It is that time of year where the temperature is dropping, leaves are changing, and students are heading back to school. That can only mean one thing, school supply shopping and dorm room purchases are in full swing. College students are faced with tough decisions on how to pay for all their new college student necessities. From books to computers, to dorm fridges to futons. Students’ options to pay for these items are typically with the hard-earned money they made during the summer or maybe taking out a higher loan amount than they needed and using that to help cover these costs. Capital One is giving college age kids the option to purchase those items on a credit card and start building their credit up at an early age.
College students often have a hard time getting approved for credit cards as they have zero or very limited credit history. As times are changing, banks have given the younger generation different opportunities to establish and build credit. In recent years, student credit cards have become very popular with college age kids as it gives them a way to become financially independent and build up their credit by learning good spending habits. The transition for young adults to college or that next step of their lives can be difficult, but banks like Capital One have helped make that change easier with these student specific credit cards.
Capital One just launched two brand new student credit cards just in time for kids that are heading off to school. For those of you that are looking to get a credit card for the very first time, there are several factors that you should look at and decide what is most important to you and fits your financial needs the best. While the student specific credit card market is continuing to grow, there isn’t a “one card fits all” option. Features on these cards range from cash back on all purchases, $0 annual fees, fraud coverage, streaming service credits, variable grace periods, and APRs ranging from 13.99% to 26.99%. Ultimately, the borrower needs to decide what feature is most important to them. Here are a few of our suggestions.
Looking for a card with bonus cash-back categories? The Capital One SavorOne Student Cash Rewards Credit Card has you covered. With this card you can earn unlimited 3% cash back on dining, entertainment, popular streaming services and at grocery stores (excluding superstores like Walmart® and Target®), with 1% on all other purchases. Plus, earn 8% cash back on tickets at Vivid Seats through January 2023. You will also enjoy no annual fees, foreign transition fees, or hidden fees. Other card features like $0 fraud liability and the ability to set up Autopay for your account make this card very user friendly. Also, after just 6 months you could be considered for a higher credit line. When used responsibly, this card can help you build your credit.
Looking for a card that has a flat-rate cash back option? Check out the Capital One Quicksilver Student Cash Rewards Credit Card. With this brand-new card, you are able to earn unlimited 1.5% cash back on every purchase, every day. No rotating categories or sign-ups needed to earn cash rewards; plus, cash back won’t expire for the life of the account and there’s no limit to how much you can earn. It also offers a $0 annual fee, and no foreign transaction fees or hidden fees. This card also offers $0 fraud liability and the ability to set up Autopay.
Looking for a card that offers streaming subscription credit? Journey Student Rewards from Capital One is the card for you. This card will earn 1% cash back on all your purchases. Pay on time to boost your cash back to a total of 1.25% for that month. You will also earn $5 per month for 12 months on Select Streaming Subscriptions when you pay on time (*exclusions apply.) This card also allows you to pick the monthly due date that works best for you. Enjoy no annual fee and no foreign transaction fees along with $0 fraud liability if your card is ever lost or stolen. Monitor your credit profile with the CreditWise® app, free for everyone.
Whatever your credit needs are, there is a card out there for you. Keep in mind that signing up for multiple credit cards in a short period of time could negatively impact your credit score, even if you are using the cards responsibly. Student cards aim to teach the borrower good spending habits and learn how to manage credit limits properly. Having a good credit history will make it easier for the bigger purchases and investments that lie ahead.
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