Attending college provides the ideal opportunity to start establishing smart financial habits. For some students, higher education is the first time that they’ll need to manage money with a debit card and checking account. Here are several spending habits college students should learn as they build their finances.

How You Can Save Money During College

1. Track Your Spending

Most checking accounts provide real-time tracking of online purchases, ATM withdrawals, and other transactions through mobile banking. Keeping track of what you’re spending helps ensure you’re not overspending and reduces the chance of overdrawing your account.

2. Use Credit Responsibly

While building credit is a sound financial move while you’re young, it’s important to make purchases responsibly. Only use a credit card for must-have purchases, like books or lab supplies.

Be sure to pay the balance off in full each month. When you properly manage credit card use in college, it will help establish a high credit score, which will help you apply for a car loan or mortgage later in life. 

3. Start Saving

An emergency fund can help you when faced with an unexpected financial scenario. Open a savings account and, if possible, contribute at least $50 to it each month. Set up automatic transfers from your checking account so you won’t forget. Saving helps create a nest egg to cover car repairs and other expenses you might encounter. 

4. Assess Needs Versus Wants

When you’re in college, use the time to assess wants versus needs. Ask if that online deal is a must or if you can do without it. While it’s fine to treat yourself now and then, commit to focusing on financial priorities first. 

First State Bank wants to partner with you on your financial journey while you’re in college and beyond. Based in Russellville, AR, the community bank provides a host of products and services tailored to college students. From mobile and online banking to affordable savings and checking accounts, you can count on everything you need for responsible money management. To learn more, visit the website or call (479) 498-2400.