How International Students Can Get A Credit Card

Understanding how to get a credit card can already be overwhelming, and the process can seem even more daunting as an international student. Having access to credit is important for small conveniences like making purchases when cash is not always handy, and it can be a key step in establishing yourself in the U.S.

There are ways to get a credit card as an international student, and some of the most common include getting an Individual Taxpayer Identification Number (ITIN) or Social Security number (SSN), opening a U.S. bank account, or becoming an authorized user on someone else’s account.

Can international students get a credit card?

In short, yes, though there are notable factors that go into how international students get credit cards.

When applying for a credit card, whether you’re an international student or not, most issuers will check your credit history. Most applications will also require an SSN, though some issuers will accept an ITIN or even a visa.

According to The Credit CARD Act of 2009, a major piece of credit card legislation in the U.S., you’ll also need to be at least 21 to be the primary holder of a line of credit unless you have an adult co-signer or can prove your ability to repay any debts (such as by securing employment).

Challenges for international students

International students face a number of hurdles when seeking credit and credit-building opportunities in the U.S.

Chief among these is that the majority of credit card applications require an SSN or ITIN (with the former being more commonly accepted, especially. for online applications), and not many international students will be eligible. Plus, depending on which cards you apply for, having a limited U.S. credit history (or no credit) can make it difficult to get approved.

Here’s a closer look at some of these challenges:

• You can’t get an SSN. Attending school in the U.S. isn’t enough to make you eligible for an SSN. You’ll also need work authorization, which you may only be able to get via on-campus employment. In some circumstances, F-1 visa holders may be eligible for Curricular Practical Training (CPT), which allows students to do off-campus training or work in off-campus jobs and internships as long as they’re tied to the student’s academic program.
• You can’t get an ITIN. If you’re not eligible for an SSN or don’t have the documentation you need to apply for an SSN, an ITIN is a viable alternative. However, as the Internal Revenue Service (IRS) website notes, you’ll need a “valid tax reason for needing an ITIN,” such as filing a U.S. federal tax return or being a dependent or spouse of a U.S. citizen.
• Your income is too low. Even if you’re able to secure work authorization and an SSN or ITIN, you may not make enough to qualify for the credit cards you’re interested in. After all, many on-campus jobs and internships are part-time. That said, issuers typically allow you to count any money you can reliably access as income in your application, including loans or scholarship money designated for personal living expenses. Low income may also be less of a hindrance when applying for secured cards.
• You don’t have U.S. credit history. The vast majority of credit card applications require at least a soft credit check — even cards designed for people with bad credit or no credit history. Without U.S. credit history, it will be especially difficult to qualify for rewards cards (which typically require a good-to-excellent credit score) and unsecured credit cards (which carry heavier risk for lenders).

3 tips for getting a credit card as an international student

As an international student applying for a credit card, you may need different application materials, including your student visa, ITIN and unexpired identification. Plus, you still need to prove yourself as creditworthy, so here are a few more tips:

• Open a U.S. bank account: A big part of getting approved for a credit card is proving you have a source of income. Establishing a monetary base in the U.S. by opening a checking account is a positive signal to lenders. And it may be easier to apply for a credit card issued by the bank with which you open an account — the established financial relationship works in your favor and your chances for approval may be higher.
• Establish credit with new credit reporting tools: Once you have a U.S. bank account, you can use tools like UltraFICO™ and Experian Boost to report positive account activity to credit bureaus — like utility bills, subscriptions and rent payments — which can help boost your credit score.
• Get a part-time job: Depending on your student visa, you may be able to secure part-time employment, which will qualify you for an SSN and serve as your proof of income for getting a credit card as an international student.

How to get a credit card for international students

Getting a credit card for international students without an SSN

Though most credit card applications will require an SSN, there are different ways you can gain access to credit without one. Most notably, you can request an ITIN.

• Request an ITIN. Some credit card issuers will accept this number for a credit card application if you do not have an SSN. You can request an ITIN through the Internal Revenue Service (IRS).
• Become an authorized user. If you know someone who is willing to let you become an authorized user on their card, you’ll then have access to credit this way. Your primary cardholder should understand that they are chiefly responsible for any debts you accrue.

Card options for international students

As an international student, you have options when it comes to applying for a credit card. Some of the most common are the following:

• Student credit cards
  

  These cards are crafted with students’ needs in mind, offering modest rewards on popular spending categories like dining, entertainment and streaming services. There are also lower barriers of entry, meaning you may qualify with limited or no credit history. Student credit cards are best for international students who have a steady income that’s already established and who plan to stay in the U.S. for a longer period of time.

• Secured credit cards
  

  A secured card is one that is backed by collateral, which is usually a security deposit from the cardholder. This deposit will often serve as the card’s credit limit, shielding lenders from some risk. A secured card can be an excellent credit-building tool over time as you work to establish a credit history in the U.S.

• Prepaid cards
  

  With a prepaid card, you won’t need to have a bank account linked to the card in any way, as you’ll load any funds directly onto the card whenever needed, similar to how you would use a gift card.

  The amount you have to spend on the card will always be the amount you deposit. Prepaid cards best suit international students looking for a short-term option and who don’t have an interest in opening a U.S. bank account or building up a credit history.

   

• Becoming an authorized user
  

  As noted, becoming an authorized user is a useful workaround for getting access to credit if you can’t qualify for a traditional credit card on your own.

  Being an authorized user on someone else’s card account can help you build credit history and make it easier to make purchases.

  As an authorized user, you aren’t responsible for paying off the primary cardholder’s charges, so you won’t need to worry about someone else accumulating debt. However, the primary cardholder’s activity is included as part of your credit history, including their payment history and balances.

  Even if you never use the card yourself, you can benefit from building credit history this way. As long as the account holder practices good credit habits like paying on time and keeping their credit utilization low, you can also see your personal credit score increase. The opposite is also true, though: The primary cardholder missing payments or carrying a high balance will damage your score, so it’s best if you can get added to the account of someone you trust with good credit.

   

   

The bottom line

It may take some work, but you can access credit cards as an international student. Alternative forms of identification like ITINs, passports and visas can help. International students can open a U.S. bank account, sign up for a prepaid card or become an authorized user on someone else’s card. With a few solid workarounds, there’s a way for most people to access these credit-building tools.