As credit newbies, college students have thin, if not nonexistent, credit profiles.
Although it might not be a big deal while you’re in school, having no credit when you graduate can make it hard to rent an apartment, finance a car, or even get a cellphone contract.
Here are the best credit cards for college students looking to build credit in school so they can get a head start financially when they graduate.
At a glance: The best credit cards for college students
Depending on your spending habits and preferences, compare these best credit cards for college students to find out which one suits you.
|Credit Card||What It’s Best For|
|Discover it for Students||Best for bonus rewards|
|BankAmericard Travel Rewards for Students||Best for studying abroad|
|Journey Student Rewards from Capital One||Best for establishing good credit habits|
1. Discover it for Students: Best for bonus rewards
If you want to maximize your rewards, the Discover it for Students can help you do it better than any other student credit card.
Stellar rewards options: The card offers 5 percent cash back on certain categories that change every three months, up to $1,500 in purchases per quarter.
Historically, these categories have included gas stations, restaurants, Amazon, and more. Remaining purchases net you only 1 percent back.
To add more value, Discover will double the cash back you earn during your first year. So, you’re essentially getting 10 percent back on bonus categories and 2 percent back on everything else for the first year.
Decent 0% APR promotion: If you have a big purchase coming up and need time to pay it off, the Discover it for Students offers a 0% APR promotion for six months. After that, depending on your creditworthiness, the APR is 14.24% to 23.24% as of January 2018.
No foreign transaction fees: If you’re planning a trip abroad, you can bring this card along. Most credit cards charge a fee of 3 percent on every transaction you make overseas, but this card doesn’t charge anything.
Poor international acceptance: Although the Discover it for Students doesn’t charge a foreign transaction fee, you might not even be able to use it overseas.
Unfortunately, Discover isn’t widely accepted internationally. So, if you’re planning to study abroad, consider the BankAmericard Travel Rewards for Students instead.
Beyond acceptance issues, there aren’t any other major drawbacks to this card.
2. BankAmericard Travel Rewards for Students: Best for studying abroad
If you’re planning to spend a semester abroad or you want to save up for a senior trip, the BankAmericard Travel Rewards for Students is a solid option.
Standout rewards: With this card, you’ll earn 1.5 points per dollar on every purchase regardless of the category. You’ll also get a 20,000-point sign-up bonus if you spend $1,000 in the first 90 days. That’s worth $200 if you redeem your rewards for travel.
You’ll also get 10 percent more miles on your purchases if you have a Bank of America checking or savings account.
Solid 0% APR promotion: Like the Discover it for Students, this card offers a 0% APR promotion. This one is longer, however. You’ll get an introductory 0% APR on all purchases for 12 billing cycles. After that, depending on your creditworthiness, the APR will be 16.24% to 24.24% as of January 2018.
No foreign transaction fees: This card also charges no foreign transaction fees, but the main difference is it’s issued as a Visa, which is accepted virtually everywhere. So, you likely won’t run into issues using it while spending time overseas. It’s no wonder this is one of the best credit cards for college students studying abroad.
Poor choice for cash back: This card is perfect if you want only travel rewards. If you try to use it for cash back, though, you’ll get only half the value. For example, the 20,000-point sign-up bonus would be worth $100 in cash back versus $200 in travel. Beyond this issue, there aren’t any major cons to the card.
3. Journey Student Rewards from Capital One: Best for establishing good credit habits
The Journey Student Rewards from Capital One is one of the best credit cards for college students who want a flat-rate cash-back card and incentives to develop good credit habits.
Bonus rewards for paying on time: The card offers 1 percent cash back on every purchase you make. But if you pay your monthly bill on time, Capital One will boost your cash-back rate to 1.25 percent.
Increase your credit limit: If you make your first five monthly payments on time, Capital One will automatically give you a credit limit increase. This can be a big deal as you learn how to keep your credit utilization low.
Travel perks: Not only does the card charge no foreign transaction fees, but it also offers travel accident insurance when you use your card to pay for your travel. This coverage offers up to $100,000 if you experience an accidental loss of life, limb, sight, speech, or hearing when you travel.
Lower rewards rate: Having cash back is nice, but you could maximize your rewards with the Discover it for Students or get a higher overall rewards rate with the BankAmericard Travel Rewards for Students.
No 0% APR promotion: Unlike the other cards in this roundup, the Journey doesn’t offer a 0% APR promotion on purchases or balance transfers. Its 24.99% APR as of January 2018 is also relatively high compared with other student credit cards.
Getting the best credit card for you
The best credit card for a college student depends largely on their preferences, but there are other things to consider as well.
Getting approved for a credit card isn’t always easy when you’re in college. Federal law requires that credit card issuers consider your ability to make the required monthly payments on the account.
However, since issuers don’t specify their minimum income requirements, it’s important to know what you can (and can’t) count as income. For students under the age of 21, income from jobs, scholarships, and grants are included.
If you’re 21 or older, however, you have more options:
- Earned income
- Allowances and gifts
- Scholarships and grants
- Trust fund distributions
- Retirement income
- Social Security income
Keep in mind that you must have reasonable access to this income to claim it. So, you can’t claim your parents’ income as your own, even if they’re footing the bill for your college education.
If your income doesn’t meet an issuer’s requirements, you might need a co-signer — someone with more income and a solid credit history — to apply with you.
Not every issuer allows co-signers, though, so make sure to call the issuer beforehand to confirm co-signing is available.
