The only problem was that I was living on my own and didn't have anybody to co-sign for me. I didn't want to ask my mother as that was not cool. They didn't have secured credit cards back then. So I had to find someone to co-sign for me.

I remember asking my employer if he would co-sign for me. He was kind enough to help and I got my credit card. I've never looked back.

For a while there, I would spend about $20 - $30 a month, just so I could see what would happen on my credit card statement. Mind you, I would then immediately pay it off since I can't stand owing money and I didn't want to rack up a large amount on my credit card. As this went on for a few months, I noticed that I became more confident in managing my money and my credit. This later helped me in my own business when it came to managing large amounts of money.

1) University / College Students have no credit rating - My story is the same as university students who are just starting off. They don't have a credit rating with Equifax or TransUnion and thus are required to either get a co-signor for an unsecured card, or put up some security for a secured credit card.

2) They want independence from parents - A sense of well being, an identity of who they are, being able to handle things away from their family. This is what all students want in their life.

3) They need an affordable credit card - For a small deposit (sometimes as little as $75.00), a student who is working part time is able to get a secured credit card. Being able to do this, jump starts their credit history.

4) It helps them learn to manage money and credit - Students who are just starting off needs to learn how to manage their money. A credit card will help teach them the responsibility of making payments on time. This is very helpful as they will have to keep bills current; such as, mortgage payments, electrical bills, gas bills, phone bills, etc. when they purchase their own home or rent an apartment.

A reasonably priced credit card, starting a credit rating, and the responsibility of making payments to keep their credit in good standing is what a secured credit card allows the student.