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Discover® Student Card - Tropical Beach

• Earn more cash in more ways than anyone elseSM*
• Unlimited cash rewards, automatically
• Up to 20% Cashback Bonus® when you shop online*
• Double rewards with more than 80 Cashback Bonus® Partners*
• Customer Service in less than a minute, anytime you want

Issuer :  Morgan Stanley

Introductory APR : 0%

Introductory Period :  6 months

APR After Introductory Period:  13.99% . Not everyone is guaranteed the introductory APR when they apply and you could end up paying a default rate between 21.99% and 28.99% depending on your payment history and credit rating

Cash Advance Rate : 22.99% variable rate

Annual Fee :  No annual fee

Credit Line Possible :  The credit line possible is dependent on an evaluation of your credit rating and personal resources. Usually in between $500 to $5,000.

Insurance included :  The Discover Student Tropical Beach Card offers platinum type rewards that include auto rental insurance, up to $500,000 in travel accident insurance.

Financing Configuration – Interest is calculated according to a two cycle daily balance, which is more expensive to you than the average daily balance method used, by most credit card issuers.

Grace Period – You have twenty-five days after making a purchase with your Discover Student Tropical Beach Card during which you do not have to pay interest.

The Best Thing About It—Through the reward program, cardholders earn a 5% cash back bonus at bookstores, gas stations and restaurants as well as 1% on all other purchases.

The Worst Thing About It – Taking out cash advances with this card is very expensive because of the high APR and you may not qualify for the lowest rate of $10.99 % rate

Credit Rating Needed For Acceptance : Good Credit.

Who Is It For?

The Discover Student Tropical Beach Card suits students who are going away on Spring break. It is offers a flexible and generous cash back rebate program that applies to hotels, airlines, gasoline, restaurants and general purchases and can be helpful when it comes to building new credit.

The Benefits

There is a generous rebate program. You earn 5% back in popular categories such as gas stations, restaurants, clothing and a 1% cash back on all other purchases. Rewards are sent to you in $20 increments.

Duplicate cards are free.  There is no fee for issuing duplicate cards.

You can keep track of all of your business expenses in one place.  You are also able to monitor what goes on in your account with full access to an online account report.

No Fraud Liability.  If you claim someone has stolen your card then you do not have to be liable for the usual $50 that is typically deducted as fraud liability. Your are also protected by a Fraud Protection program.

The Drawbacks

 

Monthly payments are applied to purchases before cash advances. The amounts that you pay monthly are not applied to the highest interest activities such as taking out a cash advance. This can make it difficult not to accumulate a lot of debt. 

A short grace period. Many credit cards don’t begin to garner interest on purchases until thirty days after purchase. Discover Student Tropical Beach Card only gives you twenty-five days. There is also no grace period on balance transfers.

The APR is not guaranteed. If you make a late payment on any bill, not just your credit card bill, your introductory 0% rate can be replaced with a costly variable default rate

There are lots of hidden fees.  See the Fees to Watch Out For section below.  The fees charged for your every little financial transaction can really add up and make it seem like you are paying an annual fee anyway.

Fees To Watch Out For

 

Late payment fee : $15 on balances up to $500, and $39 on balances over $500.

Over The Limit fee : $15 on balances up to $500, and $39 on balances over $500.

Cash advance Fee : 3% for each cash advance, with a minimum of $5 and no maximum.

Minimum Finance Charge :  Fifty cents.

Balance Transfers : 3%, $5 minimum, $50 maximum (does not apply to introductory offer)

To Summarize –

The Discover Student Tropical Beach Card has a high interest rate but the lack of annual fee makes this card more attractive. The APR is very high so you better plan on being able to pay off the balance after the 6 month introductory period is over or you could find yourself in deep in debt. Any late payment will result in a default APR that is over thirty percent being applied to your charges.

Intro APR	Intro APR Period	Regular APR	Annual Fee	Balance Transfers	Credit Needed
0%	6 months	13.99%	None	N/A	Good Credit