Best College Student Credit Cards of 2021

Disclaimer: information on this webpage is adapted from NerdWallet's article listing of Best College Student Credit Cards of October 2021

Why it is important to build your credit early

Establishing credit and learning to use it wisely when you are young can make your transition to adulthood much easier.

Building credit might not seem like an urgent priority when you're still in school, but the earlier you start working on your credit history, the better. Having good credit will be important down the road when you want to buy a home or get a car loan, but there are even more immediate benefits. For example, good credit can improve your chances of landing a job or renting an apartment.

Discover it® Student Cash Back

Top pick for bonus cash-back categories that rotate

The Discover it® Student Cash Back offers rich rewards in quarterly bonus categories, although it requires more work than your typical student card.

  1. Pros
    1. Offers 5% cash back in rotating categories once activated, up to $1,500 in spending per quarter; 1% cash back on all other spending.
    2. No annual fee, no late fee on first late payment and a $20 annual statement credit for good grades (for up to five years).
    3. No FICO history requirement.
  2. Cons
    1. Can be a hassle to activate bonus categories every three months.
    2. No foreign transaction fee; but can be problematic since Discover isn't as widely accepted overseas.

Discover it® Student Chrome

Top pick for simplicity and value

Discover offers two fine cards for college students. The Discover it® Student chrome shines with its no-maintenance rewards structure and student-friendly bonus categories. You also get a free FICO score, low fees, and forgiveness for your first late payment. Plus, Discover says there's no FICO history requirement for this card.

  1. Pros
    1. Earn 2% cash back at restaurants and gas stations, on up to $1,000 in combined purchases per quarter, and 1% cash back on all other purchases.
    2. Don't have to "activate" bonus rewards.
    3. The annual fee is $0; offers Discover's signature bonus for new cardholders.
  2. Cons
    1. Discover isn't as widely accepted internationally; need backup plan for travel abroad.

Chase Freedom® Student Credit Card

Top pick for simple rewards + easy-to-earn bonuses

With its rewards and bonuses, its relatively low APR and its upgrade possibilities, the Chase Freedom® Student credit card offers a compelling combination of benefits to students looking for their first card.

  1. Pros
    1. Earn 1% cash back on all purchases and enjoy bonus opportunities — $50 Bonus after first purchase within the first 3 months from account opening, an annual $20 "good standing" bonus for up to five years.
    2. Earn a credit-limit increase with a pattern of on-time payment, plus Chase offers great upgrade options.
    3. No credit history required to apply; 14.99% Variable APR — lower than on many other cards for credit newcomers.
  2. Cons
    1. Doesn't compete with other cards that pay a higher cash-back rate on all purchases or offer richer rewards in specific categories.
    2. Charges a foreign transaction fee, making it a poor choice for studying abroad.

Deserve® EDU Mastercard for Students

Top pick for no credit history and international students

The Deserve® EDU Mastercard for Students is an excellent option for students who can’t qualify for a credit card because they lack a U.S. credit history, a Social Security number or both.

  1. Pros
    1. Offers a chance for students who might not qualify for other cards; Deserve uses its own underwriting process to evaluate applications based on alternative criteria.
    2. Get unlimited 1% cash back on all purchases, a statement credit for a 12-month Amazon Prime Student subscription (up to $59) after spending $500 in the first three billing cycles.
    3. Offers $30 statement credit each time for referring a friend who qualifies for the card; the annual fee is $0.
  2. Cons
    1. Rewards are redeemable only for statement credit; will have to wait until you have $25 in rewards (equal to $2,500 in spending) before you can redeem.
    2. Other cards may offer higher rewards rates if you can qualify for them.

Capital One Platinum Secured Credit Card

Top pick for Secured card

The Capital One Platinum Secured Credit Card is an excellent starter card for someone just starting out with credit.

  1. Pros
    1. This is a secured credit card, so you must put down a deposit. But you might be able to get a $200 line of credit with only a $49, $99 or $200 deposit.
    2. You can also be automatically considered for a higher credit limit with no additional deposit in as little as six months. The annual fee is $0.
  2. Cons
    1. Although secured cards are easier to qualify for than regular unsecured cards, approval isn't guaranteed.
    2. You'll need to be able to show you can pay your bill, and, of course, you'll have to tie money up in a security deposit.

Ways having a good credit score can help you down the road

Your credit history, detailed in your credit report and summarized by credit scores, shows how well you've handled borrowed money — and using a credit card responsibly is one of the quickest and easiest ways to build credit. Among the situations in which good credit comes in handy:

How to make the most of your student credit card

Once you've been approved for a credit card, it's time to start building your credit. Here’s how to use your card to your advantage: