If you are seriously going outside of your country for studying for long, then have you calculated the factor how you would manage your expenses there? It is surely helpful to have a part-time job to support your basic expenses, but the best possible resource for an international student is an international credit card.
Today, several universities provide students different options of international student credit cards. And even if you need to pick your card, all you have to do is some research and choose wisely. Credit cards are undoubtedly helpful for shopping and save you from the hassle of carrying cash all the time. However, if you don’t restrict your excessive buying habit and spend wisely, it’ll turn out to be a devastating situation, and you’ll find yourself knee-deep into debt.
1. Fees, terms, and policies
The thing that you must notice as an international credit card holder is whether or not the card company charges you for foreign currency conversion. If the company charges a small percentage for the conversion of foreign currency, normally around 3%, it may cost you a lot if you made some big buying by using that card. This is why you must research and shop for your international student credit card. Read the fine prints or agreement well. You must be aware of the fees, charges due to transactions and late payments, the APR, and your credit limits.
2. Annual percentage rate
It is the most crucial factor to help you choose which credit card you need. It is obvious that the lower your interest rate, the more attractive the credit card will be to everyone. An APR or annual percentage rate of less than 12% is what international students would always search for. Any rate higher than that will be not suitable for you.
3. Personal identification number (PIN)
. Many countries don’t allow credit cards with the magnetic strip. If you don’t have a PIN, there is no way you can use the credit card manually.
4. Credit history
Don’t get an international credit card just because it offers you fancy rewards! It’s always the safest and wisest move to pick a basic international credit card and try to build a good credit history. Make sure to manage your credit reports perfectly and when you are confident about your credit, go for the another version of credit cards that’ll offer more gifts and higher rewards.
5. Your budget
. If you’ve planned to use the card only in case of emergencies, make sure you avoid too much impulse buying. It is because once you’ve to start buying without control, you’ll surely pile up huge debts, and if anyhow you miss any payment, the interest rates will make the debt amount sky high! Finally, your credit score will get affected.
All international credit cards come with a credit limit. It means you need to carefully use your credit card for shopping. Make sure you don’t cross your credit limit, if you do, it’ll reflect on your credit report, each time you do. Avoid withdrawing cash from the credit card, in many cases, this will cost you heavily with a high-interest rate.
6. Signing up
When you have the option of choosing from hundred and more credit cards, and all of those cards lets you go for free sign up, then don’t go for those credit cards that charges you unreasonably for signing up and for maintaining it. Choose a card that has no other hidden charges rather than the ones you have to pay for.
Options you have:
- Discover it® for Students
- Citi ThankYou® Preferred Card for College Students
- Journey® Student Rewards from Capital One®
- US Bank Secured Card
Pick the right card after proper research. As long as you know how to plan your credit card usage and control over your budget, you don’t have to worry anymore about falling into credit card debts!
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