Discover it® Student Cash Back Credit Card Review

Discover it® Student Cash Back Credit Card Key Takeaways

Navigating the financial landscape as a student can be challenging, especially when it comes to building credit and managing expenses. The Discover it® Student Cash Back Credit Card aims to make this easier by offering robust rewards, an intro APR period, and several other enticing benefits designed with students in mind. This credit card is an excellent option for students with no credit history or fair credit scores, providing a pathway to build credit while also earning valuable cash back rewards.
– 5% Cash Back on everyday purchases during the school year (and all year long) at different places each quarter, such as Amazon, grocery stores, restaurants, and gas stations, on up to $1,500 in spending per quarter when you activate.
– 1% Cash Back on all other purchases.
– 2x Discover Cashback Match automatically at the end of your first year. No minimum spending or maximum rewards.
– 0% Intro APR for 6 months from the date of account opening.
– 10.99% Intro Balance Transfer APR for 6 months from the date of the first transfer, then 18.24% – 27.24% Variable.
– $0 Annual Fee.
– No Foreign Transaction Fees.
– Low Approval Requirements for students with no credit history or fair credit scores (0-669).

Discover it® Student Cash Back Credit Card Pros and Cons

Pros:

– High Rewards on Rotating Categories: Earn 5% cash back on rotating categories like Amazon, grocery stores, restaurants, and gas stations.
– Double Rewards in the First Year: Discover will match all the cash back you’ve earned at the end of your first year.
– Intro 0% APR on Purchases: Enjoy 0% intro APR for 6 months on purchases, making it easier to manage large expenses.
– No Annual Fee: This card charges no annual fee, making it cost-effective.
– No Foreign Transaction Fees: Use your card abroad without worrying about foreign transaction fees.
– Low Approval Requirements: Ideal for students with no credit history or fair credit scores.

Cons:

– Rotating Categories: The 5% cash back categories rotate every quarter, which may require some planning to maximize rewards.
– Manual Activation: You need to activate the 5% cash back categories each quarter.
– Limited International Acceptance: Discover cards are not as widely accepted internationally as Visa or MasterCard.
– Not Available for International Students: This card is not available for students who are not U.S. citizens or permanent residents.

Discover it® Student Cash Back Credit Card Benefits

Cashback Rewards

The Discover it® Student Cash Back Credit Card excels in its cashback rewards program. Students earn 5% cash back on everyday purchases in categories that rotate each quarter, including major spending areas like Amazon, grocery stores, restaurants, and gas stations. This can amount to significant savings, especially for students who rely heavily on these categories. Additionally, all other purchases earn 1% cash back, ensuring that every dollar spent contributes to your rewards.
One of the standout features is Discover’s Cashback Match. At the end of your first year, Discover will automatically match all the cash back you’ve earned, effectively doubling your rewards. This can be particularly lucrative for students who maximize their spending in the 5% categories.

Introductory APR Offers

The card offers a 0% introductory APR on purchases for the first 6 months, making it easier for students to manage large expenses like textbooks, electronics, or other school-related costs. Additionally, there is a 10.99% introductory APR on balance transfers for the first 6 months, which can be beneficial for students looking to consolidate debt or transfer balances from higher-interest cards.

No Annual Fee

The Discover it® Student Cash Back Credit Card comes with no annual fee, making it a budget-friendly option for students. This ensures that the rewards you earn are not offset by a yearly fee, maximizing the card’s value.

No Foreign Transaction Fees

For students studying abroad or traveling internationally, the absence of foreign transaction fees is a significant advantage. You can use your card for purchases overseas without worrying about additional charges, making it a convenient option for international travel.

Low Approval Requirements

The card is designed for students with no credit history or fair credit scores, making it accessible to those who are new to credit. This can be an excellent opportunity for students to build their credit history responsibly while enjoying the benefits of a rewards card.

Additional Features

– Free Credit Score: Cardholders can access their FICO® Credit Score for free, helping them monitor their credit and track their progress.
– Purchase Protection: Eligible purchases are protected against damage or theft for a specified period.
– Payment Flexibility: Discover offers flexible payment options, including the ability to choose your payment due date.

Conclusion

The Discover it® Student Cash Back Credit Card is a compelling choice for students looking to build credit and earn rewards. With its high cashback rates on rotating categories, first-year Cashback Match, and no annual fee, the card offers significant value. The introductory APR offers further enhance its appeal, providing financial flexibility for managing large expenses. While the rotating categories and manual activation may require some planning, the overall benefits make this card a strong contender for students seeking a rewarding and cost-effective credit card option. Additionally, the card’s low approval requirements make it accessible to students with no credit history, providing a valuable stepping stone towards building a solid credit profile. Overall, the Discover it® Student Cash Back Credit Card offers a well-rounded package of rewards, benefits, and features that cater specifically to the needs of students.