You may be wondering what the difference is between
a standard credit card and a so called student credit card. The answer
is that with a student card you will not need to have a proven income
to be accepted for one, there are of course other differences and these
are all covered below.
Because a student credit card will have no minimum income restriction,
the credit card company will charge far higher levels of interest knowing
that the choice of cards available to you is limited. Some student credit
cards will charge as much as 25% APR on purchases, so putting things on
your credit card could end up very expensive if you do not pay off the
balance early.
A student credit card will often come with a host of benefits aimed at
the intended user of the card, ranging from discounted contents insurance
when living in halls through to book vouchers. You should weigh up the
true value of these extras when deciding on which card to go for, as often
they won’t be of any significant value and it is the interest rates
that you need to pay the most attention to. As mentioned above, the interest
charges on student cards will be higher than for regular cards that require
minimum incomes to be proven, being a student will probably mean that
you will either have no income or only a low amount that would not be
enough to qualify for anything other than a student credit card.
Having a credit card can help to ease the financial pain that often goes
hand in hand with student life, giving you the flexibility to pay for
things when you need to and find the money at a later date. Short term
financing is where a credit card can come in really useful, and in most
cases if you pay of the amount within a month you will not be faced with
any charges at all.
During your life at university you will most probably have plenty to worry
about in terms of your finance, don’t let your credit card add to
this – do some research into the student credit cards available
and get the best deal that you can. To help you to this end we have prepared
a list of the best student
credit cards for you to look over.
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