which of the following items would a personal loan be a better option than a credit card for a college student.
A. Car insurance expense
B. Tuition and dorm fees
C. Trips home for the holidays
D. Tickets to sporting events
B. Tuition and dorm fees.
To determine which items would be better suited for a personal loan instead of a credit card for a college student, let's review each option:
A. Car insurance expense: In this case, a personal loan may not be the best choice as car insurance expenses are typically recurring monthly payments. It would be more appropriate to budget for these expenses from your income or savings.
B. Tuition and dorm fees: Generally, tuition and dorm fees are significant expenses that most students cannot pay for in a lump sum. Personal loans could be a suitable option for covering these expenses, as they often offer fixed interest rates and installment plans for repayment.
C. Trips home for the holidays: Personal loans may not be the most suitable choice for financing trips home for the holidays. It would be more appropriate to save money for these occasional expenses or explore alternatives like discounted airline tickets or carpooling with friends.
D. Tickets to sporting events: Personal loans are not recommended for non-essential purchases like tickets to sporting events. It's better to prioritize expenses like education, housing, and regular living costs over discretionary spending.
In conclusion, the option that would make a personal loan a better option than a credit card for a college student is B. Tuition and dorm fees. Remember, it's crucial to consider your financial situation, interest rates, and repayment terms when considering loans or credit cards.