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. 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 ? '' Earn unlimited 5% cash back on hotels and rental cars booked through Capital One Travel, where you'll get Capital One's best prices on thousands of trip options. Get pre-approved in seconds with no impact to your credit score. It earns 1.5% back in the form of Bitcoin when you pay your bill. The average person with fair credit is 47 years old and has an annual income of $54,000 per year. WalletHub makes it easy to find the easiest credit cards to get. - Business Insider (United States) . 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. Plus, Discover says there's no FICO history requirement for this card. One of the best low interest credit cards for fair credit is the Petal 2 Visa Credit Card because it is possible to get an interest rate of 17.49% (V), depending on your overall creditworthiness. Avianca LifeMiles: Receive 20% more miles when you transfer your Citi ThankYou Points to Avianca LifeMiles. If youre more than 30 days late, it can start to affect your credit scores. Why We Like It:It has a $0 annual fee and rewards cardholders with 1 - 7 points per $1 on purchases. Issued by Coastal Community Bank, Member FDIC pursuant to a license by Mastercard International. 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. The average FICO credit score in the United States in 2022 was 716, according to the company that manages the FICO scoring model. Advertising may impact how and where products appear on this site (including, for example, the order in which they appear). It's an underserved market, 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. , making it a good option for someone with average credit. Capital One QuicksilverOne Cash Rewards Credit Card: Best for flat-rate rewards The Capital One QuicksilverOne card gives people with fair credit the chance to earn 5 percent cash back. 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. If possible, pay off your balance in full each month. 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. The scoring formulas take into account multiple data points for each financial product and service. No interest on purchases when you pay in full and on time each month. The issuer's prequalification process lets you see the offer you're eligible for which could be up to 1.5% cash back before you actually apply. 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. In fact, only 40 credit-score points separates the two tiers (fair credit means a credit score of 620 to 659, while good credit is 660 to 719). There are some notable restrictions on the Bitcoin rewards you earn, including holding requirements and transaction fees when you sell. Some even give rewards of 1% or more. Chase doesn't offer credit cards specifically for fair or average credit, but it does have the Chase Freedom Student credit card, which can . The key difference is that this version charges an annual fee while the regular one does not. We also leverage data from the Bureau of Labor Statistics to develop cardholder profiles, used to estimate cards potential savings. 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. So if you havent checked your credit score in a while, make sure to do so before applying. 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. (If you go through with applying, then there's a hard check.) Compare these deals from our partners to find one that fits your needs. Other credit cards may also allow you to change the minimum payment due date to one that better aligns with a direct deposit. Keep in mind, also, that credit scores are not the only thing that credit card issuers and other lenders look at when evaluating a credit application. Its free, activate with the mobile app. There are lots of really good credit card for fair credit offers on the market right now. 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. So how do we make money? Perhaps most importantly, though, this card will consider applicants with limited-to-fair credit history. The annual fee is $0. Youll also usually keep the same account, often with the same card number, so theres no loss of credit history length. Standard message rates apply. . Depending on which offer you qualify for, you could get as much as 1.5% cash back on purchases. 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. This reporting affects key elements of your scores: Payment history. 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. Journey Student Rewards from Capital One. 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. All financial products, shopping products and services are presented without warranty. There are no rewards. (You can see and track your score for free through NerdWallet.) Credit scores also take into account how long you've been using credit, so the sooner you can find the right card, the better. Before applying for a credit card, its important to know your credit score. 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. offers those with average credit a chance to both earn rewards and, potentially, gain access to a higher credit line. 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. Top credit cards for fair credit in Canada Compare credit cards for fair credit by category Top regular rate cashback card: Neo Financial Mastercard Credit recommended (600-) Apply now on Neo Financial's secure site 600 Min. Platinum Credit Card from Capital One 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. Recent credit applications. Capital One QuicksilverOne Cash Rewards Credit Card. Click through to Discovers website to see terms and conditions. Youll be reviewed for regular credit line increases. But there are unsecured cards for every credit level, including bad credit. Why We Like It:This card is inexpensive to own and rewarding to use. 