Douglas Olsen
International students can get a credit card, but it may be difficult due to their lack of credit history in the country they're applying in. Most credit card applications require a Social Security Number (SSN) or an Individual Taxpayer Identification Number (ITIN), although some issuers will accept a visa or passport. Students with F-1 or other student visas may qualify for an SSN if they have a job lined up. If not, they may be able to request an ITIN from the Internal Revenue Service (IRS). International students can also try to get a part-time job to increase their income and qualify for better credit card terms and rewards programs. Another option is to become an authorized user on a trusted friend's or family member's credit card.
| Characteristics | Values |
|---|---|
| Difficulty | Getting a credit card as an international student can be difficult due to lack of credit history and other requirements. |
| Requirements | Most applications require a Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN). Some also require a student visa, proof of identity, and proof of enrollment in a US institution. |
| Options | International students can get a credit card as an authorized user on someone else's account, apply for a secured credit card, or choose from cards designed for international students like Zolve and Deserve Edu Mastercard. |
| Benefits | Credit cards help international students build a credit history, which is essential for future financial goals like renting an apartment, getting a loan, or applying for a job. |
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What You'll Learn
Credit-building options for international students
Credit cards are the primary way to build a credit history, which is essential for international students' future financial goals in the US, such as renting an apartment, obtaining a loan, or getting a car loan. While it can be challenging for international students to get approved for a credit card, there are several options available to them. Here are some credit-building options for international students:
Obtain a Social Security Number (SSN) or Individual Taxpayer Identification Number (ITIN)
One of the most significant hurdles for international students applying for a credit card in the US is the requirement for an SSN or ITIN. International students can explore the possibility of obtaining an SSN by checking their eligibility for an on- or off-campus job. Students with F-1 or other student visas may qualify for an SSN, but they may need to get authorisation and have a job lined up first. A part-time job may be sufficient to qualify for an SSN or ITIN and prove their ability to pay credit card bills. If ineligible for an SSN, international students can apply for an ITIN by submitting IRS Form W-7 to the Internal Revenue Service (IRS).
Explore credit cards that do not require an SSN
Some credit card issuers, such as Zolve and Deserve Edu Mastercard, offer options for international students that do not require an SSN. These cards often come with benefits like cashback rewards and an easy application process. Requirements for these cards generally include proof of identity and proof of enrollment in a US institution, and sometimes an ITIN.
Become an authorised user on an existing credit card
Another option for international students is to become an authorised user on a trusted friend's or family member's credit card. Some credit card companies allow this without requiring an SSN or ITIN. This option may be challenging if your friends and family are outside the US.
Open a US bank account
Establishing a monetary base in the US by opening a checking account is a positive signal to lenders. It may be easier to apply for a credit card issued by the same bank, as the established financial relationship increases your chances of approval.
Explore student credit cards and secured credit cards
Student credit cards are specifically designed for college students and can help build credit with responsible use. Secured credit cards are another option for international students without a US credit history. These cards require a deposit that becomes the cardholder's credit limit and can be used like a regular credit card. Cardholders should make timely payments and keep their credit utilisation low to build their credit scores.
Establish credit with new credit reporting tools
Once you have a US bank account, you can use tools like UltraFICO™ and Experian Boost to report positive account activity to credit bureaus, such as utility bills, subscriptions, and rent payments, which can help boost your credit score.
While building credit as an international student in the US can be challenging, these options can help you establish a solid credit history and achieve your financial goals.
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How to apply for a credit card as an international student
As an international student, you can build your credit history and improve your qualifications for renting a home, getting a car loan, or applying for a job in the US by applying for a credit card. Here are some steps to help you apply for a credit card as an international student:
Check your eligibility for an SSN or ITIN
First, you need to check if you are eligible for a Social Security Number (SSN) or an Individual Taxpayer Identification Number (ITIN). You can do this by speaking with the international student affairs office at your educational institution. They can inform you of your eligibility to get an on- or off-campus job, which determines your eligibility for an SSN. If you are eligible for an on- or off-campus job, you can also apply for an ITIN.
Get an SSN or ITIN
If you are eligible for an SSN, you may need to get authorization and have a job lined up first. A part-time job at your school or elsewhere may be enough to qualify you for an SSN. Your student adviser or school's international student services office may be able to help you with this. If you cannot get an SSN, you may be able to request an ITIN from the Internal Revenue Service (IRS) by submitting IRS Form W-7.
Open a US bank account
Once you have your SSN or ITIN, consider opening a US bank account. This will help you establish a monetary base in the US and signal to lenders that you have a source of income. It may also be easier to apply for a credit card issued by the bank with which you open an account.
Build your credit history
Start building your credit history by using tools like UltraFICO and Experian Boost to report positive account activity to credit bureaus. You can also put utility bills in your name if a utility company reports payments to credit bureaus.
Apply for a credit card
Now that you have built your credit history and have an SSN or ITIN, you can apply for a credit card. Some credit card issuers provide cards exclusively for students that only require your passport, while others may require an SSN or ITIN. You can explore credit cards for international students, such as Zolve and Deserve Edu Mastercard, which offer comprehensive benefits, an easy application process without an SSN, and high cashback rewards.
Remember that building a good credit history takes time and responsible credit use.
