Ready to apply for the Discover it Student Cash Back Credit Card?
Unit 2 Objective 9 - Examine credit card terminology, perform basic credit card computations, and evaluate pay off options.
Discover it Cash Back credit card
* Intro purchase APR is 0% for 6 months from date of account opening then the standard purchase APR applies. Intro Balance Transfer APR is 10.99% for 6 months from date of first transfer, for transfers under this offer that post to your account by December 10, 2019 then the standard purchase APR applies. Standard purchase APR: 14.99% variable to 23.99% variable, based on your creditworthiness. Cash APR: 26.99% variable. Variable APRs will vary with the market based on the Prime Rate. Minimum interest charge: If you are charged interest, the charge will be no less than $.50. Cash advance fee: Either $10 or 5% of the amount of each cash advance, whichever is greater. Balance transfer fee: 3% Intro fee on balances transferred by December 10, 2019 and up to 5% fee for future balance transfers will apply. Annual Fee: None. Rates as of August 30, 2019. We will apply payments at our discretion, including in a manner most favorable or convenient for us. Each billing period, we will generally apply amounts you pay that exceed the Minimum Payment Due to balances with higher APRs before balances with lower APRs as of the date we credit your payment. Late payment fee is none the first time you pay late. After that the fee is up to $39.
- Discover Identity Alerts are offered by Discover Bank at no cost, only available online, and currently include the following services: (a) daily monitoring of your Experian credit report and an alert when a new account is listed on your report; (b) daily monitoring of thousands of Dark Web sites known for revealing personal information and an alert if your Social Security number is found on such a website. This information is intended for, and only provided to, Primary credit cardmembers whose accounts are open, in good standing and have an email address on file. The Primary cardmember must agree online to receive identity alerts. Identity alert services are based on Experian information and data which may differ from information and data at other credit bureaus. Monitoring your credit report does not impact your credit score. This benefit may change or end in the future. Discover Bank is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. To see a list of Frequently Asked Questions, visit discover.com/freealerts.
- Cashback Match: No purchase minimums. After the first 12 consecutive billing periods that your new account is open, we will match all of the cash back rewards you've earned and apply them to your account in the following one or two billing periods. If your account is closed or no longer in the cash back reward program at the time we calculate your potential award, your cash back will not be matched. You've earned cash back rewards when they have posted to your account by the end of the 12th consecutive billing period. This promotional offer may not be offered in the future. This exclusive offer is available only to new cardmembers.
- Redeem Any Amount Any Time: We will credit your account with your cash back bonus balance if your account is closed or has not been used in 18 months. See rewards terms and conditions.
- Freeze it: When you freeze your account, Discover will not authorize new purchases, cash advances or balance transfers. However, some activity will continue, including bills that merchants mark as recurring, as well as returns, credits, dispute adjustments, delayed authorizations (such as some transit purchases), payments, Discover protection product fees, other account fees, interest, rewards redemptions and certain other exempted transactions.
5. FICO Credit Score Terms: Your FICO Credit Score, key factors and other credit information are based on data from TransUnion and may be different from other credit scores and other credit information provided by different bureaus. This information is intended for and only provided to
Primary account holders who have an available score. See Discover.com/FICO about the availability of your score. Your score, key factors and other credit information are available on Discover.com and cardmembers are also provided a score on statements. Customers will see up to a year of recent scores online. Discover and other lenders may use different inputs, such as FICO Credit Scores, other credit scores and more information in credit decisions. This benefit may change or end in the future. FICO is a registered trademark of the Fair Isaac Corporation in the United States and other countries.
If you prefer not to receive your FICO Credit Score just call us at 1-800-DISCOVER (1-800-347-2683). Please give us two billing cycles to process your request. To learn more, visit Discover.com/FICO.
6. Use Rewards at Amazon.com: Amazon is not a sponsor of this promotion. Amazon, Amazon.com, the Amazon.com logo and the smile logo are registered trademarks of the Amazon.com, Inc. or its affiliates. For complete details on how to Pay with Cashback Bonus at Amazon.com see Amazon.com/Cashback Bonus.
7. Use Rewards at Amazon.com: Amazon is not a sponsor of this promotion. Amazon, Amazon.com, the Amazon.com logo and the smile logo are registered trademarks of the Amazon.com, Inc. or its affiliates. For complete details on how to Pay with Cashback Bonus at Amazon.com see Amazon.com/Cashback Bonus.
8. Good Grade Rewards: Good Grade Reward only available to new cardmembers on or after 7/23/2015 who indicate on their application that they are currently enrolled in college, and whose accounts are current and remain open when the Good Grade Reward is requested. Effective 5/1/2019, grades can only be submitted during the months of May-August to get a $20 statement credit reward. Students with a Discover it or Discover it Chrome card who have a GPA of 3.0 or higher (or equivalent) during a School Year (September - August) may apply at Discover.com for a $20 statement credit ("Good Grade Reward"). This will be applied to your account within seven (7) business days. One Good Grade Reward per School Year, per account, up to a maximum of five (5) consecutive years from the date your account is opened. Terms of Good Grade Reward Offer are subject to change.
DISCOVER IT LAB
1. This card has an introductory APR of 0%. Credit cards often have this to entice customers.
What will the interest rate be after 14 months on standard purchases and why does it vary?
2. What is the yearly fee for the privilege of having this card?
3. Suppose you have another credit card with a balance of $600 and you want to transfer that
balance to your new Discover It Card as soon as you get your card. What will the fee be?
4. What can happen when you miss your first late payment?
5. What is a "cash advance," and what is the APR for each of those?
6, Suppose you take out a cash advance of $400. Determine the dollar amount of the fee you would be charged.
7. After the introductory period is over, determine how much it would cost you in interest to carry a balance of $5000 for one day with a 13.99% APR.
8. After missing a payment a second time what will be the late charge?
9. After receiving your Discover It Card you immediately charge $500 and cannot pay off the balance for three months how much will it cost you to pay off the account if no late fees are charged?
10. After transferring a balance of $800 and the necessary fees have been paid. You are now able to pay off the credit card after one month. How much will it cost you to pay off the account?
11. What is the advantage of having good grades in college when you have a Discover It Student Credit Card?
12. Why would you want to see your FICO Score every month?
13. Why would you want to freeze your card?
14. What would be the first three things you would do if your Discover It Card was stolen?
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