Best College Student Credit Cards in 2018

Hey I'm Adam Jusko from ProudMoneycom

In this video i'm looking at the best college student credit cards of 2018 Before I do that I would ask you to please subscribe to our YouTube channel if you have not already and if you have I thank you for doing so So, getting a credit card in college can be a double-edged sword On the good side, you can build credit and maybe be able to get your hands on a credit card easier than you could even after you have graduated from college because a lot of credit card companies want to establish a relationship with you and they know you're in college so they assume that when you get out of college you'll probably get a decent job and you're gonna be spending on credit cards in the future So they would like to kind of get in on the ground floor with you

Of course on the other end, if you're not careful, you can get yourself into some credit card debt and you don't really want to graduate from college with debt so you need to be careful That said, I am going to talk about the best college credit card sort of with that frame in mind I'm gonna make a couple assumptions based on the fact that you don't want to get into debt and then probably you're not going to spend a ton of money with your credit cards, at least you shouldn't be, because you should be trying to pay them off every month and not putting too much on them But my assumption is that you are not going to spend a ton, like I just said, and then the other assumption is that you are going to carry a balance sometimes You're gonna try to pay them off every single month but I remember getting my first credit card, my first Discover card, in college and I had the best intentions but left college with a little credit card debt

So it's going to happen to a lot of college students but the goal is of course to pay it off every month But using that framework, I am going to start actually with the one college credit card that doesn't offer you any rewards but it offers you the lowest interest rate range, which means when you do have to pay interest, hopefully you're going to be paying at a lower rate than you would with other cards So when you are carrying a balance, it is better to not have rewards because you generally have a higher interest rate than you would with cards that don't have rewards So, that said, the number one card for college students right now is the BankAmericard for Students Like I said, it's boring, there's no rewards, but it is likely to give you a lower interest rate probably than any of the other cards that we'll talk about

Now the interest rate range as we speak is somewhere between 13495 on the low end and it could go all the way up to 2349% on the high end Most credit cards will offer this sort of interest rate range If you have a credit history and it's good, you might get accepted with a lower interest rate — in this case down by that 13

49% area But if you have no credit history and this is your first credit card, you can assume that you're probably going to be up on that higher end You're probably going to be getting 20% or more as your interest rate But cards that don't offer rewards are generally at least going to be a little bit better on the interest rate, and if you're carrying a balance, then that is something that you should be looking at before you even consider rewards So that is the Number One card

Now you may not like that card because credit cards are a little more fun if you're getting some rewards from them That would be our suggestion, but if you want to talk about some other cards on the market, our Number Two card is also from Bank of America, it is the Cash Rewards for Students card That gives you three percent cash back on gas, two percent cash back on your groceries and wholesale club purchases, and one percent cash back everywhere else If you spend $500 in the first three months that you have it, you'll get a $150 bonus That has a slightly higher interest rate range from 14

49% anywhere up to 2449% so a little higher than the first BankAmericard that we talked about Now the next cards I'm going to talk about to some extent are a toss-up they have interest rate ranges that are around the same, they have a slightly different reward formulas, you've got to think about how you spend or how you think you'll spend with your credit card on your own and then you can sort of make your decision on one of these if you think they're more attractive than the ones I've already talked about So I'll kind of lump these together versus saying they're, you know, three, four, five, six — they're all kind of "3A" or whatever you want to say

So the next one we'll talk about is the Discover it Chrome card You get 2% cash back on gas and restaurant purchases, one percent cash back everywhere else Next is the Citi Thank You Preferred Card for College Students This is a points card It gives you two points per dollar on dining and entertainment purchases, one point per dollar everywhere else

You redeem those for gift cards or travel, I think you might be able to get a statement credit/cash back type thing there You can also earn 2,500 extra points if you spend 500 bucks in the first three months of having that card Next is the Bank of America Travel Rewards for Students card Tis is a card that gives you 15 points per dollar, and you use those points against travel purchases

So you can generally think of 15 points as 15% that you can use against travel purchases So if you have 10,000 points then that would equal a hundred dollars So you can use them for travel purchases, you also have the option to take it as cash back but at a much lower rate so you'd only get about 60%, meaning that 1

5 points which you would think of as a penny and a half, you're really getting less than a penny a point if you used it for cash So it's not as nice You can also get a 20,000-point bonus if you have enough money to spend $1000 on this card in the first three months of having it Now a couple of cards that I'm going to leave out here just because they sort of offer something that either is not as good as the ones I've talked about or have sort of a different framework One of them is the Discover It Card for College Students, which on the surface looks kind of nice — it has these rotating categories and offers you a five percent cash back that change every three months

We leave it off the list because as a college student I really don't think that's where your focus should be You shouldn't be thinking about what rewards are gonna be from you know January through March and then in April having to think about what the next ones are, and how do you get your 5% Again, with the assumptions that we started with early, you're probably not putting a ton of money onto your credit cards so you don't want to go overboard in having to think about rewards all the time That's part of the reason that we leave that off the list of really the best, in our opinion And then the other one is the Capital One Journey student rewards card

Not a bad card, but it gives you one percent cash back on everything and then that will get boosted up to 125% as long as you pay your bills on time So essentially you can think of it as a 125% cash back card Which is fine, but probably most of these other cards

based on your spending, you probably would end up doing a little better than that — of course, except for the first card that didn't have any rewards So Chase and American Express do not offer student credit cards, so if you're wondering why none of their cards made the list that is because they don't exist Those are pretty much all the major college student credit cards that are on the market

Again, Number One we consider the BankAmericard for Students — it doesn't have any rewards but the lower interest rate — to be the best way for college students to go But if you don't want to go that way, hopefully we've given you some other options on the reward front as well So, thanks for watching Please go to ProudMoneycom where we do other credit card rankings and reviews and other personal finance stuff too

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