Offered to students attending college or university, these cards are often issued as "loss leaders". In many cases the card issuer will make an initial loss from all the benefits offered with a student card, making you better off financially.

However the aim of this exercise is to make you keep the same card issuer for life - the same idea behind student loans and bank accounts. Keep this in mind when applying for a student card, and carefully read the terms of the contract.

In addition to student cards, many institutions also offer Alumni cards, in which a contribution is made to the organization (usually a percentage of the amount spent on the card in any calendar month). Often the organization will receive a donation from the card issuer when you register as well.