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. Check out our expert picks for fair credit credit cards here! It can help you build credit since payments are reported to all three major credit bureaus: TransUnion, Equifax and Experian. See if you're approved in seconds Be automatically considered for a higher credit line in as little as 6 months Help build your credit through responsible use of a card like this You can also redeem rewards as a statement credit. The card issuer reports details about your account to the major credit bureaus, which compile the credit reports that form the basis of your credit scores. Before applying, confirm details on the issuers website. Comparing credit cards for fair credit can be tough. Terms apply; Discover will automatically match all the cash back youve earned at the end of your first year! Therefore, you typically dont have to worry about a hard pull on your credit report. 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. Annual Fee: $39 (waived for the first year if you sign up for AutoPay before your first statement). Low or no fees: An annual fee can make sense if the card offers enough rewards and benefits to outstrip the cost of carrying it. The Best Credit Cards for Average or Fair Credit of March 2023. Business Insider 8h ago. 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. MORE: 11 things you should know before getting your first credit card. Fair 600-699. . WalletHub actively maintains a database of 1,500+ credit card offers, from which we select the best credit cards for fair credit for different applicants as well as derive market-wide takeaways and trends. (For example, if you have a $500 credit limit and a $200 balance, then your credit utilization is 40%.) Capital One . Dont pay late: Make at least the minimum payment, and do so on time each month. If you plan to travel internationally, make sure you have a backup plan. 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). a standout for students searching for their first credit card. It also comes with a cool 1.5% cash back on every purchase and an annual fee of . Some may have slightly lower standards, for example, starting the fair credit range as 620 and ending it at 659. The 1.5% rewards rate is on par with that offered by many cards for good or excellent credit. By clicking "Accept All", you consent to our use of cookies. But we recommend a score of at least 700, which is toward the top of the good credit range, for the cards that require 700 credit for approval. When evaluating offers, please review the financial institutions Terms and Conditions. Roughly 13.5% of people have fair credit, according to WalletHub data. 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. Enjoy peace of mind with $0 Fraud liability. And there's no annual fee, late fees or foreign transaction fees. has a prequalification process that lets you see the offer you're eligible for without a "hard" credit check that can ding your scores. Secured credit cards (those requiring a refundable security deposit) are meant for people with bad credit or no credit. You may be hit with an annual fee, a lower credit limit or higher interest rates, but some . That's because this entry-level card doesn't charge an annual fee or foreign transaction fees. But you need at least good credit for all the other offers, including Discover it Miles and Discover it Cash Back, two of the most popular options. The average adult has around 5 credit cards, including store credit cards, but theres no golden rule for how many credit cards you should have - or how many credit cards is too many. if the card offers enough rewards and benefits to outstrip the cost of carrying it. No touch payments with contactless technology built in. Why We Like It:The Capital One Platinum Credit Cardhas a $0 annual fee. Six months is a good rule of thumb. 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. Using these cards responsibly helps you improve your credit score, so you can then look for cards with better perks. 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. Generally speaking, a FICO score that's considered "fair" will fall between . 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. That's a big reason why the term "fair credit" is often used to describe scores in the middle ground between bad and good. Your goal should be to minimize the fees that are likely to apply to your usage habits and ignore those that arent. There are good credit cards designed for people with fair credit, but you're unlikely to get approved for the best credit cards until you can improve your credit. 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. News Summary: 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. If you're looking to beef up your credit, it's a decent place to start. Some Discover offers listed here are not currently available on WalletHub and may be out of date. And with a fair credit score, you probably wont get the lowest APR available from any of the low interest credit cards. You may also qualify for better terms with a traditional personal loan, depending on your financial situation. Here is a list of our partners and here's how we make money. 