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Discover has always been regarded as one of the most customer friendly credit card issuers. It seems like they’re adding a new feature or perk to their credit cards every month and continuing to make them better products.
For college students looking for their first credit card, the Discover it® for Students and the Discover it® Chrome for Students are both excellent options that have a new bonus feature that will motivate you to study hard.
Up to $100 Cash Back for Making Good Grades
The Good Grades Rewards program is a new feature on the student credit cards from Discover that will give you extra cash back for your success in the classroom. For up to the next 5 years, eligible cardholders can earn a $20 cash back bonus for each school year that their GPA is a 3.0 (or equivalent) or higher. That means you could earn up to $100 over the course of 5 years if you maintain a GPA is 3.0 or higher! What makes this special bonus even sweeter is that the student credit cards from Discover already offers one of the best cash back programs on the market.
Discover it® for Students: Cardholders earn an unlimited 1% cash back on all purchases as well as 5% back in certain rotating categories. Cardholders can earn a 5% cash back rate on purchases up to $1,500 each quarter. Bonus categories typically include things like gas, department stores, groceries, Amazon.com, and more. Cardholders will earn 1% cash back on all other purchases. To top it off, Discover will automatically double the all cash back you’ve earned at the end of your first year of card membership.
Discover it® chrome for Students: This card offers 2% cash back on up to $1,000 in combined purchases at restaurants and gas stations each quarter, in addition to unlimited 1% cash back on all purchases. Just like the above offer, all cash back earned will be automatically doubled at the end of your first year. If you don’t want your rewards categories on your Discover card to change each quarter, the Discover it Chrome for Students is the way to go.
According to the terms and conditions on Discover’s website, you are eligible for the $20 Good Grades Bonus if you meet the following requirements:
- You indicated on your application for the Discover it® or Discover it® Chrome - Good Grades Rewards cards that you are currently enrolled in college
- You are enrolled in college or graduate school during the School Year for which you request the Good Grades Reward
- Your Grade Point Average (GPA) for any term during the School Year is at least a 3.0 (or equivalent)
- Your payments are current and your account is open at the time you apply for Good Grades Rewards
- You have not received more than five (5) prior Good Grades Rewards
How Do I Get the Bonus?
If you meet the requirements mentioned above, getting your bonus cash back couldn’t be easier. All you have to do is log on to your online banking portal at www.discover.com, enter your GPA, and the Good Grades Reward will be added to your cash back balance within 1-2 billing periods. While it appears that reporting your GPA accurately is based on the honor system, Discover reserves the right to request additional documentations to verify your GPA. It's worth noting that although students are eligible to receive a Good Grades Reward for up to 5 years, they can't receive more than 5 Good Grades Rewards for the lifetime of the account. So in theory, if a freshman opened a student account with Discover, earned a 3.0 GPA or higher throughout all of freshman year, he/she could only earn the reward on more time in their sophomore year, bringing the total amount to $100. After that, Good Grades Rewards can no longer be earned.
The Bottom Line
Using a student credit card is an excellent way to begin building credit as a college student. With so many excellent benefits, the Discover it® for Students and the Discover it® Chrome for Students would both be a perfect place to start. Many students already strive to maintain a GPA of 3.0 or higher, so the new Good Grades Reward is just an additional payoff for their hard work. For the students who need a little extra motivation with their school work, this new perk could be the spark they need to keep working hard.
The new Good Grades Bonus is just the latest of a host of wonderful features that Discover has unveiled for their cardholders this year. With the new “Freeze it?” feature, a double cash back bonus your first year, and now the Good Grades Rewards, there has never been a better time to apply for a Discover it credit card!
* Editorial Note: This content is not provided or commissioned by the credit card issuer. Any opinions, analyses, reviews or recommendations expressed in this article are those of the author’s alone, and have not been reviewed, approved or otherwise endorsed by the credit card issuer. This site may be compensated through the credit card issuer Affiliate Program.
*The content in this article is accurate at the publishing date, and may be subject to changes per the card issuer.