Credit card companies often rely on legal loopholes and variable interest rates to make a profit, but for students who don't fully understand the effect of long-term payments and debt on their credit record, these practices can seriously affect their finances.

The final responsibility, however, comes down to the individual, and Jessica Silver-Greenberg of Business Week provides a few ideas to help young people build good credit and stabilize their finances ("Fixing the College Credit-Card Mess," Sept. 7, 2007):

• Limit the amount of debt you incur. Choose cards with a credit line of $1,000 to $2,000 instead of multiple thousands to avoid the temptation of excessive spending.

• Be an informed student and understand all the fine print that comes with credit card statements to avoid missing key information.

• Avoid credit vendors that have a record of unfair business dealing, and pay off credit bills on time and fully, whenever possible.