What is a Student Credit Card?
A student credit card refers to those cards that are specifically marketed to older high school students and college students. It’s technically possibly to obtain a student credit if under the age of 18, but they usually require parental consent and may take into account parent credit rating. There are several types of cards that may be called student credit cards, and these include cards that offer a line of credit, and some that are really debit cards or prepaid credit cards. There can be numerous advantages to a student credit card. Many don’t require proof of income and have low interest rates. Students may use these cards as a convenient means of keeping track of all expenses, and most offer Internet access to balances so they can be viewed at any time. Responsible credit card users may be able to establish an excellent credit history if they always pay their bills on time and keep their credit balance low. Many of these cards offer special perks to students, like cash back on pur
A student credit card is designed for high school and college students and usually works the same way as any credit card that has been issued by a financial institution. In general a student credit card merely has a few more restrictions relative to nonstudent cards. • Some require a parent or guardian to co-sign – This means the student’s parents must agree to be the responsible party in case a student is unable to repay part or all of an outstanding credit card balance. In these cases parents or guardians have control over future raises in the credit limit. • Lower Credit Limit – Typically, a student credit card is the first time a person has been responsible for credit. Therefore, the student does not have any credit history or rating for the bank to draw upon to make their credit decision. As a result, lower credit limits (typically $500 – $1,000) enable students to start building credit history while limiting the risk of loss to the bank that issued the card. • Higher Interest Rat
A student credit card is a type of a credit card that is marketed for students, taking into account their special needs and requirements: A student credit card is usually easier to get. Credit Card companies understand that students have little or no credit history and are giving students a chance to make an easy start with Student Credit Cards. In addition, almost all student credit cards have no annual fees. While student credit cards have many advantages, credit card companies usually approve a relatively low credit limit for such cards. This is because students usually have a little or no credit history to support a higher limit and also because students usually dont require a high credit limit anyway. See also… How do I compare credit card offers? How do I apply for a credit card? What is a rewards credit card? Is online application for a credit card secure?
