How to Avoid a Major Financial Disaster in College

Studying at a university is supposed to be one of the best ways to get a leg up in your career. You learn skills and hopefully gain the experience you need to do well in your chosen field. While attending university in Canada doesn’t tend to be nearly as expensive as going to a college in the United States, it still costs a decent amount of money. Fortunately, there are things you can do to reduce your risk of experiencing a major financial disaster while you’re at university.

Stay on a Budget

Everyone has heard stories about students who have accumulated an insurmountable mountain of debt during their university career. No one wants to become one of them. Rising tuition costs are a contributing factor, but so is excessive spending.

Making a budget and sticking to it will help you keep your costs under control. For the greatest success, base your budget on the money you’re bringing in yourself and try to minimize what you take out in loans. Remember, it is possible to live well on a frugal budget.

Keep Your Accounts Secure

Even the best financial plans can be ruined by hackers taking advantage of financial accounts with poor security. College students can be prone to oversharing online which puts them at risk of identity theft. Check your credit report regularly so you can spot identity theft and respond quickly.

As a rule, avoid sharing personal information, particularly when it comes to anything that could potentially lead someone to your password. Use strong passwords every time you create an account. Watch out for phishing emails and phone scammers who might be trying to steal your money or identity.

Choose Your Degree Wisely

Most people pursue specific degrees in hopes of using them to get an advantage in their careers. As such, the degree you choose to pursue while attending university will likely impact your financial future. Choose your degree strategically. Consider the career prospects available and their earning potential. Pay particular attention to entry-level wages, as that’s likely where you’ll start, and average earnings since that’s where you’ll probably end up. If those numbers don’t add up the way you want them to, especially in comparison to the costs you’ll incur to earn your degree, consider choosing a different field of study and career path.

Making wise financial decisions during your time at a university gives you a good financial start for the rest of your life. Smart financial choices don’t consistently happen by accident though. They require thought, careful planning, and discipline. This time in your life is an investment. Make the most of it.

Did you like reading this article? Here’s more to read: How to Stay Financially Savvy as a College Student