Try not to carry a balance: Interest rates on credit cards for average credit tend to be on the high side. If you don't like the offer, walk away with no harm done. The second-largest factor in your scores. 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. Answer provided by user: Milvionne Chery Copeland, JD, LL.M., MBA, Director of Accountancy, Assistant Chair of Accountancy and Law and Assistant Professor of Accountancy and Law, School of Business, Eastern Illinois University, Ph.D., Assistant Professor of Finance, College of Business, University of Colorado Colorado Springs, CFP(R), ChFC(R), AIF(R), Lecturer, David Nazarian College of Business and Economics, California State University, Northridge, Assistant Professor of Finance, University of Alabama in Huntsville, Distinguished Professor of Finance, Goldyne and Irwin Hearsh Chair in Money and Banking, University of California, Los Angeles Anderson School of Management, Ph.D., Assistant Professor of Economics, Department of Finance and Economics, Wall College of Business Administration, Coastal Carolina University, Our picks for the best credit cards for fair credit in 2023, Tips for finding the best credit cards for fair credit, How we picked the best credit cards for fair credit, First Progress Platinum Elite Mastercard Secured Credit Card, check your latest credit score for free on WalletHub, checking your latest credit score for free on WalletHub, Credit Cards for Fair Credit with Instant Approval, High Limit Credit Cards for Average Credit, Credit Cards for Fair Credit with No Deposit, Do Not Sell or Share My Personal Information, Qualify with limited or no credit history, Available to people with bad credit, even after bankruptcy, Available to people with limited or fair credit. N/A. Who Should Get It: Apply for the Capital One Platinum Credit Cardif you want an inexpensive starter card to build credit with. Alternatives to Consider: The First Progress Platinum Elite Mastercard Secured Credit Card is another option with no credit check. See what terms you'd qualify for without a hard credit inquiry. if the card offers enough rewards and benefits to outstrip the cost of carrying it. The key difference is that this version charges an annual fee while the regular one does not. Unlike other sites that only promote cards they're paid by, WalletHub's editors focus on finding the best cards. Pay with your phone or device by using Apple Pay or Google Pay. There are no rewards. 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. (For example, if you have a $500 credit limit and a $200 balance, then your credit utilization is 40%.) Youll also usually keep the same account, often with the same card number, so theres no loss of credit history length. The. An average credit score wont be enough to qualify for some cards, and a rejection letter can hurt more than just your feelings. If you still arent approved, it may be a sign you need to work on your credit scores before applying again. Why We Like It:The Capital One Platinum Credit Cardhas a $0 annual fee. New Credit Users. 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). Earn 1.5% unlimited cash back on card purchases every time you make a payment. 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. But it also earns rewards, gives you a tool to monitor your credit profile, and offers the possibility of a higher credit line after making your first five monthly on-time payments. Or turn $100 into $200. By clicking "Accept All", you consent to our use of cookies. These companies collect the information used to calculate your credit scores. One the VantageScore scale developed by the credit bureaus, the average score in 2022 was 698. If youre rejected for a credit card, the first thing to do is determine why. 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). So how do we make money? The second-largest factor in your scores, credit utilization is the amount you owe as a percentage of your available credit. The prequalification process allows you to check your offer without any effect on your credit score. 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. This content is not provided or commissioned by any issuer. Minimum interest charge: no less than $1.00 (ME residents no more than $0.50). 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. The Capital One QuicksilverOne Cash Rewards Credit Card offers a solid ongoing rewards rate: You earn unlimited 1.5% cash back on purchases. Zero fraud liability (which offers protection against unauthorized purchases). 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. 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. Credit cards for fair credit target consumers with FICO scores between 580 and 669. Youll also have the opportunity to earn some attractive initial bonuses. With responsible use, you can be considered for a higher credit line in as little as six months. You may qualify for better terms with a traditional personal loan, depending on your financial situation. This reporting affects key elements of your scores: Payment history. Using more than one credit card can help you save by allowing you to get the best terms for every transaction that you make. The average FICO credit score in the United States in 2022 was 716, according to the company that manages the FICO scoring model. With the, , youll have the potential to gain access to a higher credit line. 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. The card is well-suited to travel with no foreign transaction fees and the globally accepted Visa network. The OpenSky Secured Visa Credit Card is another great option for people with little to no credit history. You would need to spend $2,600 per year on the card to make that back (not including any 5% travel categories). - Business Insider - Fact Check and Transparency Report (United States) . 