best credit card for fair credit best credit card for fair credit

If you're crypto-crazy, or just crypto-curious, the. Experian, Equifax and TransUnion are the three major bureaus that compile the credit reports that inform your credit scores. Cardholders also are eligible for a credit limit increase in as little as 6 months. Take some time to decide whether you want to prioritize rewards, interest rates, fees or other aspects. is a great option for people who aren't sure whether their credit is good enough to qualify for a rewards card. And there's no annual fee, late fees or foreign transaction fees. Therefore, you typically dont have to worry about a hard pull on your credit report. The annual fee is $0. What We Dont Like:This card is not a good option for carrying a balance from month to month, thanks to a fairly high APR. That's pretty good for a student card. WalletHub may share your information with third-parties in order to show personalized offers, as well as enable you to interact more easily with pre-fill forms or applications. You don't get rewards with the Capital One Platinum Credit Card, or a sign-up bonus or a 0% period. 0% intro APR on purchases for 6 months, then the standard variable purchase APR of 17.49% - 26.49% applies. (If you go through with applying, then there's a hard check.) Why We Like It:The Capital One Platinum Credit Cardhas a $0 annual fee. -annual-fee option with an incentive for responsible behavior. The Upgrade Cash Rewards Visa earns rewards on par with cards for good or excellent credit. Credit utilization. And unlike some other cash-back cards, it doesn't allow you to boost your rewards earnings with bonus categories. Both of those numbers are actually a bit higher than the 630-689 range typically used to define "average" credit. Check out our expert picks for fair credit credit cards here! If youre a few days late, youll likely owe a late fee. You also get a free FICO score, low fees, and forgiveness for your first late payment. Dont settle: With fair credit, you wont be eligible for the highest-end credit cards but good cards are still available at this level. Your goal should be to minimize the fees that are likely to apply to your usage habits and ignore those that arent. You can be automatically considered for a higher credit limit in as little as six months. You can see and track your credit score for free through NerdWallet. You earn cash back on every purchase, but when you pay your bill on time, the cash-back rate for that month gets a boost. The terms "fair credit" and "average credit" are used more or less interchangeably within the credit cards industry to describe scores in the middle ground between good credit and bad credit. $105. Once youve zeroed in on a credit card for fair or average credit, make sure you understand any fees it might charge: annual fees, balance transfer fees, foreign transaction fees, late-payment fees, etc. When you pay in full, you don't get. Who Should Get It:Apply for the OpenSky Secured Visa Credit Card if youre rebuilding from credit damage and want high approval odds. Ad Disclosure: Certain offers that appear on this site originate from paying advertisers, and this will be noted on an offers details page using the designation "Sponsored", where applicable. The Journey Student Rewards from Capital One gives newcomers to credit a powerful incentive to develop responsible habits. Alternatives to Consider:There are several really good credit cards for students available right now. When you have fair credit, getting the right credit card can be a key step to building a good or excellent credit score. What's the difference between fair and average credit? 0.99% intro APR on balance transfers for 12 months, followed by a regular APR of 10.24% - 18.00% variable on both purchases and . Free credit score: As you work to push your scores into the good-to-excellent range, its important that youre able to track how youre doing. A single "hard pull" can cause a temporary dip in your scores, but if you're continually applying for the wrong cards and being rejected, the damage can be much worse. Depending on which offer you qualify for, you could get as much as 1.5% cash back on purchases. Opinions expressed here are the authors alone, not those of an issuer, and have not been reviewed, approved or otherwise endorsed by an issuer. There are some notable restrictions on the Bitcoin rewards you earn, including holding requirements and transaction fees when you sell. An average credit score wont be enough to qualify for some cards, and a rejection letter can hurt more than just your feelings. It also has a $35 annual fee. It can help you build credit since payments are reported to all three major credit bureaus: TransUnion, Equifax and Experian. is a cross between a credit card and a personal loan, and it can offer the best of both worlds: flexibility, but with predictable terms from month to month. Conversely, a higher score that one issuer still sees as fair credit might qualify as good credit to a different issuer. The ongoing APR is 29.74% Variable APR, which is steep if you plan on carrying a balance. Capital One Platinum Credit Card. You can choose your own due date, which lets you schedule payment for the time of the month that best suits your cash flow. First Progress Platinum Prestige Mastercard Secured Credit Card. Plus, earn unlimited 1% cash back on all other purchases automatically. Upgrade Credit Card is probably your best option overall because of its high cash back rate and