<p>I was wondering - what is the best credit card to get as a student?
I was looking at them and I am thinking either Bank of America or AMEX. I am worried that I am not catching a “trap” How where your experiences with credit cards? I want as little fees and hidden charges as possible.</p>
<p>I know that a lot of parents think credit cards are not a good idea for students, but I really want to start building creidt history. I am thinking it won’t be a problem - I have a good amount of money in savings and do not spend much.</p>
<p>If your college or university has a credit union, applying for one of their credit cards is a pretty good idea - to the extent that a credit card for a student is a good idea, which is arguable.</p>
<p>Both my college kids have Bank of America credit cards, as well as their Student Checking (Campus Edge) accounts. The only reason they have them is to build credit. They use them sparingly, like for Transit Cards, Netflix, small purchases. And then they pay off the bill every month online, by transferring the amount due directly from their checking account.</p>
<p>As long as you don’t carry a balance, pay off every month in full, and well before the due date, you ahould be fine.</p>
<p>Agree with choco. Get the BofA card, connected to your Campus Edge. My son doesn’t even wait until the every month thing. Pays online by transferring the amount a week or two after he made the purchase. Builds credit without paying ANY interest. Never pay interest on credit card stuff, if you can’t afford it don’t buy it.
Beware of the credit card offers you get in the mail.</p>
<p>I use an Amex and do what ChoCho described. Amex are great cards and even if you don’t use it often they provide many services and features which come in real handy. You have to pay the bill in full each month. My Amex is non-recurring.</p>
<p>If you get an Amex, also look into getting a Mastercard or Visa (from one of the major banks like Citi, BofA, Chase, etc - anything but Capital One haha) since Amex is not nearly as widely accepted (although it is becoming better).</p>
<p>The student cards are good since they are much more lenient for those with no credit history or income. But, as has been said already, pay in full each month - these cards are tools to build credit, not money machines.</p>
<p>My first credit card independent of my parents (which I currently use) is from my undergraduate institution’s credit union. I have no complaints so far.</p>
<p>Go to the Clark Howard website. He is a consumer affairs reporter who does a radio show in the Atlanta area. His website has links to independent evaluations of credit cards. The cards are divided inot types - one whole category is student cards. He also has articles and transcripts of shows where he gives good info about uses and abuses of credit and debit cards.</p>
<p>It depends on what you want from a credit card. I used to be a big advocate of Amex Blue. I still like the card, but I don’t think that it is right for most students.</p>
<p>For Visa, I think that the MTVu Citi Card is almost perfect for a student. It offers extended warranty like Amex, but it a bit more forgiving (but still bad) if payment is missed. Rewards structure is decent and doesn’t require one to spend a lot whereas Amex Blue does. It also rewards students for good academic performance.</p>
<p>Bank of America cards are fine for building credit, but if you actually use your credit card, there is no reason to stick with a card which isn’t competitive in terms of rewards/features.</p>
<p>I have a gold amex and only put a few bucks a month on it, I wasn’t aware that there is a minimum spending requirements? The annual fee is the same regardless and there is no interest.</p>
<p>I think getting a CC is a great idea for a student provided they approach it correctly. Getting a CC can help build credit, can teach one fiscal responsibility (or suffer the consequences), and can be used as a tool in an emergency when you’re caught somewhere without cash (car breaks down in a strange city, etc.).</p>
<p>The problem with the AmEx (and Discover) is that it’s not as widely accepted as the Visa/MC cards are. I suggest getting a Visa or MC. Also - </p>
<ul>
<li>Get only one card (Visa or MC). They can be used virtually anywhere. </li>
<li>Don’t get any department store, gas company, or other CCs.</li>
<li>Don’t get a card that has an annual fee.</li>
<li>Don’t be concerned about the interest rate of the card (see next item).</li>
<li>Always pay the card off when you get the bill so you never have to pay interest. Make sure the card has an adequate ‘grace period’ to allow for this. </li>
<li>If you can’t afford to pay cash for the item, don’t buy it. The plastic card is only a convenience - not a substitute for having inadequate funds.</li>
<li>If possible get a card that pays YOU to use it - i.e. a ‘cash-back’ card or one that builds air miles that you’d end up actually using. AmEx pays me about $500/year to use their card - not bad.</li>
</ul>
<p>Credit Unions usually have good deals on CCs as do some banks. The Costco AmEx card pays cash-back as does Discover but neither of those are as widely accepted as Visa/MC. Most airlines have cards that’ll award miles for dollars charged.</p>
<p>One more time - always pay it off when you get the bill - don’t use the card as a convenient ‘loan’ or you can get into trouble quickly and big-time.</p>
<p>My college S has a Chase Freedom student card. No fees if paid in full, relatively low beginning line of credit, but has increased as he has paid it off on time.</p>
<p>I looked around and this was my choice as best for 1st time credit card. Earn rewards points, is from a major bank, versus local bank. H & I have ‘adult’ version of said card. I love the cash back feature…</p>
<p>I was referring to Amex with no annual fees such as Amex Blue.</p>
<p>Rewards structure for Blue Cash Back is 5% on Gas, Groceries, and Drug Store purchases (though not at Super Stores like Walmart/Cost-co) and 1% for all other purchases after $6500 in charges. It’s kind of hard to charge more than $6500 as a student unless you can pay your tuition by credit card. For purchases before $6500 the structure is 1% for gas, groceries, and drug store purchases and .50% for all other purchases.</p>
<p>Other (non-fee) cards do not have this tiered structure which makes them more appealing to those who don’t spend a lot per year.</p>
<p>Fee cards tend to be bad choices for most college students.</p>