Most students do not have a credit history, however, best student credit cards Canada with their quick approval can help you build a good credit history for yourself.
Best student credit cards Canada are highly competitive, fast, and easy to request. Approval is also guaranteed, despite having no credit history or a bad one. However, to be on a safer side, it is best to figure out ways that will help you build your credit history. Consequently, once your college days are over, you end up having a positive credit score that goes a long way in making your life easier. Some of the best credit cards in Canada will help you grow your credit score as well as make your life in college bearable. Therefore, it is always a good idea to have a credit card. However, make sure you use these cards responsibly as they can go a long way to ease into a financially stable future or one filled with struggles and frustration of loan cycles.
Ways you can boost your credit with best student credit cards Canada
- Complying with the terms of the card – Card insures have their own terms, and they are always different for each lender. Therefore, credit cards are never the same, and you should never be in a hurry to have one or overlook even the slightest detail about the card. Before applying for one, it is best to do extensive research on the card. Find out how much interest is charged, annual fee if there are any, credit limits, and billing policies to mention a few. Then settle for one that would not cost you an arm and a leg during repaying.
- Becoming an authorized user of your parent’s account – For a responsible student who is off to college, it is okay to be using your parent’s credit card. Becoming an authorized user of your parent’s credit card boosts your credit, eventually, you end up having a good credit as well.
- Avoid big-ticket buys – As a student, the only way to benefit from a card, if you have one, is by using it responsibly. Keeping a low debt level is crucial since emergencies are bound to happen though not all times. In case of one, there would still be plenty of your credit line accessible. Managing the credit card will help you not exceed your credit limit when a real emergency strikes.
- Using the credit card for small purchases once in a while – Having a credit card helps you seize the opportunity to grow your credit history. Having that in mind, you should try at all cost to ensure that the bank does not close your account due to inactivity. This can be achieved through putting of small but recurring charges on your card. Amounts that you can manage to repay on time as you slowly grow your credit history.
- Pay off your balance in time – living beyond your means is probably one of the worst things that you can do to yourself. As a credit card user who is trying to build a good credit history, it is best not to carry a balance on the card, pay to the last penny by the end of each money to avoid owing interest fees.
- Pay your other bills in time – Securing the best student credit cards in Canada is not the only thing that will grow your credit history to a positive one. Alternative credit scores for no file people have been developed, especially for young people. As such utility payments earn you some credibility hence a good way of growing your credit to a good one.
- No need to apply for several credit cards at a time – If you are just starting out as a new credit card user, it is best to stick to that one as you slowly grow your history. Applying for several credit cards yet you are nowhere close to having a good credit will significantly lower your credit score.
It takes time to build a credit history, so why not begin as early as your first year in college. With the highly competitive, best student credit cards Canada offered, having a good credit score by the time you are done with college does not sound so difficult. Even so, it all depends on how responsible you really are as you meet your everyday needs.