Choosing the right credit card as a student is more than just a financial decision—it’s a step towards establishing your financial independence and building a strong credit history. The right card can offer valuable rewards, low interest rates, and other perks tailored to student needs. Below is an in-depth look at the top 10 student credit cards in Canada, each with its own set of features and benefits.
Why Student Credit Cards Are Important?
Student credit cards play a crucial role in the financial lives of Canadian students. These cards offer several key benefits that can set students up for long-term financial success.
Building Credit History
One of the primary reasons student credit cards are important is their ability to help students build credit history. By using a student credit card responsibly, such as making on-time payments and keeping their credit utilization low, students can establish a positive credit history. This credit history will be essential when they graduate and apply for loans, mortgages, or other financial products.
Learning Financial Responsibility
Student credit cards also provide an opportunity for students to learn financial responsibility. Managing a credit card and making informed spending decisions can teach students valuable money management skills that will benefit them throughout their lives. This hands-on experience can help students develop good financial habits and avoid costly mistakes that could negatively impact their credit scores.
Access to Credit
In addition to building credit history and learning financial responsibility, student credit cards give students access to credit. This access can be crucial for making larger purchases or covering unexpected expenses. Having a credit card can also help students build their credit score, which will be important for their financial future.
Top 10 Student Credit Cards in Canada
1. BMO Air Miles Mastercard
The BMO Air Miles Mastercard is a fantastic option for students who want to combine everyday spending with the ability to earn rewards that can be used for travel, merchandise, and more. This card offers a practical way to collect Air Miles on routine purchases, helping students plan for future trips or enjoy other rewards without needing to pay an annual fee.
Key Features:
No Annual Fee: The absence of an annual fee makes this card especially appealing to budget-conscious students who want to avoid extra costs.
Earn Air Miles: Cardholders earn 1 Air Mile for every $25 spent on eligible purchases. Air Miles can be redeemed for a wide variety of rewards, including flights, hotel stays, car rentals, and even concert tickets or electronics. This flexibility allows students to tailor their rewards to their interests.
Extended Warranty and Purchase Protection: These features provide peace of mind, particularly for students making significant purchases like laptops or smartphones. Extended warranty coverage can help protect your investment, while purchase protection can safeguard against loss, theft, or damage within a specified period.
Who Should Consider This Card: This card is ideal for students who have a future interest in travel or who want to start building a robust rewards balance that can be used for a variety of experiences. It’s also perfect for those who want to earn rewards without the added burden of an annual fee.
2. CIBC Aeroplan Visa Card for Students
The CIBC Aeroplan Visa Card for Students is designed for those who want to start earning travel rewards early in life. This card connects you to the Aeroplan program, which is one of Canada’s most popular loyalty programs, allowing you to accumulate points on everyday purchases that can later be redeemed for travel-related expenses.
Key Features:
No Annual Fee: This card offers a straightforward entry into the world of travel rewards without the burden of an annual fee, making it accessible to students managing tight budgets.
Aeroplan Points: You can earn 1 Aeroplan point for every $1 spent on eligible purchases. These points can be redeemed for flights with Air Canada and other Star Alliance members, as well as for hotels, car rentals, and various other travel-related expenses. This makes it an excellent card for students who plan to travel during school breaks or after graduation.
Welcome Bonus: The card often comes with a welcome bonus, providing new cardholders with a significant number of Aeroplan points just for signing up and meeting a minimum spending requirement within the first few months. This bonus can help you start planning your next trip sooner.
Who Should Consider This Card: Students who are excited about travel and want to start earning points towards flights and vacations will benefit the most from this card. It’s also a great option for those who are loyal to Air Canada or plan to take advantage of the Aeroplan program’s extensive travel rewards network.
3. Student BMO CashBack Mastercard
The Student BMO CashBack Mastercard is an excellent choice for students who prefer the simplicity of cash back rewards. This card allows you to earn a percentage of your spending back in cash, which can be used for anything from paying off your balance to treating yourself to something special.
Key Features:
No Annual Fee: The absence of an annual fee makes this card a cost-effective way for students to start earning rewards without adding to their financial obligations.
High Cash Back Rates: The card offers 3% cash back on groceries, which is particularly valuable for students who live independently and manage their own food expenses. Additionally, it offers 1% cash back on recurring bill payments, such as phone bills or streaming services, and 0.5% on all other purchases. This tiered reward structure allows students to maximize their cash back on the purchases they make most frequently.
Flexible Redemption: Cash back rewards can be redeemed at any time in increments of $25. This flexibility is particularly useful for students who may need a quick financial boost or want to use their rewards to pay down their card balance.
Who Should Consider This Card: This card is perfect for students who want to earn cash back on everyday purchases, especially those who manage their own grocery shopping and recurring bills. It’s also ideal for those who appreciate the simplicity and immediate value of cash back rewards.
