You can see exactly where you stand and how long it will take to improve bychecking your latest credit score for free on WalletHub. Make sure the card youre considering reports to at least one but ideally all three of these companies. Finally, if you want to make things really easy, just sign up for a free WalletHub account. 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. The issuer's prequalification process lets you see the offer you're eligible for before you actually apply. Minimum interest charge: no less than $1.00 (ME residents no more than $0.50). You can get the Discover it Secured Credit Card with a bad credit score (below 640). Generally speaking, a FICO score that's considered "fair" will fall between . Virgin Atlantic Flying Club: Get a . 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. Best unsecured cards for short credit histories. Youll also usually keep the same account, often with the same card number, so theres no loss of credit history length. The higher your credit score on either model's scale, the more creditworthy you may appear to potential lenders. Best Travel Card for Fair Credit The Platinum Credit Card from Capital One can help pave your way to better vacations. NerdWallet's Credit Cards team selects the best credit cards for fair or average credit based on overall value, as evidenced by star ratings, as well as suitability for specific kinds of consumers. 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. is a worthy contender for your wallet as you continue building credit. Compare these deals from our partners to find one that fits your needs. OpenSky Secured Visa Credit Card. The key difference is that this version charges an annual fee while the regular one does not. Our pick for: Cash back with select merchants, Our pick for: Prequalification + up to 1.5% cash back, Our pick for: Help for 'less than perfect credit', Our pick for: College students and young adults. , including your payment history, the amount of available credit that youre using, how long youve had credit, and more. You can check out the panels bios and responses below. 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. Take some time to decide whether you want to prioritize rewards, interest rates, fees or other aspects. Terms and conditions apply. Read review. Alternatives to Consider:The Capital One Platinum Credit Card, the Capital One QuicksilverOne Cash Rewards Credit Card and the Upgrade Cash Rewards Visa are all great options. The Capital One Platinum Credit Card 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 $0-annual-fee option with an incentive for responsible behavior. A 700+ credit score is needed to get most Discover credit cards, but theres no minimum credit score needed for a few Discover cards. Earn 2% cash back at Gas Stations and Restaurants on up to $1,000 in combined purchases each quarter. Bankrate's experts compare hundreds of top credit cards and credit card offers to select the best in cash back, rewards, travel, business, 0% APR, balance transfer and more. (Unlike with Discover's other student card, you don't have to "activate" your bonus rewards.) Combine the flexibility of a credit card with the predictability of a personal loan. Cardholders earn 1% back until they pay the accounts bill on time for six consecutive months, which boosts the earn rate to 1.25% cash back. Theres also no annual fee and no foreign transaction fee. is a great option for people who aren't sure whether their credit is good enough to qualify for a rewards card. That will help cardholders build positive credit history, as long as they manage the account responsibly. 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. Who Should Get It:Apply for the Brex Corporate Card for Startups if youre a small business owner with limited to fair credit who wants to earn rewards on everyday purchases. That's important to keep in mind as you work to build a positive credit history, especially if you carry a balance. For example, Discover will consider other factors, such as how your income compares to your debt, along with your employment status, whether you own or rent your home, how many loans and lines of credit you already have open, and more. You can opt-out of sharing your personal info here. Why dont more banks and credit unions offer credit cards to people with fair credit? One the VantageScore scale developed by the credit bureaus, the average score in 2022 was 698. 1. You increase your odds of approval when you apply for a card. If you're crypto-crazy, or just crypto-curious, the. When you have fair credit, getting the right credit card can be a key step to building a good or excellent credit score. You would need to spend $2,600 per year on the card to make that back (not including any 5% travel categories). Theres a 0% foreign transaction fee, too. Customize Reject All Accept All Customize Consent Preferences The overall goal in comparing credit card offers for fair credit is to find the card that will maximize your savings, and WalletHub's selections were made with that in mind. What is the average credit score in the U.S.? Many or all of the products featured here are from our partners who compensate us. Your web browser (Internet Explorer) is out of date and no longer supported. Some rewards-earning options are listed above. Conversely, a higher score that one issuer still sees as fair credit might qualify as good credit to a different issuer. : ', '}}. . The OpenSky Secured Visa Credit Card is another great option for people with little to no credit history. 