How to Get a Credit Card for a Student
Eighteen is a great age. Legally, you have become an adult. You have much more freedom than you did last year at age 17. And one of the best parts about turning 18? It is that age that you can get your first credit card. Unfortunately, getting your first credit card is not always easy. You have not yet established your credit, and being so young, many lenders are hesitant to take a risk by lending you money. Let’s take a brief look at a few ways that students can obtain their first credit card.
For many young adults, their first credit card comes in the form of a student credit card. The truth is that most banks and lenders are more than willing to give college students a credit card. So long as you have a job and money in your bank, if you are a student, your chance of being approved for a credit card are very good. When applying for a student credit card, however, you need to be very careful. Credit card companies like to take full advantage of college students. Before you apply for any cards, carefully read over their fine print including their interest rates and annual fees. Many times, lenders will supply college students money, but only for extremely high interest rates and unbelievable annual fees.
Another way for students to obtain a credit card is through their bank. If you have been responsible with your bank account, you may be able to get a credit card from here. The longer you have had your bank account and the more money you have saved up, the more likely you are to be accepted for a credit card from your bank. When applying for a credit card from your bank it is generally suggested that you speak directly to a representative rather than applying online.
Another good option for students is a gas credit card or a department store credit card. The bad news is that these cards usually come with extremely high interest rates and they limit what you can purchase. The good news is that they are very easy to get. Almost anyone can get one of these credit cards. And, once you have one, you can work to build your credit so that you can apply for a lower interest card at your bank.
Your final option as a student is to obtain a secured credit card. What is a secured credit card? When you apply for a secured credit card, you supply the lender with a deposit upon acceptance. This deposit will be held in the case that you fail to make your payments. Over time, if you keep up with your monthly payments, you can have your secured card converted to an unsecured one.
If you are a student, there are many ways for you to obtain your first credit card. Student cards, bank cards, department store cards, and secured cards are all options for first time credit card applicants. They may have high interest rates, but if you can keep up with your payments, you will soon establish your credit and be able to apply for better, lower interest cards.