Capital One Savor Student Cash Rewards vs. Discover it® Student Cash Back
Key takeaways
- The Capital One Savor Student Cash Rewards Credit Card and Discover it® Student Cash Back are both 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, entertainment and travel.
- In the past, the Discover it® Student Cash Back’s quarterly categories have included gas stations, restaurants 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
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Capital One Savor Student Cash Rewards Credit Card |
Discover it® Student Cash Back |
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Capital One Savor Student Cash Rewards vs. Discover it® Student Cash 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:
Discover it® Student Cash Back
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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: $50 cash back after spending $100 in the first three months. Still, it’s not our pick for the best offer.
While a $50 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 $50 welcome bonus, for a total of $350 in rewards during your first year.
Capital One Savor Cash Rewards Credit Card
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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 different popular categories every quarter 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. All non-category purchases and category purchases exceeding $1,500 only earn 1 percent cash back, making the card relatively less rewarding for big spenders or anyone whose main expenses don’t align with Discover’s cash back calendar.
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, vacation rentals 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.
Tie
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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.
Tie
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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 Savor 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 and 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 $14.50 in rewards each month ($174 per year):
- Dining: $10
- Groceries: $1.50
- Gas: $0.50
- Streaming services: $1.50
- Entertainment: $0.40
- Miscellaneous purchases: $0.60
However, your rewards might drop significantly if next quarter’s categories change from dining and streaming services to something you don’t naturally spend money on — say, drugstores and home improvement stores. If you don’t spend in any of the quarterly categories for a given quarter, you’d earn 1 percent cash back on all your purchases and your monthly rewards would be only $5.30 ($63.6 per year).
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 diligent 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 quarterly bonus categories or if you want to take advantage of an introductory APR for purchases and balance transfers.
It should be noted that while the 6-month 0% introductory APR on purchases (then a 17.24% – 26.24% Variable APR) is a decent — albeit short — offer, the 10.99% introductory APR on balance transfers (for 6 months, then a 17.24% – 26.24% Variable APR) is significantly worse than a true 0% APR offer from a dedicated balance transfer card.
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 and you’re willing to do some extra work to track and activate said categories each quarter, 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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