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. This ensures that your on-time payments and other responsible credit habits will be recorded. Even though its promotional interest rate is . 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. Or turn $100 into $200. If you do make a late payment, the card doesn't impose a penalty APR. If you don't like the offer, walk away with no harm done. With a product change, youre not applying for a new account; youre seeking an upgrade to the one youve already got. Opinions expressed here are the authors alone, not those of an issuer, and have not been reviewed, approved or otherwise endorsed by an issuer. Petal reports to all 3 major credit bureaus. (If you go through with applying, then there's a hard check.) . And after paying on time for 12 straight months, the rewards rate increases to 1.5% back across the board. Another good unsecured card for fair credit is the Petal 2 Visa Credit Card. 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. 2. It can help you build credit since payments are reported to all three major credit bureaus: TransUnion, Equifax and Experian. No interest on purchases when you pay in full and on time each month. No annual fees, no foreign transactions fees. earns rewards on par with cards for good or excellent credit. You might not qualify for 1.5% cash back. See what terms you'd qualify for without a hard credit inquiry. Unlike other sites that only promote cards they're paid by, WalletHub's editors focus on finding the best cards. No touch payments with contactless technology built in. This card for people with fair or "average" credit pays the same cash-back rate as the regular Quicksilver card, which targets people with excellent credit. 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. With responsible use, you can be considered for a higher credit line in as little as six months. through NerdWallet.) You might qualify for less or no cash back at all. Some offer rewards, perks, upgrade paths and even 0% introductory APR periods. But they may still offer rewards. Capital One QuicksilverOne Cash Rewards Credit Card. It's free for everyone, Check out quickly and securely with a contactless card, without touching a terminal or handing your card to a cashier. 1. Some Discover offers listed here are not currently available on WalletHub and may be out of date. Credit scores also take into account how long you've been using credit, so the sooner you can find the right card, the better. 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 Capital One Platinum Credit Cardis the best credit card for fair credit overall. Best for entry-level fair credit Mission Lane Visa Credit Card Apply now On Mission Lane's secure site Add to compare 3.4 Bankrate review Rewards Rate N/A Intro offer N/A Annual fee $0 -. What to avoid with credit cards for fair credit. (The typical, runs from 300 at the low end to a maximum of 850.). Best credit cards for fair and average credit Best for No Fees: Petal 2 "Cash Back, No Fees" Visa Credit Card Best for Cash Back: Capital One QuicksilverOne Cash Rewards Credit Card. Best Credit Cards for Fair Credit & Airfare in 2023 Best Overall: Upgrade Cash Rewards Visa Best Secured: Bank of America Customized Cash Rewards Secured Credit Card Best for Newcomers: Petal 2 Visa Credit Card Best for Students: Bank of America Travel Rewards Credit Card for Students Best for Business: Capital One Spark Classic for Business Its worth mentioning that when you have fair credit, getting a credit card with a low APR may not be the best option. 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 Prosper Card has a prequalification process that lets you see the offer you're eligible for without a "hard" credit check that can ding your scores. The easiest credit cards to get approved for with no credit or bad credit are secured credit cards. Pay with your phone or device by using Apple Pay or Google Pay. 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. OK92033) Property & Casualty Licenses, NerdWallet | 55 Hawthorne St. - 11th Floor, San Francisco, CA 94105, Best Credit Cards for Fair or Average Credit of March 2023. Perhaps most importantly, though, this card will consider applicants with limited-to-fair credit history. Discover it Student Chrome The Discover it Student Chrome is one of the best credit card options available for fair credit students. It can help you build credit since payments are reported to all three major credit bureaus: TransUnion, Equifax and Experian. or are working to get back on track. 