Once you’re at a brand new restaurant, do it’s a must to see the menu earlier than you order? Or do you eat what your foodie buddy says is nice, figuring out it’ll be superb? The reply will help you resolve how one can choose a brand new bank card. Some individuals need the flexibility to check their choices side-by-side; others need just some suggestions (from individuals who know what they’re speaking about). This web page affords each. Use the device under to check widespread scholar bank cards, or maintain scrolling for our editors’ high picks. Whichever you select, we promise the tip consequence might be scrumptious.
Why belief us
MoneySense is an award-winning journal, serving to Canadians navigate cash issues since 1999. Our editorial workforce of educated journalists works intently with main private finance specialists in Canada. That can assist you discover the most effective monetary merchandise, we evaluate the choices from over 12 main establishments, together with banks, credit score unions and card issuers. Study extra about our advertising and trusted partners.
MoneySense editor picks
There’s an abundance of bank cards in Canada. However the choices are somewhat extra restricted for college students, who don’t essentially have a credit score rating or an annual earnings (each of that are widespread eligibility standards). That’s not a nasty factor—in actual fact, it makes your life simpler! As soon as you already know what you need most out of a bank card, the selection turns into fairly clear. Allow us to present you…
| Finest bank card by class | Who’s it greatest for? |
|---|---|
| Finest money again bank card for college students BMO CashBack Mastercard Annual price: $0 |
You spend essentially the most on groceries. And you like a reimbursement over journey factors. |
| Finest journey bank card for college students CIBC Aeroplan Visa Card for Students Annual price: $0 |
You will have your thoughts on a journey vacation spot, and wish an affordable flight to get you there. |
| Finest low-interest bank card Flexi Visa Annual price: $0 |
You don’t anticipate to repay your bank card steadiness each time. |
| Finest secured bank card Home Trust Secured Visa Annual price: $0 |
Your foremost objective is to construct a credit score historical past. |
| Finest retailer bank card for college students PC Financial Mastercard Annual price: $0 |
You spend some huge cash on groceries, and it’s virtually all the time at a retailer owned by Loblaw. |
| Finest scholar bank card for leisure Scotiabank Scene+ Visa Card for students Annual price: $0 |
You’re keen on the massive display screen. |
Must you get your personal bank card?
Having your personal bank card and being a licensed person—also called a supplementary cardholder—on a mother or father or associate’s account are two various things. As a licensed person, you’re in a position to entry the credit score of the first cardholder to make purchases, usually by a bank card with your personal identify on it. Nevertheless, these transactions don’t enable you to set up a credit score historical past or credit score rating—you’re utilizing another person’s credit score, in spite of everything! With a view to construct a superb credit score rating, you’ll want your personal bank card account and to repay the steadiness on time.
—MoneySense editors
Finest money again bank card for college students
At a look: The BMO CashBack Mastercard is a best choice for college students on the lookout for straightforward money again earnings. Combining no annual price with a formidable 3% money again fee on grocery purchases, this card affords college students an opportunity to earn money rewards in a high-spend class.
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BMO CashBack Mastercard
Annual price: $0
Welcome provide: earn 5% money again in your first 3 months Circumstances apply.
Card particulars
| Rates of interest | 20.99% on purchases, 22.99% on money advances, 22.99% on steadiness transfers |
| Revenue required | None specified |
| Credit score rating | None specified |
Finest journey bank card for college students
At a look: The CIBC Aeroplan Visa Card is tailor-made to the wants of scholars, particularly those that can benefit from journey rewards. This student-friendly card has no annual price, and it offers a free SPC+ membership that allows you to get pleasure from financial savings of as much as 30% throughout 450-plus manufacturers.
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CIBC Aeroplan Visa Card for College students
Annual price: $0
Welcome provide: earn 10,000 Aeroplan factors while you make your first buy ($200 worth)
Card particulars
| Rates of interest | 20.99% on purchases and 22.99% on money advances (21.99% in Quebec) |
| Revenue required | None specified |
| Credit score rating | None specified |
| Level worth | Aeroplan factors are price $0.02 on common. |
Finest low-interest bank card
At a look: When you gained’t earn rewards with this card, the Flexi Visa from Desjardins credit score union stands out as a low-interest, no-fee bank card for college students seeking to reduce bank card debt. It additionally options advantages like restricted journey insurance coverage, rental automobile reductions, a month-to-month installment fee plan and cellular gadget insurance coverage.
Flexi Visa
Annual price: $0
Low rates of interest: 10.90% on purchases and 12.90% on money advances
Card particulars
| Rates of interest | 10.90% on purchases and 12.90% on money advances |
| Revenue required | Not specified |
| Credit score rating | Not specified |
Finest secured bank card
At a look: The House Belief Secured Visa is an efficient device for Canadians aiming to ascertain or rebuild their credit score historical past. You set your personal spending restrict, which might vary from $500 to $10,000. For those who do sometimes have bother paying off your steadiness, you’ll be able to benefit from choosing between two rates of interest: 19.99% with no annual price or 14.90% with a $59 annual price. We like that this card enables you to select, however we advocate the low-rate choice.
