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  • Official comment
    Stilt Team

    There are multiple benefits of using credit cards, which doesn’t mean they are necessary for university students.

    5 ways a credit card can benefit college students:

    1. Helps in building a credit history: We all need access to credit to move forward in life and credit history is an important component of accessing credit in the U.S. A credit card early in life can help build a credit history and a credit score. Learn more about credit scores here - What is a credit score and how can a new international student get a good credit score?
    2. Learn about good credit building habits: It is important to learn how to use access to credit effectively otherwise you may go in deeper debt without learning how to pay it off. A credit card can help you learn those habits with a smaller line.
    3. Get rewards and cash back: Every credit card comes with rewards and cash back on signups and their intelligent use. If you are make on-time payments and use credit effectively, you can earn handsome cash backs.
    4. A credit line for emergencies: Sometimes you may need emergency funds and a credit line can help you in those times of need. It’s important to not max out your credit line to help you in those emergency situations.
    5. Improve your rental application: Landlords and rental companies pull your credit as a first step in any rental application. A credit card can help you build credit history which is useful in your rental application after you graduate and find your own place.

    There are a few pitfalls of using credit cards and these are mostly applicable to students who don’t make use of their cards effectively:

    1. Racking up debt: If you are not careful of how much you spend and where, you may get into a lot of debt with credit cards. As these cards are super easy to use, you may not realize how debt gets out of hand.
    2. Damage credit history: A credit card can help you build if not used properly can affect your credit history in a negative way. Make sure you make payments on time every month to avoid late fees and track them so you don’t end up in default.

    Hope these tips help you build a good credit history.

    About Stilt:

    Stilt provides loans to international students and working professionals in the U.S. at rates lower than any other lender. Visit us at If you have any questions, send us an email at

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