Student Credit Card Guide

Build credit early: Your credit score and history affect future loans (car, mortgage), rental applications, and sometimes job checks. Starting in school gives you a long history by the time you need it.

Learn good habits: Using a card with a low limit in a low-stakes period helps you practice budgeting, paying on time, and keeping utilization low.

Convenience and rewards: Many student cards have no annual fee and offer cash back or points on groceries, transit, or dining—categories students actually spend on.

Emergency buffer: A credit card can help in a pinch (e.g. car repair, flight home) as long as you pay it off quickly and don’t rely on it for everyday overspending.

Product details change; confirm on each issuer’s site. Common options:

BMO CashBack Mastercard for Students - No annual fee; cash back on purchases (e.g. 3% grocery, 1% other) - Designed for students with limited income

Scotiabank Scene+ Visa for Students - No annual fee; earn Scene+ points (movies, travel, merchandise) - Good for students who like entertainment rewards

TD Rewards Visa Card for Students - No annual fee; earn TD Rewards points - Can convert to Aeroplan or use for travel, merchandise

CIBC Dividend Visa for Students - No annual fee; cash back (e.g. 2% grocery, gas, 1% other) - Simple cash back structure

RBC Student products - Various student credit cards and banking bundles - Check RBC’s student page for current offers

What to compare: Annual fee (prefer $0), reward type (cash back vs. points), and approval requirements (income, enrollment).

Eligibility: You usually need to be enrolled full-time at a Canadian college or university. Some cards accept part-time students; check the terms.

Income: Student cards often have low or no minimum income. You may be asked for proof of enrollment (e.g. transcript, letter) and sometimes part-time job income or support (e.g. from parents).

No credit history: Many student cards are aimed at people with no Canadian credit file. The issuer accepts the risk in exchange for building a relationship.

Apply at your bank first: If you already have a student chequing account, applying for that bank’s student credit card can improve approval odds.

One at a time: Applying for several cards in a short period can hurt your score. Start with one card, use it for 6–12 months, then consider another if needed.

Pay the full balance every month. That way you avoid interest and build a positive payment history.

Keep utilization under 30%. If your limit is $1,000, try to owe less than $300 when the statement closes. Lower is even better for your score.

Use it regularly. A card that sits unused may be closed or not help your history much. Put a small recurring expense (e.g. streaming, groceries) on it and pay it off.

Avoid: - Using the card for cash advances (high fees and interest) - Maxing out the card or carrying a balance "to build credit" (you build credit by paying on time, not by paying interest) - Missing payments or paying late

After graduation: Keep the card open. It becomes your oldest account and helps your credit age. You can add a second, better card and use the student card for one small bill to keep it active.