A student credit card is a credit card that is offered to students at college level. Any student beyond the age of 18 years is eligible to apply for the credit card as it does not have an income eligibility limit. The cards have lower interest rates and have a validity period of 5 years.
Though the concept of student credit card is quite new in India, there are banks that offering the cards to the students. Some of the banks that offering the cards in the country are:
Student credit cards are the latest entrants in the credit card industry that help college students manage their expenses on their own. However, not all the students are eligible to get a student credit card. Various banks and financial institutions have come up with a different set of eligibility criteria to issue a student credit card. Only those who meet the criteria would become eligible to apply for a credit card.
While some banks such as the State Bank of India provide credit cards only to its education loan customers, other banks such as ICICI Bank offers student credit card over security deposits. Whichever is the process, if you are a student above 18 years of age and would like to apply for a student credit card, you must first know which bank is offering best student credit cards and process to apply for the same.
Once you meet the eligibility criteria set by the bank, you can check with the bank about the procedure to apply for the same. Not all the banks follow the same process. Hence, it's imperative to talk to the bank personal about the bank-specific process of applying for a student credit card. While a few banks allow you to apply online, others may require you to visit the bank branch and submit an application directly.
Credit Limits: Student credit cards have a lower credit limit compared to other credit cards offered by banks. On average, a student credit card has a credit limit of Rs. 15, 000. This is done to ensure that the cardholders do not incur debts as a result of unrestricted spending.
Card Validity: Student credit cards are generally valid for a period of 5 years from the issue date, as compared to regular credit cards which have a 3 year validity period.
Duplicate card free of cost: If the student credit card holder misplaces their card or it is stolen, a duplicate card would be issued free of cost or at a very nominal charge.
Waiver of fees: Student credit cards often do not have a joining fee and have very low annual charges, making it easier for students to maintain the cards.
Documentation: Students credit cards do not require exhaustive documentation, unlike most other credit cards. The bare minimum of documentation is required when applying for a card.
Special deals and rewards: The student cards come bundled with rewards and loyalty programs that offer cashback or cash points when a certain amount is spent using the card. The cards also have special offers and discounts on services as well as purchases worldwide.
If the cardholder wishes to, the student credit card can be upgraded to a regular credit card anytime during the card's validity.
With banks offering student credit card without the applicants needing to provide any employment documents or Income Tax returns, there must be some doubt as to how a student can apply for credit card.Below, we discuss the ways how a student can get a credit card in their name:
A student can apply for a student credit card if he or she is not working. Depending on the spending habits of the student, a primary credit card can be given.
Since students will ideally not have an income, banks have introduced student credit cards which are specifically meant for students and will not require any income source. The application for a credit card for a student can be done against an existing fixed deposit account.
A student cannot hold multiple student credit cards since he or she will not have an active credit score and a credit card will be given against an already existing fixed deposit.
You can check the status of the credit card by logging in to the net banking account of the primary cardholder in case an add-on credit card has been applied for. Apart from this, the student can also call the credit card customer care of the bank to enquire about the status.
To get approved for a student credit card, he or she will have to meet the eligibility criteria which includes being over the age of 18 years along with being a citizen of the country and have a valid college ID. Apart from this, a student must submit a list of documents which is required to apply for a credit card. The list of documents includes:
Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar's partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.