Discover it® Student Cash Back review: Elevated cash back for the go-getter student
Students can get higher cash back rates when they put in a little leg work to activate rotating quarterly categories.
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Snapshot
5.0
Bottom line
One of the top student credit cards on the market, this card’s rotating cash back categories offer students on a budget a great variety. Its $0 annual fee, competitive cash back rewards rate and cash back match at the end of the first year give students a lot of value on everyday expenses.
Intro offer
Cashback Match
Rewards Rate
1% - 5%
Annual fee
$0
Regular APR
18.24% - 27.24% Variable APR
Bankrate Score
Introductory offer
Fees
Rewards value
Features
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Discover it® Student Cash Back Overview
If you’re a student looking for a starter credit card, the Discover it® Student Cash Back offers perhaps the highest rewards rate you’re likely to find on a card for applicants with no credit history.
Having the cash back power of the full-fledged Discover it® Cash Back card plus Discover’s unique low fees makes this card a leader among student credit cards. Unless you need a card with a simpler rewards program, this Discover student card should make your short list.
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Rewards
- 5 percent cash back on each quarter’s activated rotating categories (on up to $1,500 in combined purchases, then 1 percent)
- 1 percent on all other purchases
Expert Appraisal: Exceptional
See our expert analysis -
Welcome offer
- Discover will match all cash back earned at the end of your first year with the card.
Expert Appraisal: Exceptional
See our expert analysis -
0% intro purchase APR offer
- 0 percent APR on purchases for six months from account opening
- 10.99 percent intro balance transfer APR for six months from date of first qualifying balance transfer
- 18.24 percent to 27.24 percent ongoing variable APR
Expert Appraisal: Good
See our expert analysis -
Rates and fees
- Annual fee: $0
- Penalty late fee: None the first time you pay late (after that, up to $41)
- Penalty APR: None
- Foreign transaction fee: None
Expert Appraisal: Good
See our expert analysis -
Other cardholder perks
- Online privacy protection
- Freeze it® on/off switch on mobile app to prevent new purchases if your card is lost or stolen
- View FICO® Credit Score free for up to 12 months with no impact on your score
Expert Appraisal: Typical
See our expert analysis
Discover it® Student Cash Back pros and cons
Pros
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Students can take advantage of diverse bonus categories to earn higher-than-average cash back rates.
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Its low rates and fees can keep costs low for students who are just starting their credit journey.
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The welcome offer provides extra value on cash back rewards at the end of the first year with the card.
Cons
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Rotating categories might be high-maintenance for students new to credit cards.
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This card offers a short intro purchase and balance transfer APR and no travel protection benefits, making it light on perks.
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You need a Social Security number to apply for the card, so international students may not be eligible.
Why you might want the Discover it® Student Cash Back card
This card has a lot to offer students, but it’s rare to find a student card that comes with a sign-up bonus, especially one this valuable. Plus, students will continue to benefit from its ongoing value after the first year.
Rewards: Boosted cash back can put more in your pocket
A student card that offers this kind of elevated bonus rate is hard to find. Similar cards may offer a flat rate at lower value, but each quarter offers a mix of categories that you are sure to use. Even if you earn on just one of the categories each quarter, like restaurants for one quarter and gas on the next, the 5 percent cash back can add up to significant earnings when you activate.
Just remember that the 5 percent cash back rate has a $1,500 quarterly spending cap before it drops to 1 percent. Students who spend less than $500 a month on the bonus categories should have no problem staying within the spending cap to reap the great cash back rewards.
Here’s a look at the Discover earning categories for 2023. You can check out past earning categories to get an idea of what kind of revolving categories have been available with this card over time.
| 2023 Quarter | Categories |
|---|---|
| Q1: January to March |
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| Q2: April to June |
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| Q3: July to September |
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| Q4: October to December |
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Welcome offer: Cash back match increases earnings value for the first year
Discover matches all the cash back you earn at the end of your first year with the card; there's no minimum spending or maximum rewards. This welcome offer differs from the typical sign-up bonus that has a spending requirement within a set time frame. Instead, this type of welcome offer allows students to focus on building credit instead of overspending for a bonus since there isn’t a limited-time spending requirement.
Cash back matching is a great incentive because many starter cards simply don’t carry welcome offers. In fact, if you spend more than $4,000 by the end of your first year across your rotating categories, you’ll earn $200 in cash back, plus another $200 with the Cashback Match™ offer. This is double the welcome offer of cards with the highest sign-up bonuses available for students.
Intro APR offer: A go-to for emergency spending
You get a fantastic chance to water down any interest you might accumulate in the case of an emergency, thanks to the card’s intro purchase APR offer. While it is best to pay off your balance in full each month to avoid credit card debt and maintain a positive credit history, the intro APR for new purchases might be what you need if your circumstances have suddenly changed or for an urgent large purchase. And if this isn't your first credit card, then the Discover it® Student Cash Back card offers an intro balance transfer APR that can help you manage any previous debt too.
Rates and fees: Lower fees can help build credit and manage your budget
The Discover it® Student Cash Back card has the potential to be a low-cost alternative to other credit-building options for students, such as credit-builder loans and secured credit cards. And the card gives you a safety net while you’re learning the credit card ropes — features like no penalty APRs or a late payment fee waiver the first time you pay late (then up to $41) puts this card ahead of the pack.
No annual fee means you don't have to stress about offsetting the cost every year, and if you study abroad, the card's no foreign transaction fees can come in handy.
Even after each intro period for balance transfers and purchases ends, your ongoing variable APR could be below the current average interest rate based on your creditworthiness. But its high-end APR is also lower than most cards of this type. This is a big plus, considering starter cards are notorious for their high interest rates.
