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Is Discover Student Credit Card Good

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Other Student Credit Cards To Consider

Discover It Student Card: The BEST Credit Card in 2020 for STUDENTS!

If one of our top choices doesnt fit your needs, there are some other student credit cards available that can help you achieve your goals. However, make sure that the one you choose makes it easy to avoid fees and tracks the progress youre making with your credit score.

Here are a few cards that just missed our Top 3 that you may want to consider:

  • Discover it Student Chrome: This card offers 2% cash back on gas and restaurant and purchases. It offers many of the perks we like about the Discover it Student Cash Back including the first year cash back match.
  • Capital One SavorOne Student Cash Rewards Credit Card: You can earn unlimited 3% cash back on dining, entertainment, popular streaming services and at grocery stores, with 1% on all other purchases.
  • Chase Freedom® Student credit card: This card lacks a bit in the rewards space, but it does offer you a chance to start a credit relationship with Chase, which is the issuer of some of the most popular credit cards on the market. The student card has a $50 welcome bonus and a $20 annual bonus and the cash back rate is 1% on everything.

Establish And Build Your Credit History

Youve probably heard the terms building credit, credit history and credit score, but you may not know how these concepts apply to you. They likely havent, until now. Your credit history is a track record of how you repay debt. Its boiled down to a three-digit number called a credit score.

Why is a credit score important? Your credit score can be used by lenders, cell phone companies, landlords to determine your eligibility for their services or the interest rates on money you borrow. That means your credit score can impact where you live, your job opportunities and even your cell phone plan. So, its worth it to build a solid credit history.

But how do you build credit history as a college student? A student credit card is a great first step. Its a credit card thats tailored to first-time cardholders who dont have a long credit history. Some student credit cards, like Discover it Student Cash Back or Discover it Student Chrome, offer extra reminders and resources to help you build smart credit habits. A student credit card will kick off your credit history and, if used responsibly, can help you get you on the right path.

Discover It Student Cash Back Fees

The Discover it® Student Cash Back has no annual fee and no foreign transaction fees, which makes it a good choice for students studying abroad.

If you need to finance textbooks or dorm room essentials, you can take advantage of the introductory 0% APR for the first six months on new purchases. After the intro period, there’s a 13.74% – 22.74% variable APR. We always recommend you pay your balance on time and in full in order to avoid interest charges.

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Discover It Student Chrome Fees

The Discover it® Student chrome has no annual fee and no foreign transaction fees, which makes it a good choice for students studying abroad.

If you need to finance textbooks or dorm room essentials, you can take advantage of the introductory 0% APR for the first six months on new purchases. After the intro period, there’s a 13.74% – 22.74% variable APR. We always recommend you pay your balance on time and in full in order to avoid interest charges.

Who This Card Is Good For

5 of the Best Credit Cards for College Students in 2020
  • Students who are organized: The rotating rewards categories are fun to track but frazzled students may struggle to make the most of the rewards program.

Remember, you’ll have to sign up for the bonus reward categories every 3 months and remind yourself to use the card when you buy things in that fall under the special 5% cash back categories.

Plus, if you have good grades, Discover will reward you: New student cardmembers who apply after July 23, 2015 will be rewarded with $20 statement credit if their grade point average is 3.0 or higher each year they are enrolled in school, for the first five years from the account opening.

  • Students who can handle credit responsibly: This isn’t kid stuff just like regular cards, this one will charge you interest if you are unable to pay off your full balance each month.
  • Students who live in metropolitan areas: If you’re going to school in a small town with few big-box stores, you may find using Discover a challenge as some smaller stores may not accept the credit card network.
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    Bankrates Takeis The Discover It Student Cash Back Card Worth It

    The Discover it Student Cash Back card is one of the few student credit cards that offer rewards on par with its issuers signature card. Its rotating category cash back is hard to beat, plus the first-year cash back match are outstanding considering this cards low ongoing rates and fees.

    The information about the Bank of America® Cash Rewards credit card for Students has been collected independently by Bankrate.com. The card details have not been reviewed or approved by the card issuer.

    Who Is This Card For

    • Students looking for a starter credit card: Because of the minimal credit requirements this card has, its a good way for students to get a foot in the door with building a credit history. With credit reporting to the three bureaus, youll be able to start establishing your credit and hopefully grab some rewards along the way.
    • Students from the US studying in the US: The Discover It® Student Cash Back card is not available to international students, as you need a Social Security number to apply, and the Discover network provides less extensive coverage abroad compared with Visa or Mastercard. As such, US students going abroad might be better off with a Visa or Mastercard alternative, while US-based students can highly benefit from the Discover It® Student Cash Back credit card.

