What is a credit card?

A credit card is a plastic card that is issued to users as a means of payment. It therefore allows its holders to buy or purchase goods and services.

College Student Credit Card

Student Credit Card

Why a student credit card?

As a student, one is subjected to regularly being asked to pay for some few things in order to run smoothly, some money for books, tuition, or accommodation, some money for the food and some for extra curriculum activities. It’s however, unlike the credit card your parents were usually stuck with back in college or school, a student credit card rewards one for spending his/her cash, also allowing you to even win some points which are redeemed for prizes or cash.

Students or college credit cards usually offer different types of reimbursement for the spending. There are those that give percentage on what is spend back between a different range like between one to three percent, while others will offer points for each and every pound or dollar spent. Unlike the cash which is imply put back into ones account at the end of the month, here points are collected and they are traded for prizes depending on which prize one is interested in.

A good credit card should reward you for using your card anywhere, but also has to offer you big rewards if you are to make some purchase at a stationery or bookshop, including joints like restaurants, movie theatres, supermarkets or shopping malls, chemists, gas stations and all the consumer locations or places for students.

What to look for in a student credit card

Generally the student credit cards were designed with a particular purpose. This was to actually ease the pain of one having to pay a larger amount of cash in one semester, and also teach the young people or students how to use the credit card well. Therefore a good credit card for the college students should offer APR(Annual Percentage Rate), a high period for which one can make his/her payment and a resource to help one track his or her financial situation such as the budget calculator or some free credit lesson.

The best student credit card has to offer some kind of reward for making payments on time and not to exceed the credit time limit. This also has to come with a reduced annual percentage rate or some bonus points. It’s also supposed to offer rewards for good GPA.

Therefore there are many components which can make up a good student credit card, this are.

  • Annual Rate For Purchase

This is the amount of cash one has to pay in interest for the use of credit

  • Points For Card Use

This one is the greatest appeal of a good student credit card. The student credit card offers two types of rewards, points or cash. Points are usually collected through the use of the card and are redeemed for some sorts of treats, ranging from gadgets, tours, concert tickets, shopping to even travelling tickets. The cash back will reward you a percentage of what you’ve spent at each and every month.

  • Who It Is For

All student credit cards usually require the users to be 18yrs and above, and others would even require some prove of enrollment in a particular accredited college or university.

  • Fees And Charges

It’s also inevitable, that if you are to exceed your credit limit or you are to make a late payment, there will be a formal fee deducted onto your account or bill. Therefore searching out for the lowest fees can make this one to be less painful for the student.

  • Help And Support

Since sometimes its unpredictable to tell what one can encounter at any particular place at any particular time, its recommended that a student credit card should offer a 24/7 support system which is real solid for business.

A student credit card is a powerful perfect tool for students, its therefore important for managing your money well. So proper budgeting will ensure one stays within his or her means and you do not run your credit score down the ground.