Congratulations! You’re a student stepping into the world of personal finance and looking to make a smart choice with your first credit card. This is an exciting step towards building credit and establishing good financial habits. With so many credit cards available in Canada, how do you choose the right one for your particular needs as a student? Fret not, because Flik Eco is here to guide you through the process and help you find the perfect credit card to kickstart your financial journey. Let's dive in and understand what to look for in a student credit card and explore some of the best options in Canada.
Credit Cards For Students Canada Table of Contents
What to Look for in a Student Credit Card
When searching for the perfect student credit card, there are several features to consider. Here's what you should look for:
1. No annual fee
As a student, you'd want to minimize your costs, and choosing a credit card with no annual fee is the way to go. This allows you to save money for other crucial expenses.
2. Rewards and Cashback Programs
Some student credit cards offer attractive rewards and cashback programs. This is an excellent opportunity for you to earn points or cashback with every purchase made using your card.
3. Low-Interest Rates
While it’s best to pay off your balance in full every month, sometimes that might not be possible. In that case, a credit card with a low-interest rate can help reduce your interest expenses.
4. Student-oriented benefits
Different credit cards offer unique perks tailored to students, such as discounts on products and services, protection plans, and more.
Top Credit Cards for Students in Canada
Now that you know what to look for, let's explore some of the best credit card options available for students in Canada.
1. BMO CashBack Mastercard for Students
- No annual fee
- 5% cashback on all purchases in the first three months
- 1% cashback on eligible groceries and recurring bill payments, and 0.5% on all other purchases
- Additional: Free SPC membership, 24/7 customer support, and extended warranty & purchase protection
2. Tangerine Money-Back Credit Card
- No annual fee
- 2% cashback on two categories of your choice and 0.5% on everything else
- Low interest rate of 19.95% on purchases
- Additional: Easy-to-use mobile app, automatic cashback deposits, and many more benefits
3. CIBC Dividend Visa Card for Students
- No annual fee
- 2% cashback on all grocery purchases and 1% cashback on gas, transportation, dining, and recurring payments
- Low interest rate of 19.99% on purchases
- Additional: Up to $5,000 credit limit, purchase protection, and extended warranty coverage
Credit Cards For Students Canada Example:
Consider a college student named Chloe, who opts for the BMO CashBack Mastercard for Students. In her first three months of card usage, she earns 5% cashback on all her purchases, maximizing her savings. After the initial period, Chloe earns 1% cashback on grocery and recurring bill payments. She also enjoys the benefits of a free SPC membership, giving her added discounts on shopping and dining.
Finding the right credit card as a student in Canada can be overwhelming due to the vast number of options available. Fortunately, Flik Eco has got your back! With our guide on credit cards for students in Canada, you're well-equipped to make an informed decision on which credit card suits your needs best. Remember to evaluate your spending habits and look out for student-friendly perks. Once you've picked the right card, make sure to use it responsibly and enjoy its benefits while strengthening your financial foundation. If you found this guide helpful, don't forget to share it with fellow students, and explore other informative articles on Flik Eco!