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    Here Are Some Good High School Credit Cards:

    The Discover it student card approval rate isn’t public knowledge, but students with limited or no credit should have a good chance of approval. To be eligible to apply, students must be at least 18 years old and enrolled in a 2-or-4-year college or university. Other requirements include U.S. citizenship, a Social Security number and a verifiable annual income sufficient enough to pay at least the minimum amount due each month.

    While the Discover it Student Cash Back card is fairly easy for students to get, approval is not guaranteed. Discover will look at a number of other factors with your application. It’s best if you don’t have too many recent credit inquiries. You shouldn’t have more than one other Discover card account. And even if you’re fairly new to credit, you may have a hard time being approved if you already have negative entries on your credit report, such as late payments.

    If you are denied for a Discover it student card, you still have other options. The Discover it® Secured Credit Card has the best approval chances of all Discover cards. It’s available even to people with bad credit. That’s because you will have to submit a $200 security deposit, which is fully refundable. Alternatively, you can sign on as an authorized user on someone else’s credit card account. This will help you rebuild your credit so that over time, you’ll be able to apply for your own credit card with a much better chance of being approved.

    The Complete Guide To Student Credit Cards

    My First Credit Card! Discover it Student Credit Card

    11 min read

    If youre a student considering a credit card for the first time, you probably have a lot of questions. Why is a credit card for students important? How can you use a credit card to build your credit history? What are the requirements for student credit cards? Well, youve come to the right place. Here, youll find information on how a student credit card, like Discover it Student Cash Back or Discover it Student Chrome , can help you build a brighter financial future. Youll also get answers to student credit card and credit-building questions like:

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    The Discover Student Card Interest Rates Explained

    The most confusing thing about any credit card is understanding the interest rates that you will be charged on any balance you carry forward. This refers to unpaid charges on your card at the end of each billing period.

    For the first six months after you sign up for the Discover Student card, you will be charged 0% on purchases and 10.99% on balance transfers. This is designed to help you get into the practice of paying your bills on time and thereby avoiding interest payments in general. Balance transfers refer to things like getting cash back off your card.

    This also means that if you have been thinking about making a big purchase, you should do it soon after signing up for the card. Then you will be able to pay off the balance over six months without paying any interest on the purchase.

    Following the first six months, you will be charged an ongoing variable APR of 14.49% 23.49%. What this means is that your interest rate will change based on your credit habits.

    If you always pay your balance, it will remain at 14.49%. However, if you miss payments, your interest rate will increase over time.

    What Could Be Improved

    Bonus categories consistency

    The one minor drawback with rotating bonus category cards is that there aren’t any categories where you can always expect to earn more cash back throughout the year. One quarter you may luck out with bonus categories where you have high spending, earning you lots of rewards. The next quarter, you might end up with bonus categories in which you barely spend anything, and most of your purchases will earn you 1% back.

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    Why You Should Consider The Discover It Student Card

    • Earns 5% cash back on rotating bonus categories throughout the year
    • Earns 1% cash back on everything else you buy Cash back can also be used for free merchandise or gift cards
    • 0% intro APR on purchases for the first 6 months
    • No annual fee, foreign transaction fees, pay-by-phone fee, or over-limit spending fee
    • Waives the penalty fee for your first late payment

    This Card Is Best For

    7 Best Cash Back Credit Cards: Students, Dining, Flat Rate
    • Seeks to maximize cash back earnings across spending categoriesCash Back Strategist
    • Currently enrolled in an accredited four year college or universityCollege Student

    The Discover it Student Cash Back card is an excellent option for students who are organized enough to activate the rotating spending categories each quarter. If you can remember to do thisor if you set up calendar reminders on your phone or through emailthe 5% rewards can add up.

    Lets say you spend the maximum of $1,500 per quarter on qualifying purchases in the spending categories and earn 5% cash back. You’d earn $300 per year from these cash back rewards alone, which is a decent amount of extra spending money. Even better, your cash back is matched after your first year as a cardmember, so that $300 in rewards doubles to $600.

    But if you have trouble remembering to activate the spending categories, this card is probably not for you. Instead, you’d be better off with another credit card that offers a flat cash back rate. For example, the Discover it Chrome for Students card allows cardholders to automatically earn 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases each quarter. And, you also get 1% cash back on all other purchases with both cards.

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    Discover It Student Cash Back Credit Card One

    With many credit cards, you earn a one-time offer if you spend a certain amount within the first three months of opening an account. However, this card matches all of the cash back you earn during your first year as a cardmember, and theres no limit to how much the company will match. If you earn $200 in rewards, Discover will match it, giving you a total of $400. Thats a huge benefit for students on a tight budget, and a potentially bigger bonus than most student credit cards offer given the match.

