There are different types of cards with different functions. In our case, we can define a credit card as a type of card that helps you to buy goods and services. It looks like a debit card or a prepaid card. For instance, a credit card enables you to borrow money to buy goods or services where traders accept the card for payments. Credit cards are usually for people with good credit records. However, there are credit cards for students with no credit.
Credit cards for students without any credit records are essential for the students as they are just starting their life in college, whereby the majority of them have never used any banking services. In such a case, the institution you wish to get the credit card from does not have any history about you. However, since banks need new customers, they can’t ignore you since they also want to grow financially. They have to apply the prevailing regulations to have you on board.
Many people think that it is difficult to get a credit card without a credit history. However, that is not the case. There are credit cards for people with no credit. If you are applying for the first time, you require someone with a good credit record to back you in the credit card application process. Any of your parents, a friend, a brother, sister, or any other relative willing to help you can chip in to ensure that you get the card.
Why Are Credit Cards Important for Students?
As a student, you are busy with studies and have no time to queue in banks to withdraw money. Therefore, a credit card is essential to help you in buying goods and services. The payment of electricity and water bills becomes very easy.
To add on, a credit card reduces the risk of losing money. Carrying cash in your pockets may attract robbers who can steal the money from you. You might also misplace it accidentally. Moreover, it becomes instrumental in places that accept card payments only due to security concerns. After all, paying using a credit card is fast, secure, and convenient to the users.
Apart from the payment of goods and services, you can use the card to pay for school fees. The reason as to why you are in school is because you want to learn. You cannot learn without school fees. Therefore you need to pay on time to study peacefully and pass exams.
With a credit card, you can send funds to the school account, get the receipt and take it to the school accountant for verification. At the end of every month, your parents or guardian can pay for the debt every month to ensure that the card remains valid.
As a student, you can use a credit card to send money to friends and relatives. As long as you know how to transfer money using the routing number, nothing can stop you. You may be a student and, at the same time, having a side hustle. You can send money to your relatives at home to help them in various activities. The recipient can then withdraw the money and use it as you direct them to do.
Can I get a Student Credit Card if I Have No Credit History?
Yes. It is possible to get a credit card even when you do not have a credit history. If you have been wondering about how to get a credit card with no credit, then worry no more as it is possible with several banks. However, you will not walk to them just like that and expect to get the card. You must have the relevant documents and, if possible, have someone with good credit records to stand with you.
Once you get the card, you will start building your credit score. You can tell your parents or guardian to let you pay for small bills such as water and electricity. Slowly, the banks develop an interest in you and can help you in the future by providing better credit limits. Remember that you will not remain a student forever. You will finish school and start earning.
Are Student Credit Cards Acceptable For Small Businesses?
There is no problem when you accept credit card payments from students’ credit cards. The student credit cards are just the same as the usual credit cards. As long as they have enough credit in their cards, you will receive your money within the specified time.
Moreover, small businesses willing to accept credit cards must have the necessary hardware, such as a card reader and Point of Sale. The hardware also works with specific software. Once a student makes a payment, his or her bank records a debt. For instance credit card processing for small business no monthly fee increases customer experience in doing shopping.
Having a small business that accepts credit card payments can earn you good profits. Again your money is safe from robbers as it enters directly into your account. Apart from using a credit card to buy goods from physical shops, you can also send money using a credit card to overseas merchants to purchase goods from them.
What the 9 Best Credit Cards for Students with No Credit?
The following are the nine best credit cards for students with no credit history.
1) Discover it Student Cash Back
The card is very useful to students. The card gives you a 5 % cashback on any transaction you carry out. These include buying goods and services in supermarkets, superstores, hospitals, water points, and so on.
The 5 % applies up to the quarterly maximum. Moreover, the card enables you to get a 1% cashback. You can use the cash back for the next purchase of goods or services. Furthermore, the card issuer does not charge you annual fees.
You will not pay a yearly fee. If you want a yearly statement, you will be able to get it at $20. It is that cheap. You also get rewards for which you can use them anytime you need to buy an item. Get Discover it Student Cashback here.
2) Discover it Student chrome
Discover it Student chromeis among the best student credit cards around. With the card, you will earn a 2% cash back at gas stations and restaurants when you spend money, amounting to $1,000 of all the total transactions within the quarter of the year.
Moreover, you will be able to earn 1% unlimited cash back on other purchases. The cashback is only for particular kinds of commodities. Again, get a yearly school statement at the cost of $20 with a GPA of 3.0 or higher for five consecutive years.
Moreover, the card is good because it has no APR charges for late payments. In addition to this, there are no charges on the first late payment. To add on, you will not be charged annual fees on your account. The company has a dedicated customer care that operates 24/7. Apply for Discover it Student chrome here.
