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Key takeaways
- Both the Capital One Savor Student Cash Rewards Credit Card and Discover it® Student Cash Back are good options for students who want to build credit and earn rewards.
- The Capital One Savor Student Cash Rewards Credit Card is great for those who spend more on food, travel and entertainment.
- In the past, the Discover it® Student Cash Back’s quarterly categories have included gas stations, grocery stores and select streaming services.
- Which student credit card is better for you depends on your personal spending habits.
A student credit card can be a great way to start building credit while in school. The Capital One Savor Student Cash Rewards Credit Card and Discover it® Student Cash Back are two good options to consider for building credit and, as a bonus, earning rewards. With either card, you can earn cash back on a wide variety of everyday purchases. Neither card charges an annual fee or foreign transaction fees, and both offer flexible rewards redemption options.
So which card is better suited for student spending? We’ll take a closer look to help you decide.
Main details
| Capital One Savor Cash Rewards Credit Card | Discover it® Student Cash Back | |
|---|---|---|
| Welcome bonus |
$100 cash bonus after spending $300 in the first 3 months |
All cash back earned within the first year will be matched at the end of the first year |
| Rewards rate |
|
|
| Intro APR |
N/A |
|
| Annual fee | $0 | $0 |
Capital One Savor Student Cash Rewards vs. Discover it® Student Cash Back Back highlights
Both the Capital One Savor Student Cash Rewards and the Discover it® Student Cash Back offer a rewards program, welcome bonus and no annual fee. But there are some differences between the two that are worth pointing out. Here’s how the two cards compare on key features:
Welcome bonus winner
-
Earning a welcome bonus could give you a nice rewards boost soon after opening a new card. And while both of these cards offer a form of welcome bonus, only the Savor Student card offers a traditional one: $100 cash back after spending $300 in the first three months. Still, it’s not our pick for the best offer.
While a $100 cash bonus is a decent welcome offer for a student credit card — and very easy to obtain — Discover’s Cashback Match potential puts the Discover it® Student Cash Back ahead in this category since the bonus you earn is really up to you.
For example, if you’re able to max out the 5 percent category each quarter — which means spending $1,500 per quarter in the activated bonus categories for a total of $6,000 per year — you’ll earn $300 in cash back that year. With Cashback Match, Discover will match your first year rewards, so you’ll effectively earn a $300 bonus, for a total of $600 in rewards during your first year.Even if you spend half of that ($750) each quarter in the 5 percent categories , you’ll still come out ahead with $150 in annual rewards, which will be matched to a total of $300 at the end of the first year. And that’s not counting any rewards from the base 1% cash back on non-bonus category purchases, which also benefit from the first year match.
Rewards rate winner
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The Savor Student Cash Rewards and Discover it® Student Cash Back both have a lot of potential to be lucrative rewards-earning cards. In the end, the card that pulls ahead for you will depend on how much you spend per month, what you spend your money on and how much attention you want to pay to your card.
That said, Discover it® Student Cash Back requires significantly more attention than the Savor Student card does, so the Savor pulls ahead in this category for us.
Sure, you can earn higher cash back rates in popular categories — which have included restaurants, grocery stores, gas stations and streaming services in the past —with the Discover it® card, but you have to remember to activate those quarterly categories and keep track of whether you’ve met the $1,500 spending cap. It’s a lot to think about for busy students.
The Capital One Savor Student Cash Rewards, on the other hand, offers a consistent 3 percent cash back on dining, entertainment, popular streaming services and groceries (excluding superstores like Walmart and Target), with no spending cap. You’ll also earn 5 percent cash back on hotels and rental cars booked through Capital One Travel, 8 percent cash back on Capital One Entertainment purchases and 1 percent cash back on all other purchases. Those are popular spending categories for many students, so there’s plenty of opportunity to rack up rewards. Plus you don’t have the stress of keeping up with activations or spending caps.
Annual fee winner
-
Both cards score high marks for not charging an annual fee. Not paying an annual fee is a good thing, as it won’t detract from the rewards you’re earning.
Foreign transaction fee winner
-
If you’re planning to study abroad or travel between semesters, it’s a good idea to look for a credit card that doesn’t charge foreign transaction fees. These fees, which are typically 3 percent to 5 percent of each transaction, can really add up. The good news: You won’t pay any foreign transaction fees with either the Capital One SavorOne Student Cash Rewards or the Discover it Student Cash Back.
Which card earns the most?
Whether you can earn more rewards with the Capital One Savor Student Cash Rewards or the Discover it® Student Cash Back largely depends on which categories you spend the most in and how much you spend.
Capital One Savor Student Cash Rewards vs. Discover it® Student Cash Back spending example
Let’s say that you typically spend about $530 per month on your student credit card. Your spending breakdown includes:
- Dining: $200
- Groceries: $150
- Gas: $50
- Streaming services: $30
- Entertainment: $40
- Miscellaneous purchases: $60
If you use the Capital One Savor Student Cash Rewards, you’ll earn a total of $15.70 in cash back per month ($188 per year), which breaks down as:
- Dining: $6
- Groceries: $4.50
- Gas: $0.50
- Streaming services: $0.90
- Entertainment: $3.20 (if purchased through Capital One Entertainment)
- Miscellaneous purchases: $0.60
Now, say you use the Discover it® Student Cash Back instead. Also say that this quarter’s 5 percent cash back categories are restaurants, home improvement stores and select streaming services (5 percent on each quarter’s activated rotating categories, on up to $1,500 in combined purchases per quarter, then 1 percent). In that case, you’ll earn $14.5 in cash back each month for that quarter.
- Dining: $10
- Groceries: $1.50
- Gas: $0.50
- Streaming services: $1.50
- Entertainment: $0.40
- Miscellaneous purchases: $0.60
However, your yearly rewards wouldn’t necessarily average out to $175. In quarters where the 5% categories don’t match the categories you naturally spend in, most of your purchases will only earn 1% cash back and your overall rewards will be lower than this example.
You have the potential to earn more rewards with the Discover it® Student Cash Back during the first year thanks to Cashback Match, and you could be strategic about your spending and max out the bonus categories quarterly. But it’s likely simpler and more consistent to earn with the Capital One Savor Student Cash Rewards.
Why should you get the Capital One Savor Student Cash Rewards?
If you’re still comparing student credit cards, here are a few reasons why you might consider the Capital One Savor Student Cash Rewards over the Discover it® Student Cash Back.
Why should you get the Discover it® Student Cash Back?
The Discover it® Student Cash Back might be worth it for you if you’re comfortable activating its quarterly bonus categories and tailoring your spending to fit them, or if you want to take advantage of an introductory APR for purchases and balance transfers.
The bottom line
If you’re interested in getting one of the top student credit cards, both the Capital One Savor Student Cash Rewards and Discover it® Student Cash Back are worth considering. Either card can help you earn cash back while building credit. The main question is: Which card is better suited to your individual spending habits?
If you typically spend more on dining, entertainment, groceries and travel, then the Capital One Savor Student Cash Rewards could be a better fit. But if your spending habits better align with Discover’s quarterly bonus categories, you might get more from the Discover it® Student Cash Back. Or, you might consider adding both cards to your wallet, which would provide you with the opportunity to maximize cash back earnings.
Remember, though, the main goal with a student credit card should be building your credit and laying a strong foundation for your financial future. Do that, and you’ll open up future opportunities to add a wider range of top rewards cards to your wallet.
For Capital One products listed on this page, some of the above benefits are provided by Visa® or Mastercard® and may vary by product. See the respective Guide to Benefits for details, as terms and exclusions apply.
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