Best Credit Cards for Students with No Credit History

When you’re a student, life is already pretty hectic. Between classes, exams, part-time jobs, and trying to have a social life, the last thing you want to worry about is building credit. But here’s the thing: building credit is super important, and the sooner you start, the better off you’ll be in the long run. The good news? There are credit cards specifically designed for students with no credit history. These cards can help you build credit while also teaching you how to manage your finances responsibly. Let’s dive into the best credit cards for students with no credit history and how to choose the right one for you.

Why Building Credit as a Student Matters

Before we get into the specifics of which credit cards are best, let’s talk about why building credit is so important. Your credit score is like a financial report card. It tells lenders how responsible you are with money. A good credit score can help you get approved for loans, rent an apartment, and even land certain jobs. It can also save you money in the long run by qualifying you for lower interest rates on loans and credit cards.

As a student, you might not have a credit history yet, which can make it tough to get approved for a traditional credit card. But don’t worry—there are plenty of options out there for students just starting out. These cards are designed to help you build credit without requiring a long credit history or a high income.

What to Look for in a Student Credit Card

When you’re shopping for a student credit card, there are a few key things to keep in mind:

1. No Annual Fee: As a student, you probably don’t have a ton of extra cash lying around. Look for a card with no annual fee so you’re not paying just to have the card.
2. Low Interest Rate: While you should aim to pay off your balance in full each month, life happens, and sometimes you might carry a balance. A low interest rate can save you money if you do.
3. Rewards: Some student credit cards offer rewards like cash back or points for purchases. These can be a nice perk, especially if you’re using the card for everyday expenses.
4. Credit-Building Tools: Some cards offer tools to help you build credit, like free access to your credit score or tips on how to improve it.
5. Ease of Approval: Since you’re just starting out, you’ll want a card that’s easy to get approved for, even with no credit history.

Now that you know what to look for, let’s take a look at some of the best credit cards for students with no credit history.

1. Discover it® Student Cash Back

The Discover it® Student Cash Back card is a great option for students looking to build credit while earning rewards. Here’s why:

• No Annual Fee: You won’t have to pay a fee just to have the card.
• Cash Back Rewards: Earn 5% cash back on everyday purchases at different places each quarter like Amazon.com, grocery stores, restaurants, and gas stations, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases.
• Good Grades Reward: Get a $20 statement credit each school year your GPA is 3.0 or higher for up to the next 5 years.
• Free FICO® Credit Score: Keep track of your credit score with free access to your FICO® Credit Score on your monthly statement and online.
• Intro APR: 0% intro APR on purchases for 6 months, then a variable APR applies.

The Discover it® Student Cash Back card is a solid choice for students who want to earn rewards while building credit. Plus, the Good Grades Reward is a nice bonus for keeping your grades up.

2. Capital One SavorOne Student Cash Rewards Credit Card

If you’re a student who loves dining out and entertainment, the Capital One SavorOne Student Cash Rewards Credit Card might be the perfect fit for you. Here’s what makes it stand out:

• No Annual Fee: Like the Discover card, this one doesn’t charge an annual fee.
• Cash Back Rewards: Earn 3% cash back on dining, entertainment, popular streaming services, and at grocery stores (excluding superstores like Walmart® and Target®). Plus, earn 1% cash back on all other purchases.
• Intro APR: 0% intro APR on purchases and balance transfers for 15 months, then a variable APR applies.
• No Foreign Transaction Fees: If you’re studying abroad or traveling, this card won’t charge you extra for purchases made outside the U.S.
• CreditWise® from Capital One: Monitor your credit score with CreditWise®, which is free for everyone, not just Capital One cardholders.

The Capital One SavorOne Student Cash Rewards Credit Card is a great option for students who spend a lot on dining and entertainment. The intro APR period is also a nice perk if you need to make a larger purchase or transfer a balance.

3. Bank of America® Travel Rewards Credit Card for Students

If you’re a student who loves to travel, the Bank of America® Travel Rewards Credit Card for Students could be a great fit. Here’s what you need to know:

• No Annual Fee: No need to worry about an annual fee with this card.
• Travel Rewards: Earn unlimited 1.5 points per $1 spent on all purchases. Points can be redeemed for statement credits to pay for travel and dining purchases.
• Intro APR: 0% intro APR on purchases for 15 billing cycles, then a variable APR applies.
• No Foreign Transaction Fees: Perfect for students studying abroad or traveling internationally.
• Bank of America® Mobile Banking: Manage your account and track your rewards with the Bank of America® Mobile Banking app.