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Benefits of a credit card for international students
International students can benefit from having a credit card in several ways. Firstly, it can help them establish a local credit score, which may be necessary for future financial needs like applying for loans, renting an apartment, or even applying for certain jobs. Building a credit history demonstrates an individual's ability to pay their bills on time and manage their finances responsibly. This can be especially important for international students who plan to stay in the country after their studies and need to demonstrate financial credibility.
Secondly, having a credit card can provide convenience and purchasing power. In today's world, many transactions require a credit card, and having one can make it easier for international students to make purchases, rent cars, or book hotels. It can also be a safer alternative to carrying cash, especially when travelling or studying abroad. Additionally, some credit cards offer rewards and cashback on eligible purchases, which can help students save money or earn benefits.
Thirdly, credit cards can provide international students with access to credit, which can be useful in case of emergencies or unexpected expenses. While it is important to use credit responsibly and avoid excessive debt, having access to credit can provide financial flexibility and peace of mind. Some credit cards also offer benefits like purchase protection, extended warranties, and travel insurance, which can be valuable for students studying abroad.
Furthermore, for international students who plan to return to their home countries after their studies, having a local credit card can help them build a positive credit history in that country. This can be beneficial if they decide to pursue future financial endeavours, such as taking out loans or applying for jobs that require a credit check, in their home countries. Additionally, some credit card companies have partnerships with international credit bureaus, allowing them to evaluate applications from students with credit history from other countries.
Lastly, obtaining a credit card can be the first step towards establishing a financial profile in the country where an international student is studying. This can include opening a local bank account, building a credit history, and even finding part-time employment. These steps can help international students integrate into the local economy and access other financial services and opportunities during their time abroad.
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Requirements for international students to get a credit card
International students can get credit cards, but the process can be daunting and challenging. The requirements and application process for getting a credit card vary depending on the country and the credit card issuer. Here are some general requirements for international students to get a credit card:
Social Security Number or Individual Taxpayer Identification Number
Most credit card applications in the United States require a Social Security Number (SSN). However, if you don't have an SSN, some credit card issuers will accept an Individual Taxpayer Identification Number (ITIN) instead. An ITIN can be obtained by submitting IRS Form W-7 to the Internal Revenue Service (IRS). Students with F-1 or other student visas may also qualify for an SSN, but they may need to get authorization and have a job lined up first.
Proof of Identity and Enrollment
Credit card issuers may require proof of identity, such as a passport or other unexpired identification, and proof of enrollment in a US educational institution.
Credit History or Co-signer
Credit card issuers often analyze an applicant's credit history before approving an application. International students may not have a US credit history, so they might need a co-signer or someone willing to add them as an authorized user on their credit card. Building a financial profile, such as opening a US bank account and reporting positive account activity, can also help establish creditworthiness.
Income and Employment
Having a source of income and proving your ability to repay debts are important factors in getting approved for a credit card. A part-time job, either on-campus or off-campus, can increase your chances of credit card approval and help establish your creditworthiness.
It is important to note that the requirements and options for international students may vary, and it is always a good idea to research the specific requirements of different credit card issuers. Additionally, seeking guidance from the international student affairs office at your educational institution can be helpful in understanding your eligibility and options.
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Types of credit cards for international students
International students can get credit cards, but the process can be challenging. While most credit card applications require a Social Security Number (SSN), international students can still get a credit card without one. Here are some types of credit cards that international students can consider:
Student Credit Cards
Student credit cards are designed for college students with limited or no credit history. They can be a great way for international students to build credit and earn rewards. Capital One, Citibank, and Discover all offer student credit cards that do not require an SSN. Some student credit cards, like the Capital One Savor Student and Quicksilver Student, also offer features such as security alerts, card lock, and no foreign transaction fees.
Secured Credit Cards
Secured credit cards are backed by collateral, usually a security deposit from the cardholder. The deposit often serves as the card's credit limit. Secured credit cards can help international students establish credit history and access other financial products in the future. Firstcard® Secured Credit Builder Card with Cashback is an example of a secured credit card that offers rewards and no annual fee.
Prepaid Credit Cards
Prepaid credit cards do not require a bank account and can be loaded with funds directly. They are similar to gift cards and can be a low-risk option for international students. However, prepaid cards may not help build credit history in the same way as traditional credit cards.
International Debit Cards
For a low-cost and low-risk alternative, international students can consider getting an international debit card. The Wise Account offers an international debit card that may be a good option for students who want to avoid high fees and interest charges associated with credit cards.
It's important to note that the requirements and options for credit cards vary, and international students should carefully review the eligibility criteria and terms and conditions before applying.
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Frequently asked questions
Yes, international students can get a credit card in the US. However, there are some notable factors to consider.
Most applications require a Social Security Number (SSN) or an Individual Taxpayer Identification Number (ITIN). Some issuers will also accept a visa. If you are under 21, you will need an adult co-signer or proof of income to repay debts.
Some credit card issuers accept ITINs, which can be requested from the IRS. Cards like the Deserve Edu do not require an SSN. Alternatively, international students can become authorised users on a trusted friend or family member's credit card.
Yes, there are credit cards specifically designed for students with no credit history, such as the Discover It student card. Student credit cards are also available for those with limited credit history.
International students can build their credit history by getting a part-time job, applying for secured credit cards or credit-builder loans, or by putting utility bills in their name.
