It's easy to rack up charges riding a plastic wave, even though new federal laws limit how credit card companies can target campuses.
"Students will still be bombarded with offers," says Scott Gamm, personal finance contributor from TheStreet.com and author of "More Money, Please." "You you need to be careful you don't just open up a credit card because everyone around you is."
Scott also warns freshmen to stick to an all-cash diet as many are just learning navigate handling finances on their own for the first time. "The last thing you need is another responsiblity if you want to wait a year or two years," says Scott.
And throughout your college career don't make mistake #2: NOT SAVING ENOUGH CASH. If you have a part-time job on campus or earn money tutoring, putting away as little as 10% of your pay will give you reserves when money gets thin.
"Automatically transfer 10% of what you're earning from your checking account to your savings account," advises Scott. "It forces you to make do with less."
Scott also suggests students jot down weekly expenses once they get through the first semester of every year. Mistake #3: NOT KEEPING A BUDGET, puts students in a constant cycle of borrowing.
MISTAKE #4 is common: SPENDING STUDENT LOANS ON TRAVEL. Spring break may seem like good use of loan money you didn't use for tuition or books. But keep in mind that a thousand dollars to dance on the beach adds up to a lot more with the interest you're paying on the loan later.
Plenty of students desperate to stay ahead of their loans make this Mistake, #5: INVESTING IN SCHEMES. Scott warns don't be tempted by penny stock market swindles targeting students who want to get-rich-quick, "If you come across any schemes that look too good to be true just be cautious. Don't put all of your money in one area."
MISTAKE #6: LOSING SCHOLARSHIP MONEY. Check and double check any discounts you earned are applied to your bill. "Perhaps you didn't check the right box or fill out the right form," says Scott. "Make sure you follow up with the university to make sure that money makes it's way to your tuition."
Last pitfall college students make is the mistake of #7 PASSING UP OPPORTUNITY FOR RELATIONSHIPS. Maybe a school far away is offering you money but you don't want to be away from a boyfriend or girlfriend. Take the money, if the relationship can't withstand the long distance, it wasn't meant to be.