“Catch them young,” advices a financial guru, “they are never to young to learn money management and the magic of savings.” In fact many parents are already teaching 7 and 8 year olds how not to fritter all their pocket money on candy and comics.

Students need to be able to manage money and know that credit scores affect just about everything in life, from college admissions and student loans to buying cars or the first home. The basics of credit scores is that it is a record of how you manage your money and whether or not you pay all your bills in time.

Here are a few tips that will enable you to build a good credit score from day 1.

• Create a budget for daily, weekly, and monthly expenses. Try and set aside a small amount of money each month for emergencies. The World Wide Web has many articles and tips on financial planning as well as easy to use online tools.

• Never avail more than one student credit card. And use the card only for dire emergencies. When you use the card for travel r to buy something make sure you settle the bill in full well before its due date.

• Trim down expenses by sharing accommodation and food costs and by taking part time jobs or freelance assignments to bring in extra funds. At college innovative students can earn by taking on odd jobs all over the campus. Let people including the office, teaching staff, senior students, and librarians know you are willing to work. You will be surprised how many assignments turn up.

• Avoid shopping binges. Lock up the credit cards and if you are “weak” then only go to shopping districts on the day when most shops are closed. The alternative is to leave the credit card at home and go with very little or no money in your purse.

• Save money by learning how to mix-match your wardrobe. This way it wills seem that you have lots of clothes but you will not have to spend to look stylish.

• Make a list of what you need and be bold enough to send the list to family and friends and say “these are my needs, if you ever want to send me a present please ask me so that I get what I need and not multiples of the same thing.” This will ensure that birthday and Christmas gifts will all be useful ones. In some societies the practice is to give students gifts in “cash.”

Make the effort to now what credit reports are and how the credit report and score can affect your life. Learn how the reports are generated by the three major credit reporting agencies. For example FISCO determines credit reports and score by considering:

• 35% payment history.

• 30% outstanding debt.

• 15% length of credit history.

• 10% recent inquiries on your credit report.

• 10% types of credit in use.

With planning and discipline students and adults can live a life of financial freedom.