Best Credit Card for Students in Canada
Here’s the question I set out to answer: what is the best credit card for students in Canada? As a student living in Canada I had to do all the grunt work myself. Just be happy I did it!
OK so what are you looking for in your Canadian student credit card (these are the best credit cards for students):
lower interest rate - would be nice but not a deal breaker (we will be paying 100% of our bills on time, but in case you miss a month…)
Airmiles - only offered on very select card and increases the chances that your card will not get accepted. The more perks you get the more it costs the vendors…
Cash Back Cards - These are pretty awesome. With the really good ones you can get 1% of what you spend back. So in a year you get back 100th what you spent. Er, ok that doesnt sound like much but it will give you and extra 3.65 days of spending payed for. All in all if you’re not spending big money probably not worth it.
Card Points - This is where a large company like MasterCard will give arbitrary points for purchase value. Then you can buy things from their catalogue at more arbitrary points. It is make or break over how good the goodies are.
Store Points - These are like credit card points but instead they get redeemed for cash value in stories. Some people call these grocery credit cards or gas credit cards.
ALL of these are very common in Canadian credit cards for students.
When Should I Get A Student Credit Card?
A lot of young people want to know when they should get a student credit card. If you’re like most of us you’ve heard all the horror stories of getting a student credit card (or any credit card for that matter) and then soon finding out that the interest rate is so high you’re paying 18% every month and scrambling to get the money together.
Well if you’re a student you should get a student credit card ASAP! Why?
There are some really good reasons for getting a student credit card:
1. Start establishing good credit.
Most people are really sorry they don’t have any credit when they get their first car. Not having any credit makes you have to pay a way higher interest rate on your loans. Getting a low limit student card means you will have really good credit (maybe even perfect) and will get a great deal on your loan.
2. Start learning responsibility
You’re eventually going to have to learn how to use credit. Might as well start with your low limit student credit card!
3. Rewards!
Spending cash sucks. Every time you spend cash you get nothing back. With my credit card I get all kinds of awesome perks. Rebate, air miles, groceries, you name it and you can get it with your purchases!