0% intro APR on Purchases for 6 months and 10.99% intro APR on Balance Transfers for 6 months. By clicking "Accept All", you consent to our use of cookies. Dont settle: With fair credit, you wont be eligible for the highest-end credit cards but good cards are still available at this level. If you have lousy credit and are looking for a way to build it back; the Milestone Mastercard is a strong option. Youll want pay your bill in full each month to avoid paying interest, which can get expensive and will eat into any rewards your card might earn. With that being said, its not just your credit score you should worry about. Petals algorithm looks beyond credit scores by analyzing your bank information to determine how you manage income, savings and spending. And unlike many of those cards, any unpaid balance is automatically converted into an installment loan with a fixed monthly payment. See what terms you'd qualify for without a hard credit inquiry. Length of credit history. We're sorry, but after searching our extensive database, we were unable to locate any credit cards that match the following criteria: {{tag.tag}}{{$last ? '' Each card was scored using WalletHubs proprietary 100-point credit card rating system, and you can check out the top options in a handful of popular categories below (some cards are from WalletHub partners). , making it a good option for someone with average credit. You don't get rewards with the Capital One Platinum Credit Card, or a sign-up bonus or a 0% period. . The Capital One QuicksilverOne Cash Rewards Credit Card, for example, charges an annual fee of $39. The card is well-suited to travel with no foreign transaction fees and the globally accepted Visa network. These cards can help you if you're just starting out with credit or are working to get back on track. These cards can help you if you're just starting out with credit. Earn 1% cash back on all your purchases. This card earns rewards in the form of Bitcoin when you pay your bill (although you are subject to holding requirements and transaction fees when you sell your crypto). Capital One QuicksilverOne Cash Rewards Credit Card, Capital One SavorOne Student Cash Rewards Credit Card, First Tech Choice Rewards World Mastercard, Milestone Mastercard - Less Than Perfect Credit Considered, {{(bank.reviews == 1) ? That's not an issue if you pay in full every month, but look elsewhere if you expect to carry debt from month to month. 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 earn cash back on every purchase, but when you pay your bill on time, the cash-back rate for that month gets a boost. Cardholders' accounts are reviewed for a potential credit line increase every three months. 1. Annual fees are the most prominent type of fee to watch out for, but theyre not alone. This content is not provided or commissioned by any issuer. To help people with no credit or bad credit maximize their odds of approval for a credit card, WalletHubs editors compared the approval requirements for more than 1,500 credit card offers, along with their fees, rates and rewards. (For example, if you have a $500 credit limit and a $200 balance, then your credit utilization is 40%.) This ensures that your on-time payments and other responsible credit habits will be recorded. $39. You might be able to get a better card than you think. If you are charged interest, the charge will be no less than $0.50. There's a $39 annual fee. It also earns up to 10% cash back when you use the card to make purchases with select merchants. Why We Like It:It has a $0 annual fee and rewards cardholders with 1 - 7 points per $1 on purchases. If you're crypto-crazy, or just crypto-curious, the $0-annual-fee Upgrade Bitcoin Rewards Visa Credit Card might appeal to you. We also leverage data from the Bureau of Labor Statistics to develop cardholder profiles, used to estimate cards potential savings. Best credit card overall for fair credit Petal 2 "Cash Back, No Fees" Visa Credit Card 9.5/10 CNET Rating Card Highlights Intro Offer N/A APR 17.49% - 31.49% (Variable) Intro. When evaluating offers, please review the financial institutions Terms and Conditions. WalletHub makes it easy to find the best credit cards for fair credit. Best Overall Unsecured Card For Fair Credit The Capital One Platinum Credit Card has everything that someone with average credit could want in a card. What are the most important things to look for in a fair-credit credit card? Why We Like It:QuicksilverOne offers 1.5% cash back on all purchases nearly 50% more than the average cash rewards card provides. This reporting affects key elements of your scores: Payment history is the single biggest factor in your credit score, so it's essential to pay your bill on time every month. 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. 