Student credit cards are cards tailored towards college students who have limited or no credit.
These credit cards for no credit offer the ability to report credit activity to the major credit bureaus, as well as offer attractive perks such as no annual fees. If you’re a student without a credit history, keep reading to find out how to select the best card.
How to Find the Best Cards for No Credit
The best cards for students with no credit feature the following…
Report Activity To Credit Bureaus
If you don’t currently have a credit history, you’ll want to make sure your student credit card reports your activity to the major credit reporting bureaus, Equifax Canada and TransUnion Canada, so you can start creating a history today.
No Annual Fees
Cards with no annual fees can help you save money while you finish school and prepare for the real world.
Rewards can include things like cash back on the purchases you make the most (such as gas stations or restaurants) and statement credits for college necessities such as an Amazon Prime subscription. Some cards even offer good grade awards, offering statement credits to students who meet a minimum GPA.
0% Introductory APR
Some student credit card lenders offer an introductory 0% APR period, even to students who don’t yet have a credit history. During the introductory period, you won’t be charged interest on your purchases. This can be helpful for large purchases, such as textbooks.
Alternatives to Student Credit Cards
Other options for students with no credit include secured credit cards and becoming an authorized user on an existing credit card.
- Secured credit cards: If you can’t get approved for an unsecured student credit card, you may want to consider a secure credit card. Secure credit cards require a security deposit, which is usually equal to your credit limit. They are a less risky option for the lender, since if you can’t pay your bill, they will just take your deposit back.
- Authorized user: You could also have a parent or guardian add you as an authorized user to one of their cards. You’ll receive your own card, but your parent or guardian takes responsibility for your spending. Becoming an authorized user can help you build credit.
Why You Should Build Credit As A Student
Building credit as a student can help you qualify for big future life purchases. For example, your score can determine whether you qualify for a mortgage, or the loan term and interest rate you’re offered on a car loan.
Can You Qualify For A Student Credit Card Without Credit?
Yes, you should be able to qualify for a student credit card without having a credit history. The two biggest requirements for student cards are:
- You must be at least 18 years old.
- You must be able to demonstrate that you have the income or assets to afford your minimum monthly bills.