Student Credit Cards in India: Common Misconceptions and Facts

Student Credit Cards in India are becoming a popular financial tool for young adults. They can help you establish credit, gain financial independence, and help you manage finances better.

However, there are many myths and misconceptions surrounding these cards.

Read on to dispel some of the most common myths, learn a few facts about student Credit Cards, and get a comprehensive overview of everything you need to know about student Credit Cards in India.

Student Credit Card: Myths and facts

Myth 1: Student Credit Cards come with higher interest rates

Fact: While Credit Cards often come with interest rates starting at 34% p.a. and can put a burden on your monthly budget, you can opt for cards like Metra Trust WOW! Credit Card that offers an interest rate starting from as low as 9% p.a. on carry-over balances.

Myth 2: These cards comes with "frivolous" charges

Fact: In general, credit cards charge annual fees, late payment fees, foreign currency markup fees, and overlimit fees, among others. These fees can be substantial when combined. Therefore, you should choose a student credit card that’s transparent about its terms and conditions and with the lowest fee. The Metra Trust WOW! Credit Card, for instance, does not charge a joining or annual fee, nor does it charge a forex markup fee.

Myth 3: Credit Cards for students have bare minimum features
 

Fact: Metra Trust WOW! Credit Card is super special because it is a fixed-deposit backed Credit Card that offers tons of awesome features and benefits such as:

· 4x Rewards on every spend

· Zero foreign exchange markup fees

· Offers on over 300 merchants

· Up to 20% discount across 1,500+ restaurants

· Up to 15% discount at over 3000 health & wellness outlets

· 100% cash withdrawal of your FD value while enjoying uninterrupted interest on the same

· Fuel charges waiver of 1% at all the fuel stations across India

· Personal accident coverage of Rs 2,00,000

· Lost card liability coverage of Rs 25,000

· Credit limit of a minimum of 100% of your FD value

· 7.5% interest p.a.* on the FD

The best bit – Metra Trust’s credit card reward points never expire and can be used instantly!

*Bank interest rates are subject to change. Please check our latest FD interest rates here

Myth 4: Student credit cards require a lot of documentation

Fact: Most students do not have a CIBIL score or a credit history. Under normal circumstances, this might result in more paperwork, but Metra Trust's FD-backed WOW! Credit Card allows you to simply apply online with minimal documents and have your application processed promptly.

Myth 5: Student credit cards are only beneficial for students travelling abroad

Fact: Students who leave their home country will undoubtedly benefit from a credit card, but even if you don't move overseas, a credit card will help you better manage your finances and ease your daily expenses as a student.

With detailed monthly statements, features like auto-pay, and more, having a feature-rich credit card can help you save on groceries, dining, wellness, and clothes, among many other essentials.

Myth 6: Student credit cards in India cannot be used after college

Fact: A credit card like the FIRST WOW! is not just great for college students, it can also be used later on, thanks to its fantastic features. The FIRST WOW! Credit Card can also help you build a credit history and a credit score, which you can use to achieve larger financial goals like buying your first car or a house.

Myth 7: Students must have a Bureau score to obtain a credit card

Fact: The Bureau estimates that New-to-Credit customers account for approximately 24% of all new credit applications enquiries. This suggests that despite being aware of credit cards and its advantages, students cannot obtain one through their banks because of a lack of bureau presence. Secured cards can help students obtain credit cards and benefit from the several associated advantages.

Myth 8: Student Credit Cards provide few discounts and perks

Fact: The features and perks depend on which Credit Card you choose. For example, the FIRST WOW! Credit Card offers several attractive features for students, including savings on movies and restaurants, and zero forex markup fees.

Metra Trust WOW! Credit Card - a card loaded with student benefits

A credit card like the Metra Trust WOW! is an excellent choice whether you are attending college or are just starting your career. It's a blessing in disguise to have a credit card that's backed by a fixed deposit, is lifetime-free, offers amazing deals and discounts, 4x rewards on each spend, balance transfer privileges, an intuitive and simple mobile app, and much more. As an added bonus, Metra Trust offers low interest rates on carry-over balances compared to other student credit cards in India.

Why wait?Apply for the Metra Trust WOW! Credit Card today.

Disclaimer

The contents of this article/infographic/picture/video are meant solely for information purposes. The contents are generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. The information is subject to updation, completion, revision, verification and amendment and the same may change materially. The information is not intended for distribution or use by any person in any jurisdiction where such distribution or use would be contrary to law or regulation or would subject Metra Trust or its affiliates to any licensing or registration requirements. Metra Trust shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information mentioned. Please consult your financial advisor before making any financial decision.