    History Of Discover Card

    Dean Witter Financial Services Group Inc., a subsidiary of Sears, Roebuck, and Co., developed the Discover card in the early 1980s. Testing for the card began in 1985the very first purchase was made by a Sears employee from Chicago in a Sears store in Atlantaand there was also test marketing in Atlanta and San Diego. A year later, in 1986, the Discover card rolled out officially, introduced in a national ad campaign during Super Bowl XX.

    The market was roaring at the time, with cards coming out at head-spinning speed, but Discover sought to distinguish itself in a couple of ways. It charged no annual fee, which was somewhat of a rarity at the time . Another one of its perks, which was also a major innovation at the time, was its cash back rewards: the return of a small percentage of the amount of the purchase in cash money on the user’s account.

    Although the cash back feature was attractive to consumers, Discover caught on slowly with merchants at first, only major airlines and rental-car companiesand of course, big retailers like Searsaccepted it. But it gradually increased in popularity. In the mid 2000s, agreements with foreign payment networks, like Japan’s JCB and China’s UnionPay, greatly increased its usage abroad. As of 2021, Discover is the seventh-largest issuer of credit cards in the world with over 57 million cardholders.

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    How Do You Build Credit While In College

    Get a credit card and follow these best practices:

    • Use your card regularly. Its important to show regular charging and repayment behavior that gets reported to the credit bureaus. That means using the card for small purchases and paying the balance in full every month. You can even set up autopay so you never forget to pay on time.
    • Make timely payments. Paying on time is the most important action you can take to build good credit history, accounting for 35% of your FICO Score.
    • Keep your balance under control. Avoid maxing out your card. Your utilization is how much of your credit limit youre using at a given time and accounts for 30% of your credit score. Personal finance experts recommend using no more than 30% of your limit for example, on a credit card with a $200 limit, spend no more than $60 each month on the card.

    To make sure your credit is on the right track, its good to keep an eye on your credit score. There are a variety of ways to check your credit score for free.

    If you arent ready for the responsibilities of having your own credit card, another way to build credit is to ask a family member to add you as an authorized user on one of their cards. However, make sure its a card with a good payment history and without a lot of debt.

    Earn Cash Back For Your Expenses

    Discover Student it Credit Card (Worth It?)

    Another benefit of some student credit cards is that you can actually earn cash back when you make purchases. Many credit cards for college students offer cash back rewards that are tailored to the student lifestyle. With Discover it Student Cash Back, for instance, students earn 5% cash back on everyday purchases at different places each quarter, like Amazon, grocery stores, restaurants, gas stations and when you pay using PayPal, up to the quarterly maximum when you activate*. Discover also offers Cashback Match, an unlimited dollar-for-dollar match of all the cash back youve earned at the end of your first year, automatically.* That means you could turn $50 cash back into $100. Or $100 cash back into $200. There is no limit to how much Discover will match. These are perks that plain old cash doesnt have.

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    Discover Student Card Review: Is It Right For You

    When youre a kid, its tempting to count down the days until youre an adult and all the freedoms that come with it. Ice cream for dinner! Going to bed whenever you want!

    Of course, as you reach the end of your teen years, you realize that theres a lot of responsibility that goes with these freedoms. One is choosing a credit card after you turn 21 so you can start building your FICO credit score.

    Choosing your first credit card as a college student is a daunting task. First, you hear that most cards offer rewards for using them and that sounds great. At the same time, you also learn complicated-sounding terminology like intro APR versus variable APR.

    Read on to find out why we think the Discover Student Card is the best card out there for college students who are getting their first credit card.

    A Review Of The Benefits

    Even for you, a college student, credit cards can be more than just a way to make easy payments and earn rewards. They can have special features that would come in handy for you, whether it is saving money on fees or teaching you more about credit.

    • Discover it Student Cash Back: No penalty APR, no first late-payment fee, no foreign transaction fees and free FICO Credit Score online and on monthly statements
    • Journey Student Credit Card from Capital One: No balance transfer fee and free Credit Tracker tool

    Discover it Student Cash Back carries a rather lenient fee policy that forgives the student for a first late payment. Normally, that would result in a late-payment fee and a penalty interest rate.

    While you should never make a late payment, its good to know that you get one freebie. The free monthly FICO credit score is especially useful to you because you get to watch your credit improve.

    Youll want to monitor this number because high credit scores help you qualify for loans and better interest rates when you begin to look into other types of loans .

    The Journey Student Credit Card from Capital One waives foreign transaction fees and balance transfer fees — neither of which will be too beneficial to college students.

    Capital One does offer a free Credit Tracker tool that lets you simulate various credit situations and it provides a free monthly TransUnion credit score. Use it to help you improve your credit.

    WINNER : Discover it Student Cash Back

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