Do your research
Before you sign up for any of the best credit cards for college students listed above, take the time to research other options to make sure you’re getting the right card for you. You might find a different credit card with features that suit your needs better than the ones listed here.
In the end, though, the biggest priority is to build credit, and most major credit cards can help you do that. So, if you apply for a card and regret it, don’t fret. Once you’ve established a solid credit history in a year or two, you can apply for a better one.
Interested in refinancing student loans?Here are the top 6 lenders of 2019!
|Lender||Variable APR||Eligible Degrees|
|Check out the testimonials and our in-depth reviews!
1 Important Disclosures for SoFi.
2 Important Disclosures for Earnest.
To qualify, you must be a U.S. citizen or possess a 10-year (non-conditional) Permanent Resident Card, reside in a state Earnest lends in, and satisfy our minimum eligibility criteria. You may find more information on loan eligibility here: https://www.earnest.com/eligibility. Not all applicants will be approved for a loan, and not all applicants will qualify for the lowest rate. Approval and interest rate depend on the review of a complete application.
Earnest fixed rate loan rates range from 3.89% APR (with Auto Pay) to 7.89% APR (with Auto Pay). Variable rate loan rates range from 2.54% APR (with Auto Pay) to 7.27% APR (with Auto Pay). For variable rate loans, although the interest rate will vary after you are approved, the interest rate will never exceed 8.95% for loan terms 10 years or less. For loan terms of 10 years to 15 years, the interest rate will never exceed 9.95%. For loan terms over 15 years, the interest rate will never exceed 11.95% (the maximum rates for these loans). Earnest variable interest rate loans are based on a publicly available index, the one month London Interbank Offered Rate (LIBOR). Your rate will be calculated each month by adding a margin between 1.82% and 5.50% to the one month LIBOR. The rate will not increase more than once per month. Earnest rate ranges are current as of March 18, 2019, and are subject to change based on market conditions and borrower eligibility.
Auto Pay discount: If you make monthly principal and interest payments by an automatic, monthly deduction from a savings or checking account, your rate will be reduced by one quarter of one percent (0.25%) for so long as you continue to make automatic, electronic monthly payments. This benefit is suspended during periods of deferment and forbearance.
The information provided on this page is updated as of 0318/2019. Earnest reserves the right to change, pause, or terminate product offerings at any time without notice. Earnest loans are originated by Earnest Operations LLC. California Finance Lender License 6054788. NMLS # 1204917. Earnest Operations LLC is located at 302 2nd Street, Suite 401N, San Francisco, CA 94107. Terms and Conditions apply. Visit https://www.earnest.com/terms-of-service, email us at firstname.lastname@example.org, or call 888-601-2801 for more information on ourstudent loan refinance product.
© 2018 Earnest LLC. All rights reserved. Earnest LLC and its subsidiaries, including Earnest Operations LLC, are not sponsored by or agencies of the United States of America.
3 Important Disclosures for Laurel Road.
Laurel Road Disclosures
However, if the borrower chooses to make monthly payments automatically by electronic funds transfer (EFT) from a bank account, the fixed rate will decrease by 0.25%, and will increase back up to the regular fixed interest rate described in the preceding paragraph if the borrower stops making (or we stop accepting) monthly payments automatically by EFT from the designated borrower’s bank account.
However, if the borrower chooses to make monthly payments automatically by electronic funds transfer (EFT) from a bank account, the variable rate will decrease by 0.25%, and will increase back up to the regular variable interest rate described in the preceding paragraph if the borrower stops making (or we stop accepting) monthly payments automatically by EFT from the designated borrower’s bank account.
4 Important Disclosures for LendKey.
Refinancing via LendKey.com is only available for applicants with qualified private education loans from an eligible institution. Loans that were used for exam preparation classes, including, but not limited to, loans for LSAT, MCAT, GMAT, and GRE preparation, are not eligible for refinancing with a lender via LendKey.com. If you currently have any of these exam preparation loans, you should not include them in an application to refinance your student loans on this website. Applicants must be either U.S. citizens or Permanent Residents in an eligible state to qualify for a loan. Certain membership requirements (including the opening of a share account and any applicable association fees in connection with membership) may apply in the event that an applicant wishes to accept a loan offer from a credit union lender. Lenders participating on LendKey.com reserve the right to modify or discontinue the products, terms, and benefits offered on this website at any time without notice. LendKey Technologies, Inc. is not affiliated with, nor does it endorse, any educational institution.
5 Important Disclosures for CommonBond.
Offered terms are subject to change. Loans are offered by CommonBond Lending, LLC (NMLS # 1175900). If you are approved for a loan, the interest rate offered will depend on your credit profile, your application, the loan term selected and will be within the ranges of rates shown.
All Annual Percentage Rates (APRs) displayed assume borrowers enroll in auto pay and account for the 0.25% reduction in interest rate. All variable rates are based on a 1-month LIBOR assumption of 2.5% effective February 10, 2019.
6 Important Disclosures for Citizens Bank.
Citizens Bank Disclosures
|2.54% – 7.12%3||Undergrad & Graduate|
|2.54% – 7.27%1||Undergrad & Graduate|
|2.67% – 8.96%4||Undergrad & Graduate|
|3.23% – 6.65%2||Undergrad & Graduate|
|2.54% – 7.43%5||Undergrad & Graduate|
|2.98% – 9.72%6||Undergrad & Graduate|