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. And on top of all that, it earns cash back, too. What's the difference between fair and average credit? We encourage everyone to share their knowledge while respecting our, Answer provided by user: {{ans.user_fullname}}. Best for earning cash back with fair credit Capital One QuicksilverOne Cash Rewards Credit Card Apply Now On Capital One's Website 2.3 Up to 5% Reward Rate Earn unlimited 1.5% cash back. If you have lousy credit and are looking for a way to build it back; the Milestone Mastercard is a strong option. earns rewards on par with cards for good or excellent credit. What is considered fair or average credit? If youre a few days late, youll likely owe a late fee. 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. 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. This may influence which products we write about and where and how the product appears on a page. Many major issuers offer free access to your scores, available once you sign in to your account, along with other budgeting and education tools. Many fees are avoidable, especially if you use the card responsibly. 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. Debit cards allow you to spend money by drawing on funds you have deposited at the bank. One the VantageScore scale developed by the credit bureaus, the average score in 2022 was 698. You can be automatically considered for a higher credit limit in as little as six months. And thats great news, considering the best credit card deals require good or excellent credit for approval. And college students dont need a credit score, or any credit experience, to get one of Discovers two student credit cards. Plus, the ongoing APR is on the high end at. On top of that, the cards annual fee is $0. Credit scores also take into account how long you've been using credit, so the sooner you can find the right card, the better. Read review. Interest rates on credit cards for average credit tend to be on the high side. No single credit card offers the best rewards in every purchase category, plus the lowest rates and fees. Banks are required to notify you if you were denied because of information in your credit report. The annual fee is $0. Even small business owners with limited credit history can get Capital One Spark Classic, so applicants with fair/average credit should have solid approval odds. Youll also have the opportunity to earn some attractive initial bonuses. There's a $39 annual fee. 1. Its worth mentioning that when you have fair credit, getting a credit card with a low APR may not be the best option. 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. Petals algorithm looks beyond credit scores by analyzing your bank information to determine how you manage income, savings and spending. People with fair credit are riskier applicants; and because of this higher risk, you might receive a credit card with a lower limit. 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. The issuer automatically reviews your account for potential credit line increases. Do any issuers have a particularly good/bad reputation for offering decent fair-credit credit cards. Be automatically considered for a higher credit line in as few as 7 months. So pay your bill on time every month, dont max out your spending limit and track your credit scores progress over time to see when youre ready for an upgrade. You can also borrow against your credit limit, much like a personal loan. And if you already have a long-serving credit account, keep it open and active. And if you're approved, you can begin using your credit line immediately no need to wait for the physical card. 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. . 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. Your web browser (Internet Explorer) is out of date and no longer supported. $0 intro with auto pay, then $39 after first year. That's pretty good for a student card. , issued by WebBank, is an excellent option for those with less-than-perfect credit. Fair credit, also referred to as "average" credit, is a step up from bad credit but a notch below good credit. Some rewards-earning options are listed above. If you've already built good credit, you can probably score a card with higher rewards than this card offers. Whether your finances arent so great or theyre right on track, you should be able to find a Discover card that works for you. 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. A credit card application usually triggers a. on your credit report. That's pretty good for a student card. Earn 1.5% unlimited cash back on card purchases every time you make a payment. See if you're approved in seconds, Help build your credit through responsible use of a card like this, Get access to your account 24 hours a day, 7 days a week with online banking from your desktop or smartphone, with Capital One's mobile app, Pay by check, online or at a local branch, all with no fee - and pick the monthly due date that works best for you. With a product change, youre not applying for a new account; youre seeking an upgrade to the one youve already got. The Upgrade Cash Rewards Visa earns rewards on par with cards for good or excellent credit. is a great option for people who aren't sure whether their credit is good enough to qualify for a rewards card. The. offers a solid ongoing rewards rate: You earn unlimited 1.5% cash back on purchases. Best for cash back: Capital One QuicksilverOne Cash Rewards Credit Card. At WalletHub we try to present a wide array of offers, but our offers do not represent all financial services companies or products. Read our review. 