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. Theres also no annual fee and no foreign transaction fee. And college students dont need a credit score, or any credit experience, to get one of Discovers two student credit cards. The best cards from this segment include options that let you earn rewards/cash back and ones that do away with annual fees. 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. Our pick for: Crypto rewards + flexibility. What are the most important things to look for in a fair-credit credit card? 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). The best credit cards for people with fair credit scores of 640-699 come with $0 annual fees, rewards of at least 1% back on purchases and monthly credit-bureau reporting, making it easy to build credit and save money. Before applying for a credit card, its important to know your credit score. 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. 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. If you feel you have a case, you can contact the issuer and. Banks are required to notify you if you were denied because of information in your credit report. 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. We encourage everyone to share their knowledge while respecting our content guidelines. The easiest credit cards to get approved for with no credit or bad credit are secured credit cards. Credit mix. Earn a credit limit increase in as little as 6 months. If you're looking to beef up your credit, it's a decent place to start. 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. What We Dont Like:This card does not offer rewards or a low interest rate. ALSO CONSIDER: Best credit cards of 2023 || Best unsecured cards for short credit histories || Best starter cards for no credit || Best rewards credit cards. 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. See if you qualify in minutes without hurting your credit score. Theres no minimum spending or maximum rewards. Terms apply, Monitor your credit score with CreditWise from Capital One. Discover will automatically match all the cash back youve earned at the end of your first year! With that being said, its not just your credit score you should worry about. offers a solid ongoing rewards rate: You earn unlimited 1.5% cash back on purchases. 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. and cards for fair credit tend to have high interest rates. Paul Soucy Feb 27, 2023. Best Low Interest Credit Cards for Fair Credit. The simple way to earn bitcoin: make purchases on your card, make payments, earn bitcoin. Many or all of the products featured here are from our partners who compensate us. 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. As a result, the card offers a potentially generous credit limit that ranges between $300 and $5,000, depending on eligibility. 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. 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. 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. All financial products, shopping products and services are presented without warranty. The fee is. Journey Student Rewards from Capital One. Unlike other sites that only promote cards they're paid by, WalletHub's editors focus on finding the best cards. Capital One QuicksilverOne Cash Rewards Credit Card. 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. Comparing credit cards for fair credit can be tough. is the amount you owe as a percentage of your available credit. Credit cards for fair credit, sometimes called "average" credit, are aimed at those in the 630-689 FICO score range. $39. Please let us know if you notice any differences. 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. . Credit Score Requirements: Poor 500-599. What to avoid with credit cards for fair credit. The annual fee is $0. 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. At that point, youll probably have a good sense of why you were rejected. 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. Standard message rates apply. No problem. The scoring formulas take into account multiple data points for each financial product and service. 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. This may influence which products we write about and where and how the product appears on a page. Quick Summary. If you're crypto-crazy, or just crypto-curious, the. Plus, the Petal 2 Card reports account info to the three major credit bureaus each month. Why We Like It:This card is inexpensive to own and rewarding to use. Access your account anytime, anywhere with our mobile app. Best credit cards for fair credit Capital One QuickSilverOne Cash Rewards credit card Discover it Cash Back Petal 2 "Cash Back, No Fees" Visa Credit Card Credit One Bank Platinum Rewards Visa Credit One Bank American Express Card Chase Freedom Flex Summary table of the best credit cards for fair credit FAQs You can check out the panels bios and responses below. You might not qualify for 1.5% cash back. Free, online credit score access for cardholders. If you're looking to beef up your credit, it's a decent place to start. 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. Navy Federal Credit Union Platinum Credit Card *. Terms and conditions apply. Some rewards-earning options are listed above. is a worthy contender for your wallet as you continue building credit. 1. offers those with average credit a chance to both earn rewards and, potentially, gain access to a higher credit line.