Discover The Best Credit Cards For Young People

Credit cards are designed to help individuals with their everyday spending needs. This allows them to get the best value for their money, all the while instilling a sense of responsibility and discipline over time. 

Young people, such as millennials and those who belong to Gen Z, have different spending tastes and habits from their older counterparts. Most of them prefer effective and convenient means of shopping and even value travel and experiences. 

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Whether they are still studying, building their credit, or simply starting in the workforce, there are credit products that meet the needs of these young adults. Take a look at some of these best credit cards today. 

  • Capital One Secured Mastercard
  • Discover It Cash Back Credit Card
  • Chase Sapphire Preferred Credit Card
  • Bank Of America Cash Rewards Credit Card For Students
Discover The Best Credit Cards For Young People
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Capital One Secured Mastercard

For young people who are fresh out of college or simply looking for their first-ever credit card, the Secured Mastercard from Capital One is a worthy option. Touted as a credit builder card, this is made to help first-time cardholders to rebuild or even establish their credit.

Discover The Best Credit Cards For Young People
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The key feature of this credit card is that it automatically reviews credit scores and limits as early as six months after obtaining the card, allowing users to move up and improve their credit score and limits. This card gives users a starting limit of $200 with an opportunity to get higher limits up to $1,000 if cardholders prove responsible in their use.

The only “caveat” of sorts is that this requires an initial security deposit of either $49, $99, or $200. However, a higher deposit also ups the chances for a higher credit limit. This card also ensures individuals get their deposit back over time. 

This card does away with annual fees and foreign transaction fees. However, it has a variable APR of 26.99%. It also has a cash advance fee of $10 or 3% of the amount advanced, whichever is higher. In addition, a penalty fee of up to $40 will be levied for late payments

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Eligibility Requirements And Related Information

Individuals interested in applying for this will be eligible provided they are at least 18 years of age and be a resident of the United States. Capital One also requires applicants to have a monthly income that exceeds their rent or mortgage by $425. 

Applicants can either see if they are pre-approved or apply via the online application form on their website. The application will require individuals to provide their personal details, their Social Security Number or Individual Taxpayer Identification Number, as well as an existing checking or savings account. Income and employment information should also be disclosed.

For credit card concerns, individuals can reach Capital One by calling the customer service hotline at 1-800-227-4825. People can also visit the Capital One headquarters located at Capital One Financial Corp, 1680 Capital One Drive, McLean, VA 22102-3491, United States. 

Discover It Cash Back Credit Card

True to its name, the Discover It Cash Back Credit Card provides excellent cashback rewards, something which financially savvy young adults can appreciate. This provides cardholders with 5% cashback on everyday purchases every quarter, such as purchases made in grocery stores, restaurants, gas stations, and many others.

Discover The Best Credit Cards For Young People
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On top of the 5% cashback, individuals can also enjoy 1% cashback on all other purchases right away. What’s more, the Discover It Cash Back Credit Card takes rewards to a new level by giving a dollar-per-dollar match with the Cashback Match program for all the cashback earned throughout the first year. 

From this card, one can see that Discover It also takes pride in offering generous cash rewards coupled with competitive interest rates. There are specific cashback categories for every quarter, which can earn users 5% for up to $1,500 in purchases. 

There is no annual fee for this card. There are, however, other fees that come with it, such as the variable APR ranging from 11.99% to 22.99% after the 0% introductory APR offer for the first 14 months. An initial balance transfer fee of 3% also applies until August 10, 2021. After this, 5% for balance transfers will apply. 

Eligibility Requirements And Related Information

To qualify for this card, individuals should be aged 18 and up to apply. They must also be a resident of the United States. To apply, interested individuals can fill in the online application form found on the Discover website. It will require the Social Security number, date of birth, ZIP code, and other personal details such as name, employment information, email address, and the like. 

Bear in mind that apart from the aforementioned fees, the card also comes with a cash advance fee of $10 or 5% of the advanced amount or whatever is higher. In addition, it also has a late payment fee of up to $40. 

