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July 14, 2022
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Why is Fizz better than a credit card?

Fizz is the best option when it comes to building credit in college. It’s different than a credit card, but what makes it better than a credit card?

If you’re in college and want to build your credit score, you’ve typically only had one option: credit cards. Credit cards aren’t usually geared towards the needs of students. Even so-called “student credit cards” are really just normal credit cards with a student-focused marketing pitch. They still have confusing terms and conditions that encourage you to overspend, go into debt, and pay fees and interest.

Fizz, on the other hand, puts students first. We want you to be able to build credit and learn to manage your finances without the downsides. When you get a Fizz card, you won’t have to worry about confusing terms and conditions. We don’t charge fees, and we don’t even have interest rates. Plus, we won’t let you spend more than you have in your connected bank account - so you won’t have to worry about overspending. Plus, you’ll be able to earn up to 15% cash back at merchants you know and love around campus and online. Sounds pretty great, right? Let’s take a closer look at how Fizz differs from a credit card - and why it’s the superior choice every time.

The nuts and bolts of a credit card

First things first, getting approved for a credit card as a college student can be a huge headache. Even if you have the money to pay your bills, a credit card will likely be one of your first lines of credit. Since you may not have much of a credit profile to show that you’re trustworthy, you’ll probably end up dealing with multiple credit card application denials before you can even get a card.

Once you finally get a credit card, there’s still plenty to be wary of. Credit cards are essentially a loan. When you open a credit card, the credit card company gives you a maximum amount you can spend before you need to pay them back. Usually this amount is pretty high - which can encourage overspending. This process repeats for as long as you have the card - much like the graphic below shows.

Now - after you’ve used your credit card and made purchases all month long, the credit card company sends you a bill. From here, a few things can happen. You can pay off all your purchases, you can make just the minimum payment, or you can forget to pay at all.

If you forget to pay at all, you get a missed payment on your credit report, you have to pay a fee, and your credit score can suffer a lot. If you pay off all your purchases, then you’re in good shape all around. But if you’re not clear on what to pay, or if you end up spending more than you have in your bank account, you might end up just making the minimum payment.

Making the minimum payment is, for lack of a better phrase, how they get you. If you make the minimum payment every month, you won’t get a missed payment on your credit report. But the amount you don’t pay back will end up accruing interest - at super high rates, usually well above 20% annually. This can leave you saddled with thousands of dollars in credit card debt. Credit card companies make tons of money off of this scheme.

Why Fizz is superior

First off, Fizz doesn’t check your credit. We want Fizz to be available to everyone - especially if you’re just getting started. That means you won’t have to stress about the approval process when you sign up for Fizz.

When you get a Fizz card, you won’t have to worry about any of the drawbacks of a normal credit card. Fizz works by connecting to your existing bank account. We see how much you have available (don’t worry, we won’t tell) and we won’t let you spend more than that. No more worrying about overspending all month long.

Next, we don’t let your purchases pile throughout the course of the month. Instead, Fizz operates on a daily repayment cycle. Your purchases every day are covered using your line of credit, and then they’re paid off every day at the end of the day from your connected bank account so that you’re starting each day fresh - with $0 in debt.

To top it off, it’s almost impossible to miss payments with Fizz. If your bank account glitches, or even if you just forget and miss a daily payment, we’ll let you know. You’ll have at least 30 days to make the payment, and we won’t charge you any interest or fees - ever. And with daily autopay, you won’t even have to think about making your daily payments - we’ll take care of it for you, and you can build credit without even having to think about it.

The icing on the cake

We’ve covered how Fizz is different (and better) than a normal credit card when it comes to how it actually works. But what about when it comes to rewards - one of the biggest reasons to get a credit card in the first place?

Most student credit cards offer pretty mediocre rewards - if they offer them at all. They might be in the range of 0.5% to 1% cash back on certain purchases. Fizz does things a little differently. Instead of offering low cash back across the board, we partner with brands that students know, use, and love, offering up to 15% cash back on certain purchases and at certain merchants. We also partner with popular spots on campus so you can earn rewards whether you’re shopping online or running out to grab a coffee.

All told, Fizz beats out normal credit cards in literally every category. Fizz has no interest rates or fees, keeps you from overspending, builds your credit score, and earns you rewards at places you actually care about. Plus, it’s easy to sign up and get started. So what are you waiting for? Join the waitlist and spread the word about Fizz today. You could be the first one to get your hands on a Fizz card when we launch on September 1st!

Join Fizz, the debit card for college students
bio

Sam Lipscomb

Sam is a Kenyon College alum and is head of content at Fizz. He's been a go to personal finance resource among his peers since getting his first credit card during his sophomore year of college. He hails from Washington, DC, loves all things aviation, and currently lives in Los Angeles.

