Student Credit Cards
Every student wants to avoid debt. However if you are unable to obtain a student loan, a student credit card may be your next best option.
It can also be more cost effective for you to use an Australian credit card rather than using an overseas credit card when in Australia. Read on...
Student Credit Cards:
Some banks and lending institutions offer low interest rates to students. This is obviously an advantage. However before obtaining a student credit card we recommend you first evaluate all forms of Student funding that may be available to you such as: Student Employment, Student Sponsorships, Student Grants, Student Loans and Student Bank Accounts in particular are good as they often have no banking fees. Some of these finance options may be a better for you in the long term rather than obtaining a student credit card.
If you do obtain a student credit card, use it wisely, it should be a convenience between pay packets, or used to buy those absolutely essential things when you don't have the immediate cash. Always be aware of your expenditure though and know that you can budget in the following weeks/months to pay back the credit card bills as soon as possible.
A credit card can save you money too. If you use an overseas bank card in an Australian ATM (Automatic Teller Machine) or to make purchases, you will be charged a foreign currency conversion fee. These will add up and will unnecessarily cost you money. Using an Australian credit card, or debit card will not incur this fee, see: Student Bank Accounts.
Shop around before choosing the right student credit card, the lowest interest rate may not be the best option. Find out if they have any interest-free period, and ask at which point of the statement cycle does that start or end. This will allow you to time your large purchases better and inturn will give you maximum amount of time to pay it back during the interest-free period.
How to get a Student Credit Card:
Research the banks & their fees:
Most banks allow you to partially apply for a credit card online, and certainly online you can research what each bank offers. The major Australian banks are: NAB, ANZ, St George and Commbank.
Visiting the bank - requirements:
Even if you start the process online you will still need to visit a bank branch in person with proof of identity such as a passport and drivers licence and possibly a opening deposit. For a student credit card you will need proof of enrolment. It will also assist you to have another information such as a banking history with another bank, your pay statements or a letter from your employer.
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