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. Factors in our evaluation include annual and other fees, interest rates, whether a card offers upgrade options, the availability of free credit scores and other credit education and tools, reporting to credit bureaus, and other noteworthy features such as a rewards program. FULL LIST OF EDITORIAL PICKS: 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 Other credit cards may also allow you to change the minimum payment due date to one that better aligns with a direct deposit. keeps you in debt longer and could ultimately drag down your credit scores. The prequalification process allows you to check your offer without any effect on your credit score. At that point, youll probably have a good sense of why you were rejected. As you work to push your scores into the good-to-excellent range, its important that youre able to track how youre doing. gives newcomers to credit a powerful incentive to develop responsible habits. So how do we make money? Its always a good idea to shop around before picking out an unsecured credit card for fair credit. Do not sell or share my personal information, Earn unlimited 1.5% cash back on every purchase, every day, No rotating categories or limits to how much you can earn, and cash back doesn't expire for the life of the account. NerdWallet's Credit Cards team selects the best credit cards for fair or average credit based on overall value, as evidenced by star ratings, as well as suitability for specific kinds of consumers. So whereas someone with excellent credit might receive a credit . An average credit score wont be enough to qualify for some cards, and a rejection letter can hurt more than just your feelings. This information may be different than what you see when you visit a financial institution, service provider or specific products site. You may be hit with an annual fee, a lower credit limit or higher interest rates, but some . Standard message rates apply. Other credit cards may also allow you to change the minimum payment due date to one that better aligns with a direct deposit. is the amount you owe as a percentage of your available credit. Well give you a personalized card recommendation based on your latest credit score and financial priorities. Best Credit Cards for Fair Credit in February 2023. WalletHub experts track 1,500+ offers to help you get the right credit card for average credit, By John Kiernan, Credit Card Editor Feb 27, 2023, Fact Checked: Alina Comoreanu, Sr. Best for cash back: Capital One QuicksilverOne Cash Rewards Credit Card. Credit . 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. That's pretty good for a student card. Annual Percentage Rate (APR) for purchases: 23.49% - 34.49% variable based on Prime Rate. New Credit Users. (Unlike with Discover's other student card, you don't have to "activate" your bonus rewards.) In addition, it is not the financial institutions responsibility to ensure all posts and questions are answered.show more show less. You may qualify for better terms with a traditional personal loan, depending on your financial situation. Learn how NerdWallet rates credit cards. Here is a list of our partners and here's how we make money. Pay on time to boost your cash back to a total of 1.25% for that month, Enjoy no annual fee, foreign transaction fees, or hidden fees, Lock your card in the Capital One Mobile app if it's misplaced, lost or stolen, Earn up to $500 a year by referring friends and family when they're approved for a Capital One credit card, Pick the monthly due date that works best for you, Pay for Amazon.com purchases using your Capital One rewards, Pay for online purchases with virtual card numbers and keep your actual card number to yourself, Get notified via text, email, and phone if Capital One notices potential suspicious transactions on your account, Build your credit with responsible card use. Compare Capital One's options for every credit level to find the card that's right for you. Annual fee of $0. annual fee. The issuer automatically reviews your account for potential credit line increases. And thats great news, considering the best credit card deals require good or excellent credit for approval. Lets take a look at Discovers offers and what score you need to get approved. Fair credit wont qualify you for too many of the 0% APR deals offered by a lot of credit cards these days. credit score $0 Annual fee Up to 4% Cash back Get $25.00 Welcome offer Info Pros & Cons Details Or you can plan to request a. from your issuer on your own eventually. Who Should Get It:Consider applying for the Capital One SavorOne Student Cash Rewards Credit Card if youre a college student with limited to fair credit whose spending habits match up well with the cards rewards. The Capital One Platinum Credit Card is the best credit card for fair credit, because, along with its lower credit requirements, it offers a $0 annual fee, access to Capital One benefits and the potential for credit line increases. If you still arent approved, it may be a sign you need to work on your credit scores before applying again. The card issuer reports details about your account to the major. The ongoing APR is 29.74% Variable APR, which is steep if you plan on carrying a balance. 