Getting your first credit card can be a little bit intimidating.  You might not even be sure if it's the right thing to do.  And you may have even heard that new laws set to take effect on February 22, 2010 are about to make it a lot more difficult for students to obtain their first credit card.

Welcome to adulthood.  Here is what you need to know:

Congress recently passed legislation that will affect all credit cards, but specific changes were made to credit cards for college students because so many young people have been getting deep into debt. The card companies have traditionally marketed very heavily to students because, as we all know, pizza isn't free and college kids tend to be pretty cash poor.

Beginning on February 22 of next year, the credit card companies will no longer be allowed to send unsolicited pre-screened offers to anyone under 21. The practice of offering free swag (such as t-shirts, water bottles, etc) will also be banned at or near universities.

Now this doesn't mean that you can't get a card if you're not of legal drinking age. You'll still be able to apply, but if you're between 18 and 21 years of age you'll need a co-signer (most likely a parent). The one exception to this rule is if you can demonstrate that you have an "independent means of repaying."

This is a personal question that you'll have to answer yourself because everyone is different. If you know that you're the type of person that will max out your card on Day 1, then you should avoid credit at this stage of your life.

But the problem is that it's very important to build a credit history in this country. Most Americans of college age simply aren't credit savvy. These laws were passed because they generally don't understand the negative consequences of debt. On the flip side, few seem to realize how necessary a solid history of repayment is for their future.

When you get out into the "real world" there are a number of reasons your credit history and credit score will be important. From buying a car, to renting an apartment, and eventually buying your first house, people want to see proof that you're the sort of responsible person they can trust will make payments on time.

The answer is: you should get a credit card, but you must learn about credit regardless.

There are a number of places online where you can learn about credit. Take the time to educate yourself so you make the right decisions. On the right is a list of some resources that will help you get started along that path. Here are a few quick pointers you NEED to be aware of (sorta like Credit Cliff's Notes):

• Never max out your cards: If your limit is $1000, then you want to make sure that your balance is never higher than $500 (at most). Your all important credit score suffers when you go start using more than half of the total amount you're allowed.
• Try to pay off your entire balance monthly: If you pay off your card at the end of every month you should avoid interest payments. This is the best way use of credit cards for college students because you build a credit history without having to pay interest on your purchases.
• Be aware of your interest rate: Always make sure you know what percentage APR (annual percentage rate) you're being charged. For example, if you have a 15% APR and you've made $500 in purchases, that means you'll have to pay an extra $75 per year if you don't pay off the balance. This is a simplified example, but always remember that this money isn't being lent to you for free.
• Shop around: And I'm not talking about shopping for shoes or plasma TVs.  Make sure you don't just take the first credit offer you get.  It's possible that one company will offer you a card with a 19% APR while another will give you a 12% APR.  Do your homework!
• Ask for advice: If you don't understand something, don't be afraid to ask your parents or someone else whose financial advice you can trust. A lot of people end up in debt because they don't take the time to ask questions.

In this video, an associate professor at Ohio State University discusses the merits of obtaining credit as a college student.  He also talks about some of the changes taking place because of the new laws passed by congress.

Have a question about credit cards for college students?  Any advice you'd like to give to fellow students?  Feel free to ask questions or leave comments in the space below.  Thanks!