The Bank of America® Travel Rewards Credit Card for Students is a great option for students who want to earn travel rewards while building credit. The intro APR period is also a nice perk if you need to make a larger purchase.

4. Deserve® EDU Mastercard for Students

The Deserve® EDU Mastercard for Students is another great option for students with no credit history. Here’s why:

• No Annual Fee: No need to worry about an annual fee with this card.
• Cash Back Rewards: Earn 1% cash back on all purchases.
• No Social Security Number Required: If you’re an international student without a Social Security Number, you can still apply for this card.
• Cell Phone Protection: Get up to $600 in cell phone protection when you pay your monthly cell phone bill with your Deserve® EDU Mastercard.
• Free Amazon Prime Student for One Year: Get a free year of Amazon Prime Student when you’re approved for the card.

The Deserve® EDU Mastercard for Students is a great option for international students or anyone who doesn’t have a Social Security Number. The cell phone protection and free Amazon Prime Student are nice bonuses.

5. Petal® 2 Visa® Credit Card

The Petal® 2 Visa® Credit Card is a unique option for students with no credit history. Here’s what makes it different:

• No Annual Fee: No need to worry about an annual fee with this card.
• Cash Back Rewards: Earn 1% cash back on eligible purchases right away, and earn up to 1.5% cash back after making 12 on-time monthly payments.
• No Fees: No late fees, no foreign transaction fees, and no returned payment fees.
• Cash Flow Underwriting™: Petal looks at your banking history to determine your creditworthiness, which can be helpful if you don’t have a credit history.
• Petal App: Manage your account and track your spending with the Petal app.

The Petal® 2 Visa® Credit Card is a great option for students who want a card with no fees and a unique underwriting process. The cash back rewards are a nice perk, especially as you build your credit history.

Tips for Using Your Student Credit Card Responsibly

Now that you’ve got a few options to consider, let’s talk about how to use your student credit card responsibly. Building credit is important, but it’s just as important to avoid getting into debt. Here are some tips to help you use your card wisely:

1. Pay Your Balance in Full Each Month: This is the best way to avoid interest charges and build good credit. If you can’t pay off your balance in full, try to pay more than the minimum payment to reduce the amount of interest you’ll pay.
2. Keep Your Credit Utilization Low: Your credit utilization is the amount of credit you’re using compared to your credit limit. Aim to keep it below 30% to maintain a good credit score.
3. Set Up Automatic Payments: Setting up automatic payments can help you avoid late payments, which can hurt your credit score.
4. Monitor Your Spending: Keep track of your spending to make sure you’re staying within your budget. Many credit card apps offer tools to help you track your spending.
5. Don’t Apply for Too Many Cards at Once: Applying for multiple credit cards in a short period of time can hurt your credit score. Stick to one or two cards and focus on building your credit with those.

Common Mistakes to Avoid

Even with the best intentions, it’s easy to make mistakes when you’re new to credit cards. Here are some common pitfalls to avoid:

1. Maxing Out Your Card: Just because you have a credit limit doesn’t mean you should use it all. Maxing out your card can hurt your credit score and make it harder to pay off your balance.
2. Making Late Payments: Late payments can hurt your credit score and result in late fees. Set up reminders or automatic payments to avoid this.
3. Ignoring Your Statements: It’s important to review your credit card statements each month to make sure there are no errors or fraudulent charges.
4. Using Your Card for Cash Advances: Cash advances usually come with high fees and interest rates, so it’s best to avoid them if possible.
5. Closing Your First Credit Card: Your first credit card is an important part of your credit history. Even if you don’t use it much, keeping it open can help your credit score.

Final Thoughts

Building credit as a student might seem daunting, but it’s actually a great time to start. With the right credit card and responsible habits, you can build a strong credit history that will benefit you for years to come. Whether you’re looking for cash back rewards, travel rewards, or just a simple card to help you build credit, there’s a student credit card out there for you.

Remember, the key to building good credit is using your card responsibly. Pay your balance in full each month, keep your credit utilization low, and monitor your spending. With a little effort, you’ll be on your way to a strong credit score and a bright financial future.

So, which card is right for you? Take some time to compare your options and choose the one that best fits your needs. And don’t forget to enjoy the perks that come with being a student—like cash back rewards, free Amazon Prime, and even a little extra cash for good grades. Happy credit building!