Individuals who want to know more about the Discover It Cash Back Credit Card can call the company at 1-877-587-1605 or 1-800-347-2683. Alternatively, people can make an appointment to visit the bank’s head office at 2500 Lake Cook Rd., Riverwoods, IL 60015. 

Chase Sapphire Preferred Credit Card

Many younger people today value experiences, with traveling being one of these worthy investments in their lives. To keep up with this need, one of the best credit cards that can complement their lifestyle is the Chase Sapphire Preferred Credit Card. This is ideal for frequent travelers who jet-set to different parts of the globe.

Discover The Best Credit Cards For Young People
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As part of its offering, the Chase Sapphire Preferred Credit Card gives its cardholders 80,000 bonus points after spending $4,000 on purchases within the first three months of opening an account. Moreover, individuals can also get $50 in statement credit, which they can use towards grocery purchases within a year of opening an account. 

As a true-blue travel credit card, this also provides cardholders twice the rewards points when used for dining and travel. For all other purchases, individuals can get one point for every $1 spent using the card. To complement the needs of frequent travelers, there are no foreign transaction fees for this card.

However, it is best to remember that there is an annual fee of $95 for the Chase Sapphire Preferred Card, with a variable APR ranging from 15.99% to 22.99%. It has a balance transfer fee of $5 or 5% of the amount transferred, whichever is higher; a cash advance fee of $10 or $5 of the cash advanced, whichever is greater; and a late payment fee of up to $40. 

Eligibility Requirements And Related Information

To qualify for the Chase Sapphire Preferred Credit Card, individuals should be at least 18 years old and a resident of the United States. 

Applicants can apply and fill in the online application form on their website, where it will ask about personal details, employment information, income, and other necessary information. Individuals whose application gets approved will get a credit limit of at least $5,000. 

For more information on the credit card, individuals can call Chase Customer Service at 1-800-935-9935. People can also visit the bank’s headquarters at 1111 Polaris Parkway, Columbus, Ohio 43240. 

Bank Of America Customized Cash Rewards Credit Card For Students

Last but certainly not least is a credit card geared for students who also happen to be young adults. This card offers cardholders a chance to start taking control of their finances, financial health, and future. As part of its bonus offer, users can get $200 as a reward provided they make purchases totaling at least $1,000 within the first 90 days of opening the account. 

Discover The Best Credit Cards For Young People
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It provides flexibility and control unlike any other, giving users 3% cashback on their choice of category – from travel, dining, gas, online shopping, drug stores, and even home improvement. On top of this cashback,  young adults can also get 2% cashback at participating grocery stores and wholesale clubs. 

Ideal for those just starting and knowing the real value of money; younger generations will certainly appreciate the 1% cashback on all other purchases. Plus, users will be glad to know they can earn 3% and 2% cashback respectively on the first $2,500 spent in their chosen category and groceries every quarter.

The Bank of America Customized Cash Rewards Credit Card for Students comes with no annual fee. However, to help users form good financial habits, it still comes with fees such as the variable APR ranging from 13.99% to 23.99% after the introductory 0% APR for 15 billing cycles. 

Eligibility Requirements And Related Information

Other than the aforementioned prices, cardholders can also expect to pay 3% or $10 for balance transfers and cash advances. A foreign transaction fee of 3% will also be levied for purchases that use foreign currency, and a penalty fee of up to $40 will be charged for late payments. 

To qualify for this card, young adults need to be at least 18 to apply and be residents of the U.S. They can apply on the website and fill out the online application form. This will require applicants to provide their name, address, date of birth, employment status, income, student status, and more. 

For more information on this card, individuals can call the customer service hotline at 800-732-9194. They can also visit the Bank of America head office located at 100 North Tryon Street, Charlotte, NC 28255. 

The Bottom Line

A credit card is a great financial tool to accustom young adults to financial responsibility while also affording them several perks and privileges that complement their lifestyle. With these best credit cards, millennials and Gen Z alike can easily choose what option works for them and their needs. 

Disclaimer: There are risks involved when applying for and using credit products. Ensure you consult the bank’s terms and conditions page before agreeing to anything.