Many students leave college without ever realizing how potentially challenging it can be to obtain an apartment, car, or even job without good credit. So, if you’re heading to college in 2020, you should start thinking about building credit. These are the best credit cards for students in 2020!
Discover It Student Chrome
Discover student cards are some of the absolute best on the market. Out of all of them, the Discover It Student Chrome card ranks supreme, tanks to 0% APR on purchases for six months, and only 10.99% intro APR on Balance Transfers for six months. Don’t know what these mean? It’s time to read up on credit card terms!
The Discover It Student Chrome card’s benefits do not end there. There’s also o FICO history requirement to get the card, with the possibility to pay the first bill late with no penalties. What about cashback? Well, Student Chrome card owners receive 2% back when dining out and at gas stations, up to $1,000 per quarter. Past that, its a flat 1% on everything.
The card does have one drawback though: it is not accepted abroad!
Discover It Student Cash Back
Let’s talk about Discover’s second most popular student credit card – Student Cash Back. Just like the Student Chrome card, this one does not have any annual fees and no fee for the first late payment – perfect for a college student. However, as the name would suggest, the Student Cash Back is all about putting money back in your pocket. Like other cards, the cardholder can choose once category every three months, and earn 5% cash back, up to $1,500, per quarter. Meanwhile, the card earns a flat 1% back on everything else.
Meanwhile, the drawbacks are the same as the Chrome card – while there’s no transaction fee, it’s not accepted overseas. Students who study abroad will have to get another credit card. Activating the cashback categories can also be a problem – it’s easy to forget to do that every three months, and some categories just don’t suit the student card.
Deserve EDU Mastercard For Students
The final credit card that will work well for college students in 2020 is the Deserve EDU Mastercard For Students. But, at the end of the day, it’s simply not as useful as the Discover card. With only 1% cashback and more than a few requirements for the card, this card will only work for the most fiscally responsible college.
However, if you’re an Amazon fan with friends, the Deserve EDU card might work for you. You’ll get a free 12-month Amazon Prime Student subscription for signing up, as well as a $30 statement credit for each friend referral. Unfortunately, unless you really plan to sue that Prime subscription to its max, this probably isn’t the best choice.
Ultimately, talk with parents and a financial advisor before taking on a credit card as a college student. Remember, its a significant responsibility that impacts your future, so choose wisely!
Sources: NerdWallet, WalletHub.