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. Credit cards for fair credit, sometimes called "average" credit, are aimed at those in the 630-689 FICO score range. doesnt only rely on credit scores to determine eligibility. and cards for fair credit tend to have high interest rates. No Credit Check. Credit utilization. There's a quick pre-qualification process with no impact to your credit score, modest interest rate and an annual fee of $35 - $99. From huge sign-up bonuses to generous rewards, NerdWallet's best credit cards outshine the rest. NerdWallet Compare, Inc. NMLS ID# 1617539, NMLS Consumer Access|Licenses and Disclosures, California: California Finance Lender loans arranged pursuant to Department of Financial Protection and Innovation Finance Lenders License #60DBO-74812, Property and Casualty insurance services offered through NerdWallet Insurance Services, Inc. (CA resident license no. When you have fair credit, getting the right credit card can be a key step to building a good or excellent credit score. You can also borrow against your credit limit, much like a personal loan. The underlying data is compiled from credit card company websites or provided directly by the credit card issuers. Making only the minimum payment keeps you in debt longer and could ultimately drag down your credit scores. (If you go through with applying, then there's a hard check.) Minimum interest charge: no less than $1.00 (ME residents no more than $0.50). It earns 1.5% back in the form of Bitcoin when you pay your bill. 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. (The typical, runs from 300 at the low end to a maximum of 850.). Alternatives to Consider:The Capital One Spark Classic for Business is a low-cost rewards card for business owners with limited credit. 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. 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 Capital One Platinum Credit Card is the perfect financial tool for your wallet because it provides low-cost access to credit, with the ability to improve your credit score with responsible behavior. Customize Reject All Accept All Customize Consent Preferences A credit card application usually triggers a hard inquiry on your credit report. 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. Why We Like It:It has a $0 annual fee and gives at least 1% cash back on all eligible purchases. See if you're pre-approved within minutes without impacting your credit score. The Petal 2 Visa Credit Card, issued by WebBank, is the best high-limit credit card for individuals with average, fair, or limited credit -- typically a credit score between 580 and 669. The card earns a decent rate of up to 10% cash back when you use the card to shop with select merchants. , or a sign-up bonus or a 0% period. Quick Summary. Annual fees are the most prominent type of fee to watch out for, but theyre not alone. The card is well-suited to travel with no foreign transaction fees and the globally accepted Visa network. Petals algorithm looks beyond credit scores by analyzing your bank information to determine how you manage income, savings and spending. Its lighter on the fees than some unsecured credit cards for less-than-perfect credit and it offers rewards. Depending on which offer you qualify for, you could get as much as 1.5% cash back on purchases. 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. 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. Read our review. Or you can plan to request a product change from your issuer on your own eventually. Best Credit Cards for Fair Credit in February 2023. Terms and conditions apply. Whether you want to pay less interest or earn more rewards, the right card's out there. When you apply for new credit, it's not uncommon to see your scores dip, at least temporarily. Approval Odds are not meant to imply or guarantee that you will be approved by the lender or that credit will be extended. Youll also usually keep the same account, often with the same card number, so theres no loss of credit history length. 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. Can I get a credit card if my credit is fair? But if you've got fair credit and you need a card you can use to build credit without paying an annual fee, it's definitely worth a look. Credit scores can fluctuate by 100 points in a single month, so graduating to a higher credit level doesnt have to take too long. Furthermore, fair credit is far from a life sentence. 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. Virgin Atlantic Flying Club: Get a . Capital One QuicksilverOne Cash Rewards Credit Card. show more To help you find the best deal, WalletHubs editors compared all of the credit cards for fair credit in our database of 1,500+ credit card offers. Discover it Student Cash Back: Best feature: Student rewards. 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. 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. See what terms you'd qualify for without a hard credit inquiry. APR for cash advances: 34.49% variable based on Prime Rate. (Unlike with Discover's other student card, you don't have to "activate" your bonus rewards.) What's the minimum credit score needed for Discover cards? Credit cards for fair credit, sometimes called "average" credit, are aimed at those in the 630-689 FICO score range. Mobile app to access your account anytime, anywhere.