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House Belief Secured Visa
Annual price: $0
Rewards: None (designed for individuals seeking to rebuild credit score)
Welcome provide: None
Card particulars
| Rates of interest | 19.99% on purchases and 19.99% on money advances |
| Revenue required | None specified |
| Credit score rating | 300 or larger |
Professionals
- This card provides you the choice to decide on the next or decrease rate of interest. With no annual price, the acquisition APR is nineteen.99%. With a $59 annual price, you’ll get a decrease buy APR of 14.90%.
- Once you use your card, House Belief will report funds to each of Canada’s credit score bureaus, TransUnion and Equifax, which helps you construct your credit standing. In distinction, the Neo Secured Card, for instance, solely reviews to TransUnion, which implies that your credit score historical past may not present up correctly for lenders that solely depend on Equifax scores.
- Suitable with digital wallets like Apple Pay, Google Pay and Samsung Pay.
Cons
- In contrast to with the Neo Secured Card, you gained’t earn rewards in your spending. Nevertheless, that is typical for secured playing cards, which prioritize low curiosity.
- The minimal deposit for the House Belief is $500, whereas some playing cards require solely $50. Nevertheless, this can be a negligible disadvantage, as most cardholders will seemingly want entry to no less than a couple of hundred {dollars} on their card.
- This card isn’t obtainable to residents of Quebec.
Finest retailer bank card for college students
At a look: Drugstores and grocery shops are the place many college students are inclined to spend essentially the most. That makes the PC Monetary Mastercard a robust choose for many who store continuously at taking part shops. With earn charges starting from 10 to 30 factors per $1, relying on the shop, you’ll be able to accumulate rewards rapidly.
PC Monetary Mastercard
Card particulars
| Rates of interest | 21.99% on purchases, 22.97% on money advances and 22.97% on steadiness transfers |
| Revenue required | None specified |
| Credit score rating | 560 or larger |
| Level worth | 1 PC Optimum level is price $0.001 (redeem 10,000 factors for $10). |
Finest scholar bank card for leisure
At a look: For those who go to film theatres to get away from dorm drama or to take a break from finding out, contemplate this card. What you spend on the cinema can flip into some good perks.
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Scotiabank Scene+ Visa for college students
Annual price: $0
Welcome provide: earn as much as 5,000 bonus Scene+ factors inside your first 3 months. To qualify, apply by October 31, 2024.
Card particulars
| Rates of interest | 20.99% on purchases, 22.99% on money advances and 22.99% on steadiness transfers |
| Revenue required | Private earnings of $12,000 |
| Credit score rating | 660 or larger |
| Level worth | 1 Scene+ level = $0.01 when redeemed for journey, retailer purchases and food and drinks at Cineplex and Scene companions. |
Professionals
- Scene+ is a fairly versatile factors program. For instance, you’ll be able to guide flights with any airline with out having to depend on a particular journey company or portal. Plus, you’ll be able to redeem for different journey gadgets, akin to Airbnbs. It’s the most effective factors applications obtainable to Canadians.
- The rewards are nice for issues exterior of a typical scholar finances. Deal with your self for managing the stresses of faculty by utilizing the rewards on issues like motion pictures, takeout, retailer reward playing cards, flights, inns and extra.
- It can save you 25% off base charges for automobile leases at taking part Avis and Finances rental places in Canada and the U.S.
Cons
- There aren’t any bonus factors for different widespread spending classes, like fuel or eating, which means fewer methods to maximise your returns. So, you would need to go to the flicks commonly to actually benefit from the bonus earn fee.
- Not as versatile as a money again program, however redeeming is simple for journey gadgets.
How we decide the most effective scholar bank cards
Our editors apply their bank card experience and information of Canadians’ monetary objectives to provide you with choice standards that matches the wants of the supposed cardholder. For college students, the most effective playing cards ought to usually don’t have any annual price, and low earnings and credit score rating necessities—as a result of constructing a credit score historical past is a typical objective for individuals who use these playing cards. Past that, we contemplate the return on spending (for rewards playing cards), the acquisition APR (for low-interest playing cards) and different components, primarily based on the class. The addition of hyperlinks from affiliate companions has no bearing on the outcomes. Learn extra about our selection process and how MoneySense makes money.
Regularly requested questions
In contrast to making use of for a summer time job, making use of for a scholar bank card is fairly simple, though there are a couple of eligibility necessities to bear in mind.
- You’ll should be the age of majority in your province. That’s both 18 (in Alberta, Manitoba, Ontario, Prince Edward Island, Quebec and Saskatchewan) or 19 (in British Columbia, New Brunswick, Newfoundland and Labrador, Northwest Territories, Nova Scotia, Nunavut and Yukon).