no fees. That is the low end of a range from 17.49% to 31.49% (V), however, so it might be optimistic to assume youll get a rate that low. Many major issuers offer free access to your scores, available once you sign in to your account, along with other budgeting and education tools. You increase your odds of approval when you apply for a card. Approval Odds are WalletHub estimates intended to gauge your likelihood of approval for a particular product. Discover it Student chrome: Best feature: Rewards for students. Credit mix. Like Upgrade's other cards, it works like a combination of a credit card and a personal loan, allowing you to make purchases and then pay down your balance in equal monthly installments at a fixed interest rate. Best For Credit Score Annual Fee Welcome Bonus Citi Premier Card Best Overall Card for Gas Excellent, Good $95 60,000 bonus points Platinum Rewards Visa Signature Card Best. But youve got the knowledgeable WalletHub community on your side. No single credit card has the best rewards and the best rates, which means you shouldnt try to use one for both everyday purchases and carrying a balance. Other credit cards may also allow you to change the minimum payment due date to one that better aligns with a direct deposit. Payment history is the single biggest factor in your credit score, so it's essential to pay your bill on time every month. This ensures that your on-time payments and other responsible credit habits will be recorded. Enjoy peace of mind with $0 Fraud liability. If your credit score is in the average or fair range of 580 to 669, these credit cards are among the best and some even offer rewards and benefits. You can see and track your credit score for free through NerdWallet. Some Discover offers listed here are not currently available on WalletHub and may be out of date. With the, , youll have the potential to gain access to a higher credit line. This information may be different than what you see when you visit a financial institution, service provider or specific products site. The best business credit card for fair credit is Capital One Spark Classic for Business because it has a $0 annual fee and gives 1% cash back on all purchases. Credit . Annual fees are the most prominent type of fee to watch out for, but theyre not alone. MORE: 11 things you should know before getting your first credit card. Before submitting an application, always verify all terms and conditions with the offering institution. The higher your credit score on either model's scale, the more creditworthy you may appear to potential lenders. John Kiernan has covered the credit card industry for more than 10 years as a writer and editor for WalletHub. Petals algorithm looks beyond credit scores by analyzing your bank information to determine how you manage income, savings and spending. Try not to carry a balance: Interest rates on credit cards for average credit tend to be on the high side. Its free, activate with the mobile app. keeps you in debt longer and could ultimately drag down your credit scores. Credit cards 101: Understanding the basics, How a credit card helps you improve fair credit, to good or excellent credit when you use them responsibly. Terms apply, Monitor your credit score with CreditWise from Capital One. 0% intro APR on Purchases for 6 months and 10.99% intro APR on Balance Transfers for 6 months. Credit cards for fair credit target consumers with FICO scores between 580 and 669. Here's why: Capital One advertises that this card is intended for people with fair credit, which can help make the application process less stressful if you have less-than-perfect credit. Capital One Platinum Credit Card at Capital One's secure website FAIR CREDIT RATING 4.7 OVERALL RATING 4.0/5.0 No annual or hidden fees. The scoring formula takes into account the type of card being reviewed (such as cash back, travel or balance transfer) and the card's rates, fees, rewards and other features. Furthermore, fair credit is far from a life sentence. earns rewards on par with cards for good or excellent credit. doesn't offer rewards, and it charges an annual fee, but the issuer goes out of its way to encourage people with "less than perfect credit" to apply. Here is a list of our partners. All financial products, shopping products and services are presented without warranty. Who Should Get It:Apply for the Petal 2 Visa Card if you have limited to fair credit, plan to pay the bill on time and in full every month, and expect to keep the account open for more than a year. doesn't offer rewards, as several other cards in the fair-credit category do, but for those looking to strengthen their credit, it's a simple, solid. You can be automatically considered for a higher credit limit in as little as six months. Combine the flexibility of a credit card with the predictability of a personal loan. . Graduating to good credit could take as little as one month, depending on your circumstances. Review that notice, then review your credit report to make sure there are no inaccuracies, and then do the same for the card application you submitted. Please keep in mind that while some offers may come from WalletHub advertising partners, sponsorship status played no role in card selection. But there's still value to be had from fair-credit credit cards, and you dont have to stay in this particular creditworthiness tier for long. We work hard to show you up-to-date product terms, however, this information does not originate from us and thus, we do not guarantee its accuracy. A