What is considered fair or average credit? With the Capital One QuicksilverOne Cash Rewards Credit Card, youll have the potential to gain access to a higher credit line. credit score $0 Annual fee Up to 4% Cash back Get $25.00 Welcome offer Info Pros & Cons Details Best Credit Cards of March 2023; Best Gas Credit Cards; Best Travel Credit Cards; Best Balance Transfer Credit Cards; Best 0% APR Credit Cards; Best Cash Back Credit Cards; doesnt only rely on credit scores to determine eligibility. The second-largest factor in your scores, credit utilization is the amount you owe as a percentage of your available credit. 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 This reporting affects key elements of your scores: Payment history. Paul Soucy Feb 27, 2023. 1. Issued by Coastal Community Bank, Member FDIC pursuant to a license by Mastercard International. Capital One Platinum Credit Card. Learn how NerdWallet rates credit cards. Discover will automatically match all the cash back youve earned at the end of your first year! 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. Best Credit Cards for Fair Credit | CompareCards.com Our opinions are our own. 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. Even though its promotional interest rate is . Annual Percentage Rate (APR) for purchases: 23.49% - 34.49% variable based on Prime Rate. It also earns 1.5% cash back on all purchases. Or turn $100 into $200. A hallmark of cards for fair credit is high interest rates. Annual fee of $0. The higher your credit score on either model's scale, the more creditworthy you may appear to potential lenders. Ratings vary by category, and the same card may receive a certain number of stars in one category and a higher or lower number in another. And on top of all that, it earns cash back, too. And there's no annual fee, late fees or foreign transaction fees. And while our site doesnt feature every company or financial product available on the market, were proud that the guidance we offer, the information we provide and the tools we create are objective, independent, straightforward and free. There's also Discover's signature bonus for new cardholders. (The typical, runs from 300 at the low end to a maximum of 850.). You might be able to get a better card than you think. 2. 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. The. There are plenty of cards to choose from, so check out WalletHubs editors picks for the best credit cards for fair credit to find the best one for you. might appeal to you. No interest on purchases when you pay in full and on time each month. Ideally, you wont be stuck in the fair credit score range forever, so look for a card that offers a route to improved terms. 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. All financial products, shopping products and services are presented without warranty. 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. You want your scores to go up, not down. Paying in full every month also helps keep utilization in check. 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. You'll earn bonus cash back at restaurants and gas stations with no activation required and no rotating categories to keep track of. 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. The Best Credit Cards for Average or Fair Credit of March 2023 Yes, you can get a credit card if you have fair credit. What We Dont Like:There is a $39 annual fee, and paying the cards bill in full every month is essential, given its high APR. INTRO OFFER: Unlimited Cashback Match only from Discover. Earn a credit limit increase in as little as 6 months. So its a great way to save money as you build credit, which should be your top priority until you have a good credit score. If you do make a late payment, the card doesn't impose a penalty APR. 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. Although there's no foreign transaction fee, Discover isnt as widely accepted abroad as other cards. What to know before applying for a credit card, , its important to know your credit score. Whether your finances arent so great or theyre right on track, you should be able to find a Discover card that works for you. 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. What We Dont Like:This card does not offer rewards or a low interest rate. Great for large purchases with predictable payments you can budget for. Credit Score Requirements: Poor 500-599. With that being said, its not just your credit score you should worry about. Be automatically considered for a higher credit line in as few as 7 months. You might qualify for less or no cash back at all. Credit scoring formulas tend to reward people who show that they can handle different kinds of credit. And college students dont need a credit score, or any credit experience, to get one of Discovers two student credit cards. 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). 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. The Petal 2 Visa Credit Card is one of the best credit cards for people with fair credit, or even limited credit. 7 Best Credit Cards for a 600 Credit Score (With Approval Odds) Capital One QuicksilverOne Cash Rewards Credit Card. The average FICO credit score in the United States in 2022 was 716, according to the company that manages the FICO scoring model. You can also borrow against your credit limit, much like a personal loan. Cardholders also are eligible for a credit limit increase in as little as 6 months. If your credit is at least fair, you can find cards that charge no annual fee at all. Use this link to create an account and connect your credit score with TransUnion to get an estimate of your approval odds based on your credit score and other factors. If youre rejected for a credit card, the first thing to do is determine why. Reviews show typical fair-credit applicants for the cards below start with a limit between $300 and $750, but see an increase after regular payments. 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. What makes this card valuable is that it's available to business operators with fair credit (a FICO score between 630-689), who don't have a lot of options in business credit cards and it has no annual fee. When you pay in full, you don't get charged interest and cards for fair credit tend to have high interest rates. A fair credit score is usually defined as any score in the range of 640-699. The key difference is that this version charges an annual fee while the regular one does not. You can be automatically considered for a higher credit limit in as little as six months. Please let us know if you notice any differences. It depends on personal preference as well as your credit standing and organizational skills. You increase your odds of approval when you apply for a card tailored for your score range. Dont pay late: Make at least the minimum payment, and do so on time each month. Foreign transaction fee: 1% of the transaction amount. Some Discover offers listed here are not currently available on WalletHub and may be out of date. The issuer automatically reviews your account for potential credit line increases. U.S. News' Best Credit Cards for Fair Credit of 2022 | U.S. News But they may still offer rewards. And with a fair credit score, you probably wont get the lowest APR available from any of the low interest credit cards. Cardholders earn 1 - 5% cash back on purchases, depending on the spending category, plus an initial bonus of $50 for spending $100 in the first 3 months. $39. Therefore, you typically dont have to worry about a hard pull on your credit report. Credit mix. Cardholders' accounts are reviewed for a potential credit line increase every three months. If you're looking to beef up your credit, it's a decent place to start. You also get a free FICO score, low fees, and forgiveness for your first late payment. 'Review' : 'Reviews'}}, . Using these cards responsibly helps you improve your credit score, so you can then look for cards with better perks. Earn 1% cash back on all your purchases. Best Credit Cards for Fair Credit, 2022 - Joy Wallet Comparing credit cards for fair credit can be tough. It can help you build credit since payments are reported to all three major credit bureaus: TransUnion, Equifax and Experian. 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. 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. Alternatives to Consider:There are several really good credit cards for students available right now. If youre more than 30 days late, it can start to affect your credit scores. If you feel you have a case, you can contact the issuer and ask for reconsideration. One of the best unsecured credit cards for fair credit is Upgrade Cash Rewards Visa because it offers unlimited 1.5% cash back on all purchases (after you pay the bill) and a $0 annual fee.