For many young adults, college is about much more than earning a degree. It’s also a time to learn skills that can last a lifetime, including money management. Whether it’s paying bills, sticking to a budget, monitoring accounts, or making day-to-day spending decisions, the habits students develop during college often follow them long after graduation.
The good news? Building healthy financial habits doesn’t require a finance degree. It starts with a few simple practices that help students stay organized, avoid common mistakes, and make smarter financial decisions over time.
During a recent Ask the Expert interview on KWLM, Heritage Bank N.A.’s Market President, Dave Henle, shared practical advice for young adults preparing to manage their money on their own. His message focused on developing consistent habits, protecting financial information, and making informed decisions before problems arise.
Listen to the Ask the Expert Conversation
Before diving into the article, listen to Heritage Bank Market President Dave Henle discuss financial habits, money management, fraud awareness, and building a strong financial foundation during a recent Ask the Expert segment on KWLM.
Learn to Live Within a Budget
One of the most important money habits students can develop is understanding how much money comes in and how much goes out. College often brings new expenses:
- Rent
- Utilities
- Textbooks
- Groceries
- Transportation
- Entertainment
Without a plan, it can be easy to lose track of spending.
A budget doesn’t have to be complicated. The goal is to understand where your money is going and ensure your spending aligns with your priorities.
Creating a basic monthly spending plan can help students avoid surprises and make more informed decisions.
Make Paying Bills on Time a Priority
If there is one piece of advice Dave Henle emphasized repeatedly during the interview, it’s this: pay your bills on time.
On-time payments help students stay organized and avoid unnecessary late fees and financial headaches.
Whether it’s rent, utilities, student loans, or other financial obligations, developing a system for remembering due dates is important. Helpful strategies may include:
- Calendar reminders
- Automatic payments
- Budgeting apps
- Monthly bill checklists
The specific method matters less than consistency.
Review Your Accounts Regularly
Many people only look at financial accounts when they need to make a purchase or pay a bill.
Students should develop the habit of reviewing accounts regularly. Taking a few minutes each week to look over recent transactions can help identify:
- Errors
- Duplicate charges
- Unfamiliar purchases
- Potential fraud
According to Henle, monitoring accounts should become part of a normal financial routine. The earlier unusual activity is spotted, the easier it may be to address.
Understand the Difference Between Wants and Needs
College often involves managing limited resources. Learning to separate needs from wants can help students make more intentional spending decisions. Needs might include:
- Housing
- Food
- Transportation
- School supplies
Wants could include:
- Entertainment
- Dining out
- Impulse purchases
- Subscription services
That doesn’t mean students can never spend money on fun activities. The goal is understanding how those purchases fit into an overall budget.
Use Payment Apps Carefully
Apps like Venmo, Cash App, and Zelle make it easy to split bills, pay roommates, and send money quickly. They also make it easy to send money to the wrong person.
Henle encouraged students to double-check recipients before sending payments because recovering funds from a mistaken transfer may be difficult. Before tapping “send”:
- Confirm the recipient
- Verify the amount
- Double-check the purpose of the payment
A few extra seconds can prevent unnecessary frustration.
Protect Your Login Credentials
Strong financial habits aren’t just about spending and saving. They also include protecting personal information. According to Henle, students should be careful with:
- Passwords
- Online banking credentials
- Social Security numbers
- Account information
These details should never be casually shared with friends, roommates, or anyone requesting them unexpectedly. Strong passwords and account security measures can help reduce unnecessary risk.
Set Financial Boundaries With Friends and Roommates
Living with roommates can create situations where financial boundaries become important. During the interview, Henle’s advice on lending credit cards to friends was straightforward: “Don’t do it.”
The same principle can apply to financial accounts and sensitive information. Students should carefully consider:
- Who has access to their accounts
- Who knows their passwords
- How shared expenses are handled
- What financial information remains private
Clear boundaries can help prevent misunderstandings and unnecessary risk.
Don’t Ignore Red Flags
Many financial problems give warning signs before they become larger issues. Students should pay attention to:
- Unexpected account alerts
- Unrecognized transactions
- Suspicious emails or texts
- Collection notices
- Denied applications they weren’t expecting
Students should also be cautious when scanning unfamiliar QR codes, especially when the code leads to a login or payment page. Learn how to recognize a QR code scam before entering personal or financial information.
Henle encouraged students to remain aware and take concerns seriously rather than assuming they will resolve themselves. When something doesn’t seem right, it’s worth investigating.
Build Habits Before You Need Them
Many people wait until a financial challenge appears before trying to develop better habits. A more effective approach is building those habits before they’re needed. Students who consistently:
- Pay bills on time
- Monitor accounts
- Protect personal information
- Stay organized
- Make intentional spending decisions
often find themselves better prepared when larger financial decisions arise later. Small habits practiced consistently can have a significant impact over time.
Frequently Asked Questions About Money Management for College Students
Start with the basics: paying bills on time, reviewing accounts regularly, creating a budget, and protecting personal information. These habits create a strong foundation for future financial decisions.
It’s a good idea to review account activity regularly so you can quickly spot unfamiliar transactions, errors, or potential fraud.
Payment apps can be convenient, but students should verify recipients before sending money and keep account information secure.
According to Dave Henle, making payments on time is one of the most important financial habits students can develop.
Students should protect passwords, Social Security numbers, online banking credentials, account numbers, and other sensitive financial information.
Have Questions About Managing Your Finances?
Whether you’re preparing for college or approaching graduation, building healthy financial habits can help you feel more confident managing money on your own. The Heritage Bank team is here to answer questions and provide educational resources that can help you make informed financial decisions.
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