially, I paid off my card monthly, but more significant purchases crept in. The card made me feel I could afford things I couldn’t. I went from paying in full to paying just the minimum, then late fees piled up. My $500 limit spiraled out of control, ballooning to $5,000. Facing this debt, I paid it off—but it cost much more than the initial amount due to interest and penalties.

Credit card companies know what they’re doing. They offer seemingly minor incentives—free pizza, candy, hoodies—to get you to sign up. Without proper education, you miss asking crucial questions: What’s the APR? When is my billing cycle? Are there hidden fees? Modern legislation makes this more apparent now, but it was buried in complex paperwork in my time. Without knowing these details, debt accumulates rapidly. Daily compounding interest, late fees, and over-limit fees quickly add up. It’s not about avoiding credit cards but knowing how to avoid traps and using them responsibly.

Budgeting, repayment plans, and understanding net income are essential skills for responsibly managing financial products like credit cards. You need a plan—know your income, track your expenses, and set limits. If you overspend, create a repayment plan to tackle debt quickly. Resources like YouTube are invaluable, offering countless videos on financial literacy. However, be cautious of influencers promoting credit cards for affiliate income. Learning these skills early will save you from future financial hardships and help you build solid credit.

Looking back, I realize my experience is not unique. Financial literacy is vital yet often overlooked. My first credit card taught me harsh lessons I wish I had learned earlier. Students must take responsibility for their financial education and decisions. Credit cards, if managed wisely, can be helpful tools. But without education, they can quickly turn into financial nightmares. Reflecting on your experiences.

Expert Tips: Questions to Ask Before Signing Up for a Credit Card

• What is the annual percentage rate (APR)?
• Are there any annual or hidden fees?
• When is my billing cycle and due date?
• What happens if I miss a payment?
• Are there penalties for exceeding the credit limit?
• Is there an introductory APR period, and what are the terms after it ends?

Tips to Keep Credit Card Debt Under Control

• Pay your statement balance in full each month.
• Set a personal spending limit below your credit limit.
• Use only one or two credit cards to simplify tracking.
• Make a budget and review your spending monthly.
• Set up automatic payments to help avoid late fees.

What to Do if Credit Card Debt Is Out of Control

• Stop using the credit card immediately.
• Create a repayment plan or seek credit counseling.
• Prioritize debts with the highest interest rates.
• Consider consolidating your debt if it makes financial sense.
• Seek professional financial advice if you are in serious financial trouble.

These are suggestions, and you should seek professional financial advice if you are experiencing financial difficulties.

 What financial lessons do you wish you knew before college?

Share your experiences and tips in the comments below.