- For those who don’t earn an earnings, you could want to supply proof that you just obtain some type of monetary assist, akin to allowances from your loved ones or a scholarship.
As a brand new bank card holder, it’s a wise concept to assessment your choices earlier than you apply. Try what completely different banks are providing and select a card that greatest matches your way of life and spending habits. Every software does have an effect on your credit score, so that you’ll wish to keep away from making use of for a number of bank cards needlessly. Stick to one card as you be taught the ropes and begin constructing your credit score historical past.
Sure, they will. Banks, bank card firms and monetary establishments acknowledge the facility of your enterprise, so that they’ve created “newbie” bank cards for younger adults and college students in Canada. These are typically stripped-down variations of bank cards loaded with perks. However, as you’ll be able to see above, there are nonetheless rewards available with secured and unsecured bank cards for college students. Really, having a bank card is the way you construct a credit score historical past, which is a part of how a credit score rating is calculated. Right here’s how:
- Credit score historical past: An extended historical past reveals lenders you’ll be able to repay debt, and finance specialists advocate to apply for a card as a younger grownup, and use it responsibly.
- Debt load: That is the full sum of money you owe collectors—together with bank cards, loans and mortgages. However mortgages should not usually a difficulty for college students, so your low debt load can work in your favour.
- Cost historical past: That is about the way you effectively you pay your payments, which means in full and on time, in addition to in case you’ve missed any funds and for a way lengthy you’ve carried any debt. At this level in your life, maintain your payments low and pay them off on time.
- Sorts of credit score you carry: The extra collectors you owe cash to, the upper danger you may pose to lenders. Stick to one bank card to keep away from wanting dangerous to lenders.
Can a highschool scholar apply for a bank card?
Bank cards have an age restriction and, usually, earnings necessities that top faculty college students might not be capable to meet. Nevertheless, that doesn’t put all bank cards solely out of attain. If a highschool scholar is the age of majority (18 or 19 years previous, relying on their province or territory), there are some choices.
Bank card candidates in highschool ought to search for playing cards that don’t require a credit score historical past and have a low or no earnings requirement. They will contemplate beginning with a secured card, the place they apply a deposit that they will spend, as these assist construct a credit score historical past. A stable choice is a secured credit card.
What does a highschool scholar want to use for a bank card?
On the whole, candidates will want a bit of presidency ID, a social insurance coverage quantity, a mailing tackle, an employment standing, and earnings info to use for a bank card.
I used to be declined for a scholar bank card—what can I do?
For those who had been declined for a card, it might need to do together with your credit score historical past or your earnings. Contemplate a secured card or a credit card that’s aimed at people with bad credit, as their necessities might be extra modest. When you gained’t get the perks and advantages hooked up to different playing cards, accountable use will help you construct up your credit score rating so you’ll be able to entry higher merchandise sooner or later.
Bank card suggestions for college students
You recognize you might want to be accountable in how you employ your bank card—however what, precisely, does that imply? Learn on for tips about utilizing your bank card to enhance your credit score rating and keep away from any issues.
- Verify your fee due dates
You in all probability know that bank card payments arrive each month, however that doesn’t imply the due date in your fee is on the primary day. The date that begins your billing cycle relies on when you’re accepted for the account, and it could possibly be any day of the month. Make be aware of the due date and ensure you pay on time. Contemplate including these dates to your faculty calendar, too. - Repay your steadiness in full
For those who’re going to be accountable together with your bank card, you gained’t use it to spend cash you don’t have. Don’t go into debt. It’s greatest follow to repay your invoice in full, on time, each month. Not solely will this enhance your credit score rating, however it would additionally enable you to keep away from pricey curiosity expenses. - Heed the minimal steadiness
For those who do overspend, you’ll nonetheless have to repay a few of your steadiness. Your invoice will present a complete steadiness and a minimal fee. You have to pay no less than the minimal fee, on time and each month, it doesn’t matter what. Lacking funds is among the worst issues you are able to do in your credit score rating. Paying solely the minimal implies that you’re accumulating curiosity on the unpaid steadiness. At a mean of round 20%, this may add up rapidly. - Don’t overspend
In case it’s not clear: Don’t overspend! Credit score is borrowed cash, and a bank card isn’t a debit card. All the cash you cost to your card have to be paid again. For those who don’t or can’t, you’ll end up racking up curiosity expenses along with wrecking your credit standing. - Don’t max out your bank card
Your bank card may have a credit score restrict; that’s the sum of money you’ll be able to technically borrow on it. However spending all the way in which as much as your restrict—that’s, maxing out your card—is reckless. It will likely be more durable to repay your steadiness. Use your card selectively for smaller purchases, no less than initially, and think about using debit for nearly all the things else.
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