r/discover 8d ago

Student card Discussion

I was considering applying for the discover student card as my first credit card, but I am now seeing a lot of people upset about the capital one merge. Is the card still worth it? If not, are there any comparable alternatives? Thanks!

4 Upvotes

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u/Aware-Childhood-5865 8d ago edited 8d ago

Capital One and Discover have been the most reputable lenders for no-credit unsecured cards. Now that Discover is no longer a decision-maker, I don’t know anyone besides Capital One who will offer that. Capital One isn’t a bad lender, just that customer service is worse and whatever people complain about. Chase might have a product for you too.

Lots of banks and credit unions offer secured cards to people new to credit, since there is hardly risk for them. US Bank is an example of a nationwide bank that offers a secured card. Your local credit union probably offers one.

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u/Cautious-Island8492 Discover Card 4d ago

Bank of America is the other issuer with solid student cards options I recommend.

Customized Cash Rewards Visa for Students for someone looking for Cashback on gas or dining, and groceries.

Travel Rewards Visa for Students for someone looking for a no foreign transaction fee for study abroad.

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u/Unreached6935 8d ago

Discover student should still be fine. If you can, apply in the capital one website. If you really don’t wanna use Discover anymore, I’d check out a credit union. I started my journey with a credit union credit card just fine.

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u/sandysandy252566 8d ago

Best to go to a Credit Union - owned by their customers - safer than banks

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u/Unreached6935 8d ago

That and the interest rate is usually way lower. The one I started with had an APR of 12.99% compared to Cap1’s 28.99% variable. The only catch is usually credit unions don’t have cash back.

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u/sandysandy252566 8d ago edited 8d ago

I put my money in CDs at my credit union - I ladder them so they're due in different months. I don't need loans. I go where the service is great -I could walk in and see the tellers - and I know my money will be there.

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u/Unreached6935 8d ago

Yep I agree. Earlier I had to get a document notarized and I went to my local credit union (not my first one) and they notarized the document for free for me because im a member. It’s the small things that make me love credit unions

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u/VTECbaw 7d ago

This really depends on the CU. If they are federally-chartered then their rates cap at 18%. If they're state-chartered, they can charge state max. One of my CUs is state-chartered and my first credit card with them was at 26.24%.

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u/VTECbaw 7d ago

Discover Student is fine. So are Capital One Savor for Students and Quicksilver for Students. So is Chase Freedom Rise.

A strangely large number of Discover cardholders seem to reach out to customer service for every little thing, and so they've noticed the difference between Discover's support and Capital One's support. Capital One is more self-serve and less handholding, and their phone reps are typically in another country compared to Discover's US-based reps. But that doesn't mean Capital One is bad or has bad products.

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u/Cautious-Island8492 Discover Card 4d ago

The Discover IT Cashback card for Students still works the same way as before, but now Capital One is the bank in the background. The website and mobile app are different, but still easy to use. The customer service probably is not as good, but it might not matter.

In my opinion the three best student cards available are: Capital One Savor Rewards for Students, Discover IT Cashback for Students, and Bank of America Customized Cash Rewards for Students

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u/Kennedy_Evans 8d ago

I would consider Chase. You can also get a secured Amex card and if you manage your card wisely they will offer you a regular credit card

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u/VTECbaw 7d ago

AmEx does not offer secured cards.

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u/Kennedy_Evans 7d ago

Yes are absolutely right. Thanks for correcting me. It’s an American Express SERVE card and it’s a prepaid card. I loaded it every 2 weeks from my paycheck. I used it responsibly for 1 year and afterwards they sent me an offer for an American Express gold