credit score in or above the recommended range means you have a higher chance of approval, but doesnt guarantee it. The Discover it Student chrome shines with its no-maintenance rewards structure and student-friendly bonus categories. The Petal 2 Visa Credit Card is one of the best credit cards for people with fair credit, or even limited credit. The following offers didnt quite make the cut for our editors best-card selections, but they can still save cardholders a lot of money. OpenSky Secured Visa Credit Card. Rewards: Rewards arent necessarily a must for credit cards for fair credit, but they are within reach at this range. and cards for fair credit tend to have high interest rates. Chase doesn't offer credit cards specifically for fair or average credit, but it does have the Chase Freedom Student credit card, which can . is the amount you owe as a percentage of your available credit. Yes, you can get a credit card if you have fair credit. The card is well-suited to travel with no foreign transaction fees and the globally accepted Visa network. No credit score? When evaluating offers, please review the financial institutions Terms and Conditions. NerdWallet's ratings are determined by our editorial team. If youre more than 30 days late, it can start to affect your credit scores. Lets take a look at Discovers offers and what score you need to get approved. When you have fair credit, is it better to get a credit card with an annual fee or one that requires a refundable security deposit? Just answer a few questions and we'll narrow the search for you. Customize Reject All Accept All Customize Consent Preferences You would need to spend $2,600 per year on the card to make that back (not including any 5% travel categories). When evaluating offers, please review the financial institutions Terms and Conditions. . Capital One Platinum Credit Card FAIR CREDIT RATING Journey Student Rewards from Capital One gives you 1% cash back on all your purchases, plus 0.25% back when you make your monthly payment on time, for a total of 1.25% cash back. Alternatives to Consider:The Petal 2 Visa Credit Card, the Capital One QuicksilverOne Cash Rewards Credit Card and the Upgrade Cash Rewards Visa are worth comparing. You can choose your own due date, which lets you schedule payment for the time of the month that best suits your cash flow. You can get the Discover it Secured Credit Card with a bad credit score (below 640). 11 things you should know before getting your first credit card, How to choose a credit card for fair credit. You earn 2% cash back at restaurants and gas stations, on up to $1,000 in combined purchases per quarter, and 1% cash back on all other purchases. The Mission Lane Cash Back Visa Credit Card is a great option for people who aren't sure whether their credit is good enough to qualify for a rewards card. These companies collect the information used to calculate your credit scores. In particular, we focused on cards with low annual fees and high rewards rates, including general-purpose credit cards as well as store credit cards. Learn how NerdWallet rates credit cards. FULL LIST OF EDITORIAL PICKS: Get Credit Cards for Fair Credit Start with your FICO Score and get matched, based on your credit profile with offers for rewards or no annual fees, so you can strengthen your credit. , which is steep if you plan on carrying a balance. Wallethub doesnt charge for this service. so the list of such products is fairly short, and those that do exist lack the big sign-up bonuses you'd get with a card requiring excellent credit. (For example, if you have a $500 credit limit and a $200 balance, then your credit utilization is 40%.) His work has been featured by major media outlets such as The Washington Post and The New York Times and has been cited by industry regulators such as the Consumer Financial Protection Bureau. Plus, the ongoing APR is on the high end at 29.74% Variable APR. Fair credit wont qualify you for too many of the 0% APR deals offered by a lot of credit cards these days. When comparing credit cards for fair credit, look for some or all of these features: Reports to the major credit bureaus: Experian, Equifax and TransUnion are the three major bureaus that compile the credit reports that inform your credit scores. See what terms you'd qualify for without a hard credit inquiry. Credit scores also take into account how long you've been using credit, so the sooner you can find the right card, the better. There's an annual fee, although you can avoid it in the first year by signing up for autopay before your first statement is issued. shines with its no-maintenance rewards structure and student-friendly bonus categories. The fee is $0 intro with auto pay, then $39 after first year. Credit scores also take into account how long you've been using credit, so the sooner you can find the right card, the better. Cardholders' accounts are reviewed for a potential credit line increase every three months. Best Unsecured Credit Cards of March 2023. Discover could help you reduce exposure of your personal information online by helping you remove it from select people-search sites that could sell your data. Or you can plan to request a product change from your issuer on your own eventually. If you plan to travel internationally, make sure you have a backup plan. Prosper also doesn't have other cards to upgrade to once your credit improves, so you either have to keep paying the fee or close the card. 1. . Our opinions are our own. Paying in full every month