College is a good time to start building up your credit. Some landlords take credit scores into account when deciding whether or not to let you rent an apartment, so it’s beneficial to have a good credit history. And if you’re looking to buy a car sometime in the future, having a high credit score can help you secure a low interest rate on a car loan.

Using credit cards, and paying them off in full each month, is a good way to establish your credit. But some college students make financial mistakes that end up hurting their credit scores.

Avoid hurting your credit score

Mother Nature Network says it’s important not to apply for too many credit cards, since having too many open lines of credit can hurt your score. But don’t max out the one or two cards you do have–having a balance that’s too close to the line of credit will hurt your credit as well.

It’s also essential to pay all of your bills on time. If you live off campus, you might have to pay for rent, utilities and other bills. If you’re more than 30 days late on your payments, your credit score will be negatively affected.

Student loans impact credit

If you’re taking out student loans to pay for college, you’re going to have to make significant payments every month once you’re out of school. And if you can’t make your monthly student loan payments because of your credit card debt, you’ll lower your score even more, which will come back to haunt you when you try to take out a loan for a future purchase, like a car or a home.

Take advantage of your grace period on your student loans while you’re in school by doing everything possible to avoid credit card debt. Pay your bills on time, take a course on financial literacy, and read books and articles to become familiar with finance.

Developing good credit in college

Be sure to stick to a budget and don’t spend money you don’t have. Getting a part-time job and being thrifty with buying supplies and textbooks can also be a huge help.

When you’re in college, the last thing you want to do is damage your credit score. It’s important to develop good habits now to avoid setting yourself for future financial trouble.