Understanding the Difference Between a Student Credit Card and a Normal Credit Card

Credit cards are essential financial tools, offering convenience and the ability to build credit. However, not all credit cards are the same, and one crucial distinction lies between student credit cards and regular credit cards. Whether you’re looking to apply for a credit card or are considering the best options available, understanding the differences can help you make an informed decision.

What Is a Student Credit Card?

A student credit card is designed specifically for college or university students with little or no credit history. These cards serve as a starting point for young adults to begin building their credit. Generally, the requirements for approval are more lenient compared to normal credit cards. This makes them accessible for students who might not yet have a steady income or a credit score.

One of the key features of a student credit card is the lower credit limit. This is often capped at a manageable level to prevent overspending, making it an ideal choice for someone just learning to manage their finances. If you want a student credit card apply online by just providing basic proof of identity and student status.

What Is a Normal Credit Card?

On the other hand, a regular or standard credit card is available to a broader audience, including both students and non-students. Unlike student credit cards, these cards come with a wide range of features and varying credit limits based on the applicant’s credit score and income.

When you apply for a credit card, the issuer evaluates your creditworthiness through your credit history, income level, and other financial factors. The credit limit on a regular credit card can be significantly higher, reflecting the cardholder’s capacity to manage larger sums of money. Additionally, normal credit cards often come with rewards programmes, cashback offers, and other perks tailored to the consumer’s spending habits.

Comparing Benefits and Drawbacks

While both types of credit cards offer valuable benefits, their suitability depends on the individual’s circumstances.

Student Credit Cards:

• Benefits: Easier approval, lower credit limits to avoid overspending, and sometimes, student-focused rewards.
• Drawbacks: Limited credit limits, and fewer rewards compared to normal credit cards.

Normal Credit Cards:

• Benefits: Higher credit limits, more extensive reward options, and additional perks such as travel insurance.
• Drawbacks: Stricter approval criteria and potential for higher fees.

Airtel Axis Bank Credit Card: A Rewarding Choice

If you’re exploring credit card options, the Airtel Axis Bank Credit Card stands out as a versatile choice. This card offers substantial cashback rewards that can help offset everyday expenses. With up to ₹16,000 in annual cashback and additional savings on Airtel services, utility bills, and popular food delivery services like Swiggy and Zomato, this card is tailored to suit a variety of spending needs.

The Airtel Axis Bank Credit Card also provides premium benefits such as a fuel surcharge waiver, discounts at partner restaurants, and four domestic lounge accesses per year. With a credit limit of up to ₹5,00,000 and low annual fees, it’s an appealing option for those looking to maximise their savings.

Conclusion

Choosing between a student credit card and a regular credit card depends on your financial situation and goals. Student credit cards are perfect for those just starting their credit journey, while normal credit cards offer broader benefits for those with established credit. Whichever option you choose, make sure it aligns with your financial needs and spending habits.