'Mellody's Mail': Credit Card Tips

Additionally, you should inquire about financial literacy and credit education as major credit card companies — including Mastercard and Visa — now offer this information to students who sign up for their cards. Once you have selected a credit card, it is critically important to use it judiciously — pay your bill in full each month and make sure your payments are on time.

While credit cards are one way to build credit, keep in mind that there are other ways as well. For example, you can put your name on your phone and utility bills. By paying the bills on time and in their full amount, you will not only get a good grade from you utility company, but you will receive high marks on your credit report.

E-mail Mellody with your personal finance questions.

Mellody Hobson, president of Ariel Capital Management (arielmutualfunds.com) in Chicago, is Good Morning America's personal finance expert. Ariel associates Matthew Yale and Aimee Daley contributed to this report.