4. American Express Cobalt Card
The American Express Cobalt Card is a premium choice for students who are serious about maximizing rewards, particularly in categories like dining, entertainment, and travel. While it comes with a monthly fee, the reward potential is significant, especially for students who enjoy eating out, using streaming services, and traveling.
Key Features:
Monthly Fee: The card has a monthly fee of $12.99, which totals approximately $156 per year. While this fee is higher than most no-fee student cards, the rewards offered by the Cobalt Card can quickly offset the cost for those who use the card strategically.
High Rewards Rates: The Cobalt Card offers 5x points on dining and food delivery services, which can include everything from restaurant meals to your favorite coffee shop purchases. It also provides 3x points on streaming services, making it ideal for students who subscribe to platforms like Netflix, Spotify, or Disney+. Additionally, you earn 2x points on travel and transit, including flights, hotels, and even public transit.
Comprehensive Insurance: This card includes various insurance coverages, such as travel insurance, purchase protection, and extended warranty. These perks add significant value, especially for students who travel or make large purchases.
Who Should Consider This Card: The American Express Cobalt Card is best suited for students who frequently spend on dining, entertainment, and travel and who are willing to pay a monthly fee in exchange for high rewards rates. It’s also a good choice for those who want to take advantage of the card’s extensive insurance coverage and other premium benefits.
5. RBC ION+ Visa Credit Card
The RBC ION+ Visa Credit Card is tailored for students who are heavily invested in the digital world. Whether you’re paying for streaming services, gaming subscriptions, or digital apps, this card rewards you for your digital spending, making it a perfect fit for tech-savvy students.
Key Features:
No Annual Fee: This card offers valuable rewards without the burden of an annual fee, making it an affordable option for students.
Rewards on Digital Purchases: The RBC ION+ Visa Credit Card provides 1.5x points for every dollar spent on digital services, including streaming subscriptions, gaming, and apps. This is perfect for students who spend a significant portion of their budget on digital entertainment.
Purchase Security and Extended Warranty: The card includes purchase security and extended warranty protection, which can provide peace of mind when buying electronics and other tech-related items. This is especially beneficial for students investing in gadgets or other digital tools for their studies.
Who Should Consider This Card: This card is ideal for students who are heavily invested in digital services and subscriptions. It’s also a great choice for those who want to earn rewards on tech-related purchases without paying an annual fee, making it both a practical and rewarding option for digital natives.
6. CIBC Dividend Visa Card for Students
The CIBC Dividend Visa Card for Students offers a straightforward cash back program that rewards students for everyday purchases, particularly groceries. This card is a strong contender for those who want a simple, no-annual-fee option that still offers significant rewards.
Key Features:
No Annual Fee: The CIBC Dividend Visa Card comes with no annual fee, making it an affordable option for students.
Cash Back on Groceries: The card offers 2% cash back on groceries, which can be a major benefit for students who do their own shopping. Additionally, it provides 1% cash back on all other purchases, allowing students to earn rewards on everything they buy.
Automatic Redemption: Cash back is automatically credited to your account each year, simplifying the rewards process. This automatic redemption ensures that you’re always getting value from your card without having to worry about manually redeeming points.
Who Should Consider This Card: This card is ideal for students who want to earn cash back on their everyday spending, especially on groceries. It’s also a great option for those who prefer the simplicity of cash back rewards over more complex points programs.
7. Scene+ Visa Card for Students
The Scene+ Visa Card for Students is a must-have for movie enthusiasts and those who enjoy dining out. This card is tied to the Scene+ program, which allows cardholders to earn points on every purchase and redeem them for movies, dining, and travel.
Key Features:
No Annual Fee: With no annual fee, the Scene+ Visa Card is an affordable way for students to earn rewards.
Scene+ Points: Cardholders earn 1 Scene+ point per dollar spent, which can be redeemed at Cineplex theatres, participating restaurants, and for travel. This makes it easy to accumulate points that can be used for entertainment and leisure activities.
Welcome Bonus: New cardholders often receive a generous welcome bonus of Scene+ points, which can be enough for several free movie tickets or a nice meal out.
Who Should Consider This Card: This card is perfect for students who love going to the movies or dining out and want to earn rewards for these activities. It’s also a good choice for those who prefer a card with no annual fee that still offers substantial entertainment benefits.
8. Coast Visa Student Low-Interest Rate Card
The Coast Visa Student Low-Interest Rate Card is a great choice for students who might occasionally carry a balance on their credit card. This card is specifically designed to help minimize interest charges, making it easier for students to manage their finances without falling into costly debt.
Key Features:
Low-Interest Rate: The card offers a lower annual percentage rate (APR) on purchases and cash advances compared to standard student credit cards. This lower rate can significantly reduce the amount of interest accrued if you need to carry a balance from one month to the next.
No Annual Fee: The card also has no annual fee, which is a significant advantage for students who want to avoid unnecessary costs while still having access to a credit card.