also helps keep utilization in check. . If youre not sure how your credit is doing, you can check your latest credit score for free on WalletHub, the only site where credit scores and reports update daily. You can also borrow against your credit limit, much like a personal loan. Why We Like It:QuicksilverOne offers 1.5% cash back on all purchases nearly 50% more than the average cash rewards card provides. The OpenSky Secured Visa Credit Card is one of the easiest credit cards to get with fair credit. isn't going to wow anyone; there's no sign-up bonus and the APR is high. 7 Best Credit Cards for a 600 Credit Score (With Approval Odds) - AllCards.com We value your privacy We use cookies to enhance your browsing experience, serve personalized ads or content, and analyze our traffic. There's a $39 annual fee. A hallmark of cards for fair credit is high interest rates. If you can find a card that pays rewards while also providing a steppingstone from average credit to good or excellent credit, its a win-win. Earn 1.5% unlimited cash back on card purchases every time you make a payment. If you're looking to beef up your credit, it's a decent place to start. Great for large purchases with predictable payments you can budget for. The Capital One QuicksilverOne Cash Rewards Credit Card is one of the best credit cards for people with fair credit who plan to charge a fair amount to their new card. Some may have slightly lower standards, for example, starting the fair credit range as 620 and ending it at 659. It only has a $39 annual fee and gives you at least 1.5% cash back on every purchase. credit score $0 Annual fee Up to 4% Cash back Get $25.00 Welcome offer Info Pros & Cons Details If you like what you see, you can apply, at which point there will be a "hard" credit pull. Why We Like It:There is no credit check when you apply, so a rocky credit history wont prevent you from getting approved. ALSO CONSIDER: Best credit cards of 2023 || Best unsecured cards for short credit histories || Best starter cards for no credit || Best rewards credit cards. The second-largest factor in your scores, credit utilization is the amount you owe as a percentage of your available credit. As you work to push your scores into the good-to-excellent range, its important that youre able to track how youre doing. You want your scores to go up, not down. Pre-qualified offers are not binding. That's important to keep in mind as you work to build a positive credit history, especially if you carry a balance. The underlying data is compiled from credit card company websites or provided directly by the credit card issuers. Why dont more banks and credit unions offer credit cards to people with fair credit? The Petal 1 "No Annual Fee" Visa Credit Card doesnt offer this option. Fair credit, also referred to as "average" credit, is a step up from bad credit but a notch below good credit. Instead, get a rewards card for everyday expenses that you can pay in full within a billing period, a card offering 0% on purchases for big-ticket spending or a 0% balance transfer card for reducing the cost of existing debt. This may influence which products we review and write about (and where those products appear on the site), but it in no way affects our recommendations or advice, which are grounded in thousands of hours of research. Fair 600-699. If you don't like the offer, walk away with no harm done. $0. Petal's mobile app makes it easy to manage your money, track your spending, and automate payments. It also earns up to 10% cash back when you use the card to make purchases with select merchants. You increase your odds of approval when you apply for a card tailored for your score range. The card is well-suited to travel with no foreign transaction fees and the globally accepted Visa network. You can opt-out of sharing your personal info here. So if you havent checked your credit score in a while, make sure to do so before applying. If possible, pay off your balance in full each month. Bear in mind that not all lenders define fair credit the same way. So whereas someone with excellent credit might receive a credit . If you do make a late payment, the card doesn't impose a penalty APR. Instantly access 50% of your credit while your card ships to you. Promotion runs from March 1, 2023 to March 31, 2023. You'll earn bonus cash back at restaurants and gas stations with no activation required and no rotating categories to keep track of. , the first thing to do is determine why. can be an ideal choice if you plan to carry a balance, want the convenience of equal monthly debt repayments and can pre-qualify for a favorable interest rate. (The typical, runs from 300 at the low end to a maximum of 850.). With fair credit, you wont be eligible for the highest-end credit cards but good cards are still available at this level. Please keep in mind that editorial and user-generated content on this page is not reviewed or otherwise endorsed by any financial institution. Best Credit Cards for Fair/Average Credit Capital One Platinum Credit Card - Best for building credit Mission Lane Cash Back Visa Credit Card - Best for building credit + earning rewards Capital One QuicksilverOne Cash Rewards Credit Card - Best for flat-rate rewards Capital One Walmart Rewards Mastercard - Best for Walmart purchases The Navy Federal Credit Union Platinum Credit Card is a balance transfer card where applicants with fair credit have a better chance of qualifying. A fair credit score is usually defined as any score in the range of 640-699.