Be cautious about credit card offers

Staff Report

NEWBERRY — College students and high school seniors headed for college may receive letters offering them credit cards with zero percent fees. They should read those offers carefully, advises KHEAA.

Most cards that offer zero percent interest to new cardholders do so for only a limited time, perhaps six months. After that, the interest rate may rise to more than 20 percent, depending on the cardholder’s payment record during the introductory period.

If all the purchases are not paid off before the introductory rate expires, the higher interest rate may be applied to those purchases from the time they were made.

Students should contact the credit card issuer to make sure they understand exactly what their obligations will be. It is always a good idea to get that information in writing and to save it for future reference.

KHEAA is a public, non-profit agency established in 1966 to improve students’ access to college. It provides information about financial aid and financial literacy at no cost to students and parents.

KHEAA also helps colleges manage their student loan default rates and verify information submitted on the Free Application for Federal Student Aid (FAFSA). To learn more about those services, visit

Staff Report