Back
July 14, 2022
Fizz

Why is Fizz better than a credit card?

Fizz is the credit card for college students

Fizz is the best option when it comes to building credit in college. It’s different than a credit card, but what makes it better than a credit card?

If you’re in college and want to build your credit score, you’ve typically only had one option: credit cards. Credit cards aren’t usually geared towards the needs of students. Even so-called “student credit cards” are really just normal credit cards with a student-focused marketing pitch. They still have confusing terms and conditions that encourage you to overspend, go into debt, and pay fees and interest.

Fizz, on the other hand, puts students first. We want you to be able to build credit and learn to manage your finances without the downsides. When you get a Fizz card, you won’t have to worry about confusing terms and conditions. We don’t charge fees, and we don’t even have interest rates. Plus, we won’t let you spend more than you have in your connected bank account - so you won’t have to worry about overspending. Plus, you’ll be able to earn up to 15% cash back at merchants you know and love around campus and online. Sounds pretty great, right? Let’s take a closer look at how Fizz differs from a credit card - and why it’s the superior choice every time.

The nuts and bolts of a credit card

First things first, getting approved for a credit card as a college student can be a huge headache. Even if you have the money to pay your bills, a credit card will likely be one of your first lines of credit. Since you may not have much of a credit profile to show that you’re trustworthy, you’ll probably end up dealing with multiple credit card application denials before you can even get a card.

Once you finally get a credit card, there’s still plenty to be wary of. Credit cards are essentially a loan. When you open a credit card, the credit card company gives you a maximum amount you can spend before you need to pay them back. Usually this amount is pretty high - which can encourage overspending. This process repeats for as long as you have the card - much like the graphic below shows.

Now - after you’ve used your credit card and made purchases all month long, the credit card company sends you a bill. From here, a few things can happen. You can pay off all your purchases, you can make just the minimum payment, or you can forget to pay at all.

If you forget to pay at all, you get a missed payment on your credit report, you have to pay a fee, and your credit score can suffer a lot. If you pay off all your purchases, then you’re in good shape all around. But if you’re not clear on what to pay, or if you end up spending more than you have in your bank account, you might end up just making the minimum payment.

Making the minimum payment is, for lack of a better phrase, how they get you. If you make the minimum payment every month, you won’t get a missed payment on your credit report. But the amount you don’t pay back will end up accruing interest - at super high rates, usually well above 20% annually. This can leave you saddled with thousands of dollars in credit card debt. Credit card companies make tons of money off of this scheme.

Why Fizz is superior

First off, Fizz doesn’t check your credit. We want Fizz to be available to everyone - especially if you’re just getting started. That means you won’t have to stress about the approval process when you sign up for Fizz.

When you get a Fizz card, you won’t have to worry about any of the drawbacks of a normal credit card. Fizz works by connecting to your existing bank account. We see how much you have available (don’t worry, we won’t tell) and we won’t let you spend more than that. No more worrying about overspending all month long.

Next, we don’t let your purchases pile throughout the course of the month. Instead, Fizz operates on a daily repayment cycle. Your purchases every day are covered using your line of credit, and then they’re paid off every day at the end of the day from your connected bank account so that you’re starting each day fresh - with $0 in debt.

To top it off, it’s almost impossible to miss payments with Fizz. If your bank account glitches, or even if you just forget and miss a daily payment, we’ll let you know. You’ll have at least 30 days to make the payment, and we won’t charge you any interest or fees - ever. And with daily autopay, you won’t even have to think about making your daily payments - we’ll take care of it for you, and you can build credit without even having to think about it.

The icing on the cake

We’ve covered how Fizz is different (and better) than a normal credit card when it comes to how it actually works. But what about when it comes to rewards - one of the biggest reasons to get a credit card in the first place?

Most student credit cards offer pretty mediocre rewards - if they offer them at all. They might be in the range of 0.5% to 1% cash back on certain purchases. Fizz does things a little differently. Instead of offering low cash back across the board, we partner with brands that students know, use, and love, offering up to 15% cash back on certain purchases and at certain merchants. We also partner with popular spots on campus so you can earn rewards whether you’re shopping online or running out to grab a coffee.

All told, Fizz beats out normal credit cards in literally every category. Fizz has no interest rates or fees, keeps you from overspending, builds your credit score, and earns you rewards at places you actually care about. Plus, it’s easy to sign up and get started. So what are you waiting for? Join the waitlist and spread the word about Fizz today. You could be the first one to get your hands on a Fizz card when we launch on September 1st!

Join Fizz, the debit card for college students
bio

Sam Lipscomb

Sam is a Kenyon College alum and is head of content at Fizz. He's been a go to personal finance resource among his peers since getting his first credit card during his sophomore year of college. He hails from Washington, DC, loves all things aviation, and currently lives in Los Angeles.

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