Iceland is tough for students on a tight budget. Youth hostels and "sleeping-bag accommodation" at guesthouses and farms can be lifesavers. The backpackers' website travellerspoint.com offers a number of private rooms in Iceland for as little as $50/£25 per night.
For travelers age 12 to 26, the "Youth Restricted Fare" on Air Iceland offers big savings if you're willing to fly standby and take your chances on availability. Multi-trip bus passes from TREX (tel. 587-6000; www.trex.is) also have student discounts.
The International Student Travel Confederation (ISTC) website (www.istc.org) offers the International Student Identity Card (ISIC) and lists companies, attractions, and accommodations in Iceland that offer student discounts. The card, which also provides students with basic health and life insurance and a 24-hour helpline, is valid for a maximum of 18 months. You can apply for the card online or in person at STA Travel (tel. 800/781-4040 in North America; www.statravel.com); check the web to locate STA Travel offices worldwide. If you're no longer a student but still under 26, STA's International Youth Travel Card (IYTC) entitles you to some discounts. Travel CUTS (tel. 800/592-2887; www.travelcuts.com) offers similar services for both Canadians and U.S. residents. Irish students may prefer to turn to USIT (tel. 01/602-1904; www.usit.ie), an Ireland-based specialist in student, youth, and independent travel.
Note: This information was accurate when it was published, but can change without notice. Please be sure to confirm all rates and details directly with the companies in question before planning your trip.