3) Deserve EDU Student Credit Card
The credit card is suitable for students due to the many offers that you get from the card issuer. You will be able to get unlimited 1% cashback on all transactions you make. In addition to the above, you will be able to get a Free Year of Amazon Prime Student worth $59.
Moreover, you will be able to get an opening bonus of $30. The offer is, however, not lasting as it will expire in May this year. So you better hurry now. For first time applicants who have no credit records, the card is handy for their use since the card issuer does not ask for credit history.
Most students have zero credit history since they have never used any financial services. The card has no annual fees. To add on, you can redeem your rewards anytime by buying goods from various stores. Get the card here.
4) Journey Students Rewards From Capital One
The card will allow you to get 1% cashback on all purchases of goods and services. You can redeem the rewards at any relevant store by buying products that are worthy of the number of rewards you have earned. Moreover, when you pay your debt on time, you can receive a 1.25% reward.
Early payment can also help you to get a credit line increment after five months. More about the card is that there are no annual fees. Again, the foreign transaction fee is as low as 3%.
If you want a cash advance, you will need to part with $10. Still, there is no introductory APR. Above all, you can set automatic redeeming of your balance at $25, $50, $100, or $200 at specific dates. Apply for the card here.
5) Citi Rewards Student Card
Citi Rewards Student Card is a fantastic card since it gives you two times rewards when you purchase at gas stations and supermarkets when you spend up to $6,000 per year. Above all, remember that there is a 7-month 0% APR purchase promotion you get with this card.
It is a fantastic one. The incredible thing is the 2500 points you get if you spend $200 or more in the first three months. With this card, forget about annual fees. It is, thus, easy to maintain card usage. In addition, there are no fees charged on international transactions.
Furthermore, no one would like to know your credit history at all. They know that you are a student and thus might not have been using financial services that help build credit records. If you are interested in the card, you can get it here.
6) Wells Fargo Cash Back College Card
If you want the most student-friendly credit card, then you can consider applying for Wells Fargo Cash Back College Card. With this card, you will be able to enjoy a 3 % cashback on gas, grocery as well as drug store purchases within the first six months.
Moreover, you will be able to get unlimited 1% cashback on all purchases you make. You can redeem the points whenever you find it convenient. In addition to the above, enjoy 0% APR on all eligible purchases for a whole year.
Even though the card has no signup bonus, it remains excellent for the willing students. It does not have annual fees at all. So you can always use the card in a relaxed mood. Again, as an account holder with Wells Fargo, you will benefit from some kind of perks. Learn more here.
7) State Farm Student Visa
Upon getting this card, you will be able to get 3 points per $1 spent on Insurance Premiums amounting to $4,000 annually. Is that not interesting? Also, bear in mind that you will be able to get 1 point per every $2 you spent on all eligible net purchases.
You can redeem the points for travel tickets or buy other useful merchandise in stores accepting the card. Unfortunately, there is no signup bonus. But that should not worry you as the benefits you get are many as compared to lacking a signup bonus.
With this card, you will get Visa-backed benefits, which include complimentary loss as well as damage coverage for rental cars, which are paid in full using the card. Above all, there is no introductory APR. See more details here.
8) Petal Visa Credit Card
Petal Visa Credit Card allows you to get Up to 1.5% cashback when you make 12 on-time monthly payments. It is a kind of encouragement to ensure that you do not delay in payments. Above all, paying debts on time increases your credit record to a certain degree.
Again, you will be able to get 1% cashback on all eligible purchases you make all the time. There is no signup bonus. Unlike some credit card issuers, Petal Visa Credit Card does not welcome you with any bonus. But it does not mean that the company does not support its customers.
As you have seen, there are a lot of rewards you will get when using this company. Again, there are no annual fees. Regular APR varies between 4.49% – 25.49%. Learn more here.
9) Capital One Secured MasterCard
One good thing with this card is that there are no annual fees to pay. It saves you money to a great extent since you will not have to incur a lot of expenses to use the card. In addition, the issuer will help you to build a good credit history that will help you get higher credit limits. You will also get an advantage of qualifying to loans as loaning companies want to give out money to someone they can trust.
Before you begin using this card, you should make a cash deposit of $49, $99, or $200. Those are the company’s rules and regulations. Drawbacks to this card are that it does not give you rewards when you use it to purchase goods and services. But that is nothing compared to the zero annual fees. Visit the website here.
Student credit cards are critical to learners studying away from home. There are many things you need at school such as books, clothing, and accommodation. Again, you need a credit card to pay school fees conveniently. The best credit card for students should give rewards to users. Furthermore, they should have minimal costs of usage. Overall, credit cards are secure since you cannot lose money.