Best Student Credit Cards: My Friendly Advice on Making the Right Choice
Hey! So, you’re thinking about getting your first credit card, huh? That’s a big step, especially as a student. But let me tell you, having the right credit card can make a huge difference. You might be wondering, “Why should I even care about student credit cards?” Well, trust me, they’re a great tool if you’re smart about how you use them. Not only can they help you build your credit score, but they also offer some sweet perks tailored to student life—stuff like cashback on textbooks, streaming services, or even coffee (I mean, who doesn’t love a caffeine boost during finals, right?).
But not all student credit cards are created equal. Some come with hidden fees, high interest rates, or benefits you’ll never use. Let’s chat about the best student credit cards out there and how to pick the right one for you.
Why Do You Even Need a Student Credit Card?
Before we dive into specific cards, let’s talk about why having a student credit card is a good idea in the first place.
- Build Credit Early: Your credit score is like your financial report card. If you start building credit while you’re still in school, you’ll be in much better shape when it comes time to rent an apartment, buy a car, or even land a job. Employers sometimes check your credit score, believe it or not!
- Learn Financial Responsibility: Getting a student credit card is a way to dip your toes into the world of personal finance. It teaches you about budgeting, interest rates, and the importance of paying on time. Plus, you don’t want to make financial mistakes when you’re older and the stakes are higher.
- Student Perks: Many student credit cards are specifically designed to help you out with student-related expenses. They offer cashback on things like gas, food, or even school supplies. Some cards also give you rewards for good grades, which is a nice bonus!
Now that we’ve got the “why” out of the way, let’s get to the fun part: which student credit cards are the best?
1. Discover it® Student Cash Back Card
The Discover it® Student Cash Back card is honestly one of the top picks for students. And I’m not just saying that because it’s popular—there are some legit reasons behind its hype.
Why it’s awesome:
- 5% Cashback: This card offers a rotating 5% cashback on different categories throughout the year (think restaurants, Amazon, gas stations, etc.). As a student, this can help stretch your budget. Like, who doesn’t want extra cash back for ordering pizza?
- Dollar-for-Dollar Cashback Match: At the end of your first year, Discover matches all the cashback you’ve earned—so if you racked up $100 in cashback, they’ll turn it into $200. Free money, my friend.
- No Annual Fee: As a student, you probably don’t want to pay fees for the privilege of owning a credit card. This card has no annual fee, which is great.
- Good Grade Rewards: If your GPA is 3.0 or higher, Discover will give you a $20 statement credit every year for up to five years. So not only do you get smarter, but you also get rewarded for it!
Drawbacks: The 5% cashback categories rotate every quarter, which can be a bit tricky to keep track of. You also need to activate them manually, but it only takes a few clicks.
Bottom line: This is one of the best student credit cards out there for anyone who wants to earn big cashback while building credit. Just make sure you stay on top of the rotating categories and activate them on time.
2. Journey® Student Rewards from Capital One
Another great card for students is the Journey® Student Rewards card from Capital One. I love this card for its simplicity and straightforward rewards system.
Why it’s awesome:
- 1% Cashback on Everything: Unlike the Discover card, which rotates categories, the Journey card gives you 1% cashback on all purchases. Easy peasy. Plus, if you pay your bill on time, they bump it up to 1.25% for that month.
- Credit Limit Increase: After you make your first five monthly payments on time, Capital One may increase your credit limit. This is great because it helps build your credit score faster (and who doesn’t want a higher limit?).
- No Foreign Transaction Fees: If you’re studying abroad or traveling, this card is a great option because there are no foreign transaction fees. Some other cards will charge you 3% every time you use your card overseas—Capital One doesn’t.
- No Annual Fee: Again, no annual fee here. Thank goodness, right?
Drawbacks: The rewards rate isn’t as high as some other cards, and there’s no fancy first-year cashback match like with Discover. But it’s still a solid choice, especially if you’re looking for a no-hassle card.
Bottom line: The Journey® Student Rewards card is perfect if you want a straightforward card that rewards you for paying on time. If you plan to study abroad or travel a lot, this card becomes even more attractive because of the lack of foreign transaction fees.
3. Chase Freedom® Student Credit Card
Chase is another big player in the credit card world, and their student card is definitely worth considering.
Why it’s awesome:
- $50 Bonus: Just for making your first purchase within the first three months of having the card, you’ll get a $50 bonus. Easy money!
- 1% Cashback on All Purchases: Like the Capital One Journey card, Chase Freedom gives you 1% cashback on every purchase.
- Credit Limit Increase: Chase offers an automatic credit limit increase after making five on-time payments in the first 10 months. It’s a good way to build credit fast.
- No Annual Fee: Again, no annual fee here. You’re probably seeing a theme, right?
Drawbacks: The rewards are pretty basic—no rotating categories or boosted cashback for certain types of purchases. But hey, it’s still better than nothing.
Bottom line: If you’re just starting out with student credit cards and want a straightforward card with a nice sign-up bonus, the Chase Freedom® Student Credit Card is a good choice.
4. Bank of America® Travel Rewards for Students
This one’s for all my travel-loving friends. If you’re a student who plans on doing some globe-trotting, the Bank of America® Travel Rewards for Students might be the perfect card for you.
Why it’s awesome:
- 1.5 Points Per Dollar: This card gives you 1.5 points for every dollar you spend, which you can redeem for travel purchases like flights, hotels, or vacation packages.
- No Foreign Transaction Fees: Like the Capital One Journey card, there are no foreign transaction fees, making it perfect for studying abroad or backpacking across Europe.
- Intro Offer: You can earn 25,000 online bonus points (worth $250) if you spend $1,000 in the first 90 days.
- No Annual Fee: Yep, you guessed it—no annual fee!