Purchase Protection and Extended Warranty: Like many credit cards, the Coast Visa Student Low-Interest Rate Card includes purchase protection and extended warranty coverage. These features provide added security for your purchases, especially on electronics or other significant items that students may need for their studies.
Who Should Consider This Card: This card is ideal for students who are concerned about potentially carrying a balance and want to minimize the interest charges associated with it. It’s also suitable for those who are looking for a no-annual-fee option that offers some of the protections typically found on more expensive cards.
9. Neo Secured Credit
The Neo Secured Credit Card is specifically designed for students who are new to credit or are looking to rebuild their credit history. As a secured credit card, it requires a refundable security deposit, which helps ensure responsible credit usage while still offering rewards and an easy approval process.
Key Features:
Secured Card: The security deposit acts as your credit limit, making it easier to get approved even if you have little or no credit history. This makes the Neo Secured Credit Card an excellent choice for students who are just starting to build their credit.
Cash Back Rewards: Despite being a secured card, Neo offers cash back rewards on every purchase, which is a unique feature. The card provides 1% to 5% cash back on purchases at Neo partners, which include a wide range of retailers and services, making it possible to earn rewards while building credit.
No Annual Fee: The Neo Secured Credit Card has no annual fee, which is a huge benefit for students looking to save money while building credit. Additionally, the deposit is refundable, so you get your money back when you close the account or upgrade to an unsecured card.
Innovative Mobile App: Neo’s mobile app is user-friendly and offers real-time tracking of spending, rewards, and credit scores. This helps students stay on top of their finances and credit-building journey, making the experience both educational and rewarding.
Who Should Consider This Card: This card is perfect for students who are new to credit or are looking to rebuild their credit history. The secured nature of the card, combined with the cash back rewards and a robust mobile app, makes it an ideal choice for students looking to start their credit journey on the right foot.
10. Brim Mastercard
The Brim Mastercard is a versatile and innovative credit card that offers a wide range of benefits, including no foreign transaction fees, making it a standout option for students who travel abroad or shop online from international retailers. It also provides straightforward cash-back rewards and access to exclusive offers and discounts from Brim’s partner network.
Key Features:
No Foreign Transaction Fees: One of the most significant advantages of the Brim Mastercard is that it does not charge foreign transaction fees. This is especially beneficial for students who travel outside of Canada or frequently shop online from international retailers. The lack of a 2.5% foreign transaction fee means that students can save money on every purchase made in a foreign currency.
Cash Back Rewards: The Brim Mastercard offers 1% cash back on all purchases, with no cap on the amount you can earn. This simple, uncapped cash back structure allows students to earn rewards on everything they buy, from textbooks to electronics to meals.
Exclusive Offers: Brim provides access to a wide range of discounts and offers through its extensive network of partners. These deals can lead to additional savings on travel, entertainment, dining, and retail purchases, further enhancing the card’s value.
Comprehensive Insurance: The Brim Mastercard includes a range of insurance benefits, such as mobile device insurance, travel accident insurance, and purchase protection. These perks are particularly valuable for students who travel or make frequent purchases, providing peace of mind and added security.
Who Should Consider This Card: The Brim Mastercard is ideal for students who travel abroad, shop online from international retailers, or simply want a card that offers straightforward, uncapped cash back rewards. It’s also a great choice for those who want access to exclusive discounts and comprehensive insurance coverage without worrying about foreign transaction fees.
Conclusion
Selecting the right student credit card in Canada is an important step in building your financial future. Each card on this list offers unique benefits tailored to different spending habits and financial goals, making it possible for every student to find a card that meets their specific needs.
Whether you’re looking to earn travel rewards, cash back on everyday purchases, or simply build your credit responsibly, there’s a student credit card here that can help you achieve your goals. Remember, the key to successful credit card use is managing your spending, paying your balance in full whenever possible, and taking advantage of the rewards and benefits your card offers. By doing so, you can build a strong credit history while enjoying the perks that come with being a cardholder.
FAQ
Can a student get a credit card in Canada?
Yes, students in Canada can get a credit card. Many banks offer student credit cards with lower credit limits and no annual fees, designed to help students build their credit history while studying.
Can a 17-year-old get a credit card in Canada?
In Canada, a 17-year-old typically cannot get a credit card on their own. They may need a parent or guardian to co-sign for a credit card or be added as an authorized user on a parent’s card.
Which card is best for international students in Canada?
The Scotiabank Scene Visa and the RBC Cash Back Mastercard are popular options for international students in Canada. These cards offer perks like no annual fees, rewards points, and easy approval processes.
Which bank gives credit cards easily to students?
Banks like Scotiabank, CIBC, and RBC are known for offering credit cards easily to students. They often have student-specific credit cards that are easier to qualify for, even with limited credit history.
Which bank gives credit cards immediately?
Some banks, like Tangerine and BMO, offer instant approval for credit cards. While you may be approved immediately, receiving the physical card may still take a few days to a week.