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. Who Should Get It:Apply for Capital One QuicksilverOne if you plan to spend about $2,600 per year, as thats where the cards rewards value can overcome the fixed cost. With that in mind, we asked a panel of experts for insights into the best way to navigate fair credit now and escape it later. These are only guidelines to help you narrow your selection, and additional factors from your application and credit history will also be considered. When you apply for new credit, it's not uncommon to see your scores dip, at least temporarily. The Navy Federal Credit Union Platinum Credit Card is a balance transfer card where applicants with fair credit have a better chance of qualifying. Ideally, youll have both installment loans (loans that require a specific number of equal payments, like a mortgage or auto loan), as well as revolving accounts (where the balance goes up and down, like with credit cards). What to know before applying for a credit card, , its important to know your credit score. This reporting affects key elements of your scores: Payment history. The OpenSky Secured Visa Credit Card is one of the easiest credit cards to get with fair credit. A hallmark of cards for fair credit is high interest rates. Annual Fee: $39 (waived for the first year if you sign up for AutoPay before your first statement). These companies collect the information used to calculate your credit scores. With fair credit, you wont be eligible for the highest-end credit cards but good cards are still available at this level. It depends on personal preference as well as your credit standing and organizational skills. Banks are required to notify you if you were denied because of information in your credit report. Approval Odds are not meant to imply or guarantee that you will be approved by the lender or that credit will be extended. And unlike some other cash-back cards, it doesn't allow you to boost your rewards earnings with bonus categories. Credit cards for fair credit, sometimes called "average" credit, are aimed at those in the 630-689 FICO score range. 5. Capital One Platinum Credit Card FAIR CREDIT RATING Why We Like It:There is no credit check when you apply, so a rocky credit history wont prevent you from getting approved. 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. The annual fee is. It's possible to find some credit cards that offer decent ongoing rewards on common purchases instead of only with select merchants. Why We Like It:It has a $0 annual fee and gives at least 1% cash back on all eligible purchases. (You can see and track your score for free through NerdWallet.) Credit One Bank Platinum Visa for Rebuilding Credit, Capital One Quicksilver Secured Cash Rewards Credit Card, Bank of America Travel Rewards Credit Card for Students. Plus, the Petal 2 Card reports account info to the three major credit bureaus each month. It's important to note that definitions of credit score ranges can differ from one card issuer to the next. Be automatically considered for a higher credit line in as few as 7 months. The best travel cards for fair credit, according to a YouTuber who's been to 20 countries and has 20 credit cards Select looks at what travel credit cards are available to people with. Please download one of these up-to-date, free and excellent browsers: Enter your cell phone number and well send you a link to install the WalletHub app. Making this decision early will help make your search more manageable, by cutting your options in half, in addition to helping you get better terms. The second-largest factor in your scores. 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. 0% intro APR on purchases for 6 months, then the standard variable purchase APR of 17.49% - 26.49% applies. The following offers didnt quite make the cut for our editors best-card selections, but they can still save cardholders a lot of money. An eventual upgrade path: Ideally, you wont be stuck in the fair credit score range forever, so look for a card that offers a route to improved terms. The 1.5% rewards rate is on par with that offered by many cards for good or excellent credit. Zero fraud liability (which offers protection against unauthorized purchases). We believe everyone should be able to make financial decisions with confidence. Great for large purchases with predictable payments you can budget for. If you like what you see, you can apply, at which point there will be a "hard" credit pull. The $0-annual-fee Upgrade Cash Rewards Visa 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. But you can achieve that effect with a collection of cards that each excel in a particular area. Cardholders' accounts are reviewed for a potential credit line increase every three months. Actual terms may vary. NerdWallet strives to keep its information accurate and up to date. , which compile the credit reports that form the basis of your credit scores. 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.