Drawbacks: This card is really only beneficial if you’re planning to travel. If you’re not a frequent flyer or don’t plan on going abroad soon, you won’t get as much value out of this one compared to other student credit cards.
Bottom line: If traveling is your thing and you want a card that helps you earn rewards toward future trips, this is a great option. Just make sure you’ll actually use the travel rewards!
5. Deserve® EDU Mastercard for Students
Lastly, let’s talk about a card that’s perfect for international students or those without a strong credit history: the Deserve® EDU Mastercard for Students.
Why it’s awesome:
- Amazon Prime Student Offer: This card gives you a free year of Amazon Prime Student (valued at $69) when you spend $500 in the first three billing cycles. If you’re ordering textbooks or binge-watching on Prime Video, this is a cool perk.
- 1% Cashback: Like some of the other cards on this list, you’ll get 1% cashback on all purchases.
- No Social Security Number Needed: This card is particularly great for international students because you don’t need a Social Security number to apply.
- No Annual Fee: No annual fee here either.
Drawbacks: The rewards rate is basic, and there’s no fancy intro bonus beyond the Amazon Prime offer. But it’s still a good card for students who don’t have a credit history or Social Security number.
Bottom line: If you’re an international student or just starting out with no credit history, the Deserve® EDU Mastercard is a fantastic choice.
How to Choose the Right Student Credit Card for You
Now that you know about some of the best student credit cards, how do you choose which one is right for you? Here are a few things to consider:
- What Are Your Spending Habits?
- If you’re all about online shopping or eating out, a card with cashback in those categories could be your best bet. On the other hand, if you don’t want to worry about rotating categories, a flat-rate cashback card might make more sense.
- Do You Plan to Travel?
- If travel is in your future, look for a card with no foreign transaction fees and travel rewards. That way, you’re not getting hit with extra fees every time you swipe your card abroad. Plus, with travel rewards, you’ll be earning points toward your next trip. The Bank of America® Travel Rewards for Students or the Capital One Journey card would be perfect for you if traveling is your jam.
- Do You Want Simple or Complex Rewards?
- Some cards offer rotating categories that give you higher cashback for certain purchases, but you’ll need to stay on top of those categories and activate them each quarter. If that feels like too much work, a card with a flat-rate cashback might be better for you. Simplicity is key if you’re just starting to manage your finances.
- Are You Focused on Building Credit?
- If your primary goal is to build credit fast, look for cards that offer automatic credit limit increases after a certain period of responsible use, like the Capital One Journey or Chase Freedom Student cards. Higher credit limits can improve your credit score, especially if you keep your spending under control.
- Any Extra Perks Matter?
- Some cards throw in fun or useful perks that can make a big difference, like the Discover it® Student Cash Back card’s Good Grade Rewards or the Deserve® EDU Mastercard’s free Amazon Prime Student membership. Think about which perks will actually benefit you the most.
Tips for Using Your Student Credit Card Wisely
Alright, so now you’ve got an idea of the best student credit cards out there. But before you hit “Apply,” let me give you a few tips on how to use your student credit card responsibly. After all, the goal here is to build your credit score, not fall into debt!
- Pay Off Your Balance in Full Every Month
- This is the golden rule of using any credit card. If you can’t pay off the balance each month, you’ll start racking up interest, which can make it super hard to dig yourself out of debt. Plus, carrying a balance can hurt your credit score. Pay it off in full, and you’ll avoid interest charges while building good credit.
- Use Less Than 30% of Your Credit Limit
- Another key factor in your credit score is how much of your available credit you’re using, called your “credit utilization ratio.” Try to keep it below 30%. For example, if you have a $1,000 credit limit, don’t let your balance go over $300. This shows lenders that you’re not relying too much on credit, which can positively impact your credit score.
- Set Up Auto-Pay
- Life as a student is busy—between classes, exams, and maybe even a part-time job, it’s easy to forget a payment. To avoid missing a due date (and the late fees that come with it), set up auto-pay. That way, you’ll never miss a payment, and your credit score will thank you.
- Don’t Apply for Too Many Cards
- While it might be tempting to apply for multiple student credit cards to get all the bonuses and rewards, applying for too many cards in a short period of time can actually hurt your credit score. Each time you apply for a card, the lender does a “hard inquiry” on your credit, which can temporarily lower your score.
- Check Your Credit Score Regularly
- Most student credit cards offer free access to your credit score, so take advantage of that! Keeping an eye on your score will help you track your progress and stay motivated to use your card responsibly. If you notice any dips in your score, you can take action right away.
So, there you have it! Those are some of the best student credit cards out there, along with some tips to make sure you’re using them wisely. Whether you’re looking for a card with cashback rewards, travel perks, or just something simple to help you build credit, there’s definitely a student credit card that fits your needs.
To sum it up:
- If you’re after high cashback potential, the Discover it® Student Cash Back Card is a solid choice.
- If you want something straightforward and reliable, Journey® Student Rewards from Capital One or Chase Freedom® Student are great picks.
- For the travelers out there, Bank of America® Travel Rewards for Students will make your adventures that much sweeter.
- And if you’re an international student or need a card without much credit history, the Deserve® EDU Mastercard could be just what you’re looking for.
No matter which card you choose, just remember to use it responsibly. Your student credit card is more than just a way to pay for things—it’s your ticket to building a strong financial foundation. By paying off your balance in full, keeping your credit utilization low, and staying on top of your payments, you’ll set yourself up for future success.
Oh, and don’t forget to enjoy those perks! Whether you’re earning cashback on textbooks, getting free travel rewards, or just making the most out of your Amazon Prime Student membership, these cards can help make student life a little easier (and a little more fun).
Good luck, and feel free to hit me up if you have any questions about which student credit card is right for you. You’ve got this!
Regards,
Jason K