Why you might want a different student card
This card's rewards program and welcome offer are definitely appealing, but as a rotating category card, you may not want to put in the effort to track and activate its bonus categories every few months. Plus, other cards offer better perks and added benefits.
Rotating bonus categories: High-maintenance for busy students
The Discover it® Student Cash Back card is a rotating category card, meaning it earns higher cash back rates in bonus spending categories that cycle each quarter. In exchange for higher reward rates, it also caps your 5 percent bonus category purchases at a $1,500 quarterly limit before the rate drops to 1 percent. Plus, you must remember to activate those categories each quarter.
Discover usually releases its bonus categories on a quarterly basis, so you'll have to keep up with Discover's cash back calendar to activate, which might be difficult with students' packed schedules.
If juggling these category restrictions and remembering to activate your categories each quarter doesn’t sound appealing, the Discover it® Student Chrome card and its year-round bonus categories, though less rewarding, might be a bit easier to handle.
Perks: Card protection but little else
Discover has top-notch credit-building and card-protection features like free FICO Credit Scorecard access, spending summary reports and in-depth credit monitoring that scours the dark web for your Social Security number. Discover automatically provides these credit monitoring services at no charge.
Also, Discover's high level of credit card customer service has landed it a top spot in the renowned J.D. Power Credit Card Satisfaction Survey for five of the past seven years.
However, the card doesn't offer much else in extra perks. Added benefits like extended warranty coverage, statement credits, complimentary memberships, travel insurance, or roadside assistance are not available with this card. If you need a card packed with extra perks and benefits, you might need to look elsewhere or wait until you can graduate to a non-student card that offers these perks, usually with an annual fee.
We tried it: Here’s what our experts say
Despite offering limited perks, Kyle Olsen, a travel rewards and loyalty expert at The Points Guy, won’t be giving up his Discover it® Student Cash Back anytime soon.
The card is worthwhile due to its benefits tailored specifically for students. It offers cash back rewards on purchases (with a generous cash back match at the end of your first year) and no foreign transaction fees. Additionally, the card has no annual fee and offers tools to help students build credit responsibly. I’ll keep mine indefinitely as my oldest credit line.
— Kyle Olsen, Reporter, The Points Guy
How the Discover it® Student Cash Back compares to other student cards
While the Discover it® Student Cash Back is among the leaders in its category, other options for students looking to build credit while earning rewards are available. These cards are typically forgiving to new credit card users and offer student-centric rewards.
Annual fee
Intro offer
Intro Offer: Unlimited Cashback Match for all new cardmembers – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! So you could turn $50 cash back into $100. Or turn $100 cash back into $200. There’s no minimum spending or maximum rewards. Just a dollar-for-dollar match.
Rewards rate
Earn 5% cash back on everyday purchases at different places you shop each quarter like grocery stores, restaurants, gas stations, and more, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases - automatically.
Recommended Credit Score
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
Annual fee
Intro offer
Intro Offer: Unlimited Cashback Match for all new cardmembers – only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! So you could turn $50 cash back into $100. Or turn $100 cash back into $200. There’s no minimum spending or maximum rewards. Just a dollar-for-dollar match.
Rewards rate
Earn 2% cash back at Gas Stations and Restaurants on up to $1,000 in combined purchases each quarter, automatically. Earn unlimited 1% cash back on all other purchases.
Recommended Credit Score
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
Annual fee
Intro offer
Early Spend Bonus: Earn $50 when you spend $100 in the first three months
Rewards rate
8% Cash Back on Capital One Entertainment purchases. 5% Cash Back on hotels and rental cars booked through Capital One Travel (terms apply). 3% Cash Back on dining, entertainment, popular streaming services and at grocery stores (excluding superstores like Walmart® and Target®). 1% Cash Back on all other purchases.
Recommended Credit Score
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
Who is the Discover it® Student Cash Back right for?
Bankrate’s Take — Is the Discover it® Student Cash Back worth it?
The Discover it® Student Cash Back is one of the few student credit cards that offer rewards on par with its issuer’s flagship card. Its rotating category cash back is hard to beat, plus the first-year cash back match is outstanding considering this card’s low ongoing rates and fees.
How we rated this card
When evaluating the best cash back cards, we consider a mix of factors, including how cards score in our proprietary card rating system and whether cards offer features that fit the priorities of a diverse group of cardholders, from earning rewards in popular categories to scoring a large sign-up bonus or high-value perks. Whenever possible, we also feature cards that are available at various credit levels and price points.
We analyzed over 150 of the most popular cards and scored each based on its rewards rate, estimated annual earnings, welcome bonus value, APR, fees, perks and more to determine whether it belonged in this month’s roundup of the best cash back cards.
Here are some of the key factors that we considered:
Frequently asked questions
What cardholders think
Discover it® Student Cash Back
In May 2024, Bankrate collaborated with third-party SliceMR to survey 6160 cardholders nationwide. Bankrate and Slice MR collected, averaged and presented website analytics and cardholder responses to six questions on a 5-point scale. Responses are based on individual cardholder’s product details, and therefore cannot be verified for accuracy. User ratings are unedited and have not been reviewed or approved by credit card issuers, nor do these ratings reflect Bankrate’s own reviews of these cards.
Community Reviews
* See the online application for details about terms and conditions for these offers. Every reasonable effort has been made to maintain accurate information. However all credit card information is presented without warranty. After you click on the offer you desire you will be directed to the credit card issuer's web site where you can review the terms and conditions for your selected offer.
Editorial Disclosure: Opinions expressed here are the author's alone, and have not been reviewed or approved by any advertiser. The information, including card rates and fees, is accurate as of the publish date. All products or services are presented without warranty. Check the bank’s website for the most current information.
