Every year, new credit card owners enter the market. One of the most reliable sources of these newcomers are recent graduates. Leaving home for the first time and often newly financially independent, more and more of these young adults are getting credit cards to start a new chapter of their lives.

Of course, picking a card isn't always simple. Balancing rewards, interest rate, convenience and security can be a complicated equation. But there are a few principles for these recent grads to keep in mind.

For first time cardholders, an annual fee should be avoided. With tight budgets and little room for unnecessary expenses, these could charges could cause a problem for many recent graduates. Plus, rewards for young people are usually not extensive enough to merit this fee.

Convenience, on the other hand, is an important element of any new card. Whether it's at a campus store, out for dinner or in a cab, having a card that is widely accepted is crucial. If necessary, a little research will tell you if the pos terminal at the campus bookstore accepts credit cards and which types.

There are some cards specifically tailored to college students. With special terms and rewards, these cards can be a great choice for college students looking to expand their spending options without worrying about becoming buried in debt.

Another important thing to consider for first time cardholders is credit history. The time will come when you want to rent or an apartment or buy a car, and having a proven track record of paying credit card debts in a timely fashion will help smooth this process - and secure lower rates.

With all these new borrowers entering the market, it is important for business owners to make sure they have a suitable payment processing system to enable them to tap this new market. Graduates with new credit cards will certainly be looking to shop at places that accept their recent acquisition.