As a student, surely your expenses will be more than your earnings. So, it doesn’t come as a surprise when your credit file isn’t that big or robust. For such students, various credit card providers issue some good credit cards for students that are tailor-made for them. If you apply for student credit card and make payments on time, this increase your credit score and prove beneficial in future when you decide to buy a new car or a new house.
Good credit cards for students gives a head start for building good credit that lays the foundation for a secure financial future. Also, a student credit card comes in handy since it includes credit education tools, rewards, and certain perks that can prove beneficial especially to students who attend classes on campus far away from home. So, if you are considering to apply for student credit cards, you can also apply for student credit card online. But if you’re wondering how to apply for a student credit card or how to get a credit card as a student and are not well versed with the process, here’s everything you will need to know about it.
Good credit cards for students and building credit score as a student?
- Firstly, you need to check your credit reports. You need to ensure whether the three major credit bureaus – TransUnion, Equifax, and Experian, have started a credit file on you. Once it is done, you can even pull out records for free every month from TransUnion or once in a year from all the three bureaus.
- It is imperative that you check your credit score which is generated from each credit bureau’s report by FICO and VantageScore. There are certain credit card websites that allow you to check these scores for free. It is vital that your credit score must be at least 670 out of the 300-850 scale.
- One can also find credit cards for students with no income.
- In order to build a good credit score, you need to apply for a credit card. Since it is the best way to improve the credit score. If you are under 21, then you will have a limited choice of credit cards to choose from. If you have little income, opt for a thin credit or secured credit with a refundable deposit. In case you have no income at all, you can become an authorized user on an experienced consumer’s card or become a joint cardholder till you turn 21.
- Also, make it a habit to pay your credit dues on time and in full. This would help you build your credit score.
- There are some of the credit cards for high school students, or you can also check out best credit cards for college students.
What are the ways a student can use credit cards?
- The basic rule of using a credit card is that you make your payments on time. A single missed payment and the credit score you amassed till date will experience a drop.
- Refrain from using your credit card as a long-term loan, instead, use it for building credit. Also, keep a small charge on your credit card; you wouldn’t want the credit card issuer to cancel it for non-usage.
- If you are using your credit card sensibly, it will make you eligible for rewards. All you have to do is pay in full every month since this allows you to earn more points or cash backs. Also, keep an eye out for convenience fees which some colleges charge if you use the card to pay for your tuition fees.
How does a credit card work?
- Credit cards are meant for building credit and making your life more convenient. So, make sure that you do not use it as a long-term loan.
- Also, when you apply for student credit card, check your credit score since it shows you where you stand; you wouldn’t want to apply for credit cards that won’t approve your request. Before opting for a credit card, check the annual fees, rewards, foreign transactions, and benefits.
- As mentioned earlier, ensure that you pay your credit card bills on time since it affects your credit score.
- Also, in order to keep the credit card active, keep a small charge on the card to prevent it from being canceled.
How can one get their first credit card?
- Before you apply for your first credit card, it is best to research about the good credit cards for students
- Check your credit score by pulling out the credit reports.
- Browse through the available credit cards and check the annual fees and reward opportunities.
- Instead of applying for multiple credit cards, you must apply for a single card.
- Provide right personal information and income details when you apply for student credit card.