If you feel you have a case, you can contact the issuer and. This ensures that your on-time payments and other responsible credit habits will be recorded. 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. 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. You don't get rewards with the Capital One Platinum Credit Card, or a sign-up bonus or a 0% period. New Credit Users. If you do make a late payment, the card doesn't impose a penalty APR. When evaluating offers, please review the financial institutions Terms and Conditions. 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. $0 annual fee, $0 activation fees, $0 foreign transaction fees. And the card doesn't charge foreign transaction fees. Annual Percentage Rate (APR) for purchases: 23.49% - 34.49% variable based on Prime Rate. - Business Insider (United States) . Terms and conditions apply. Credit cards for fair credit target consumers with FICO scores between 580 and 669. Or turn $100 into $200. The annual fee is. 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. And unlike many of those cards, any unpaid balance is automatically converted into an installment loan with a fixed monthly payment. 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). If you like what you see, you can apply, at which point there will be a "hard" credit pull. INTRO OFFER: Unlimited Cashback Match only from Discover. Try not to carry a balance: Interest rates on credit cards for average credit tend to be on the high side. Earn a credit limit increase in as little as 6 months. Annual fee of $0. Many fees are avoidable, especially if you use the card responsibly. 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. What We Dont Like:This card does not offer rewards or a low interest rate. From huge sign-up bonuses to generous rewards, NerdWallet's best credit cards outshine the rest. While there are no universal dividing lines between credit score bands, you can generally think of "fair credit" aka "average credit" as having credit scores in the range of 630 to 689. It earns 1.5% back in the form of Bitcoin when you pay your bill. Theres a 0% foreign transaction fee, too. It's possible to find some credit cards that offer decent ongoing rewards on common purchases instead of only with select merchants. doesnt only rely on credit scores to determine eligibility. An average credit score wont be enough to qualify for some cards, and a rejection letter can hurt more than just your feelings. One the VantageScore scale developed by the credit bureaus, the average score in 2022 was 698. and cards for fair credit tend to have high interest rates. Alternatives to Consider: The First Progress Platinum Elite Mastercard Secured Credit Card is another option with no credit check. Promotion runs from March 1, 2023 to March 31, 2023. You may also qualify for better terms with a traditional personal loan, depending on your financial situation. earns rewards on par with cards for good or excellent credit. This content is not provided or commissioned by any issuer. And while fair credit wont get you the very best unsecured cards, it should qualify you for an account with no annual fee, solid rewards or maybe even both. 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. Rewards: Rewards arent necessarily a must for credit cards for fair credit, but they are within reach at this range. Using these cards responsibly helps you improve your credit score, so you can then look for cards with better perks. Bear in mind that not all lenders define fair credit the same way. Can I get a credit card if my credit is fair? If you've already built good credit, you can probably score a card with higher rewards than this card offers. In this case, we have chosen five of the best credit cards for fair credit so that you will be able to choose the correct card for your personal finances. There's a quick pre-qualification process with no impact to your credit score, modest interest rate and an annual fee of $35 - $99. While there are no universal dividing lines between credit score bands, you can generally think of "fair credit" aka "average credit" as having credit scores in the range of 630 to 689. This may influence which products we write about and where and how the product appears on a page. You want your scores to go up, not down. With the, , youll have the potential to gain access to a higher credit line. You might not qualify for 1.5% cash back. Debit cards allow you to spend money by drawing on funds you have deposited at the bank. 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. Cardholders also are eligible for a credit limit increase in as little as 6 months. The fee is $0 intro with auto pay, then $39 after first year. Plus, the ongoing APR is on the high end at. WalletHub makes it easy to find the easiest credit cards to get. ALSO CONSIDER: Best credit cards of 2023 || Best unsecured cards for short credit histories || Best starter cards for no credit || Best rewards credit cards. Minimum interest charge: no less than $1.00 (ME residents no more than $0.50). Yes, you can get a credit card if you have fair credit. However, this does not influence our evaluations. There's also Discover's signature bonus for new cardholders. Plus, earn unlimited 1% cash back on all other purchases automatically. Recent credit applications. 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. That's important to keep in mind as you work to build a positive credit history, especially if you carry a balance. The Petal 1 "No Annual Fee" Visa Credit Card, issued by WebBank, is an excellent option for those with less-than-perfect credit. The prequalification process allows you to check your offer without any effect on your credit score. Annual fees are the most prominent type of fee to watch out for, but theyre not alone. WalletHubs editors compared hundreds of credit cards for people with fair credit scores, searching for the top offers in the most popular categories. Some rewards-earning options are listed above. if the card offers enough rewards and benefits to outstrip the cost of carrying it. Dont pay late: Make at least the minimum payment, and do so on time each month. annual fee. Best Unsecured Credit Cards of March 2023. Numerous credit card applications in a short period of time can hurt your credit score, and having too many credit cards can lead to overspending, expensive interest charges, missed payments and credit score damage. Quick Summary. With the Capital One QuicksilverOne Cash Rewards Credit Card, youll have the potential to gain access to a higher credit line. Make sure the card youre considering reports to at least one but ideally all three of these companies. N/A. 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. Our partners cannot pay us to guarantee favorable reviews of their products or services. Before applying for a credit card, its important to know your credit score. You want your scores to go up, not down. Cards For Fair Credit With Instant Approval and No Annual Fee. 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. The simple way to earn bitcoin: make purchases on your card, make payments, earn bitcoin. No annual fees, no foreign transactions fees. What to know before applying for a credit card, , its important to know your credit score. As a result, the card offers a potentially generous credit limit that ranges between $300 and $5,000, depending on eligibility. You can also borrow against your credit limit, much like a personal loan. 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. Virgin Atlantic Flying Club: Get a . Credit cards for fair credit are credit cards for people with credit scores from 640 to 699 who are building credit from scratch or rebuilding their credit after mistakes. Annual Fee: $39 (waived for the first year if you sign up for AutoPay before your first statement). 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. The Best Credit Cards for Average or Fair Credit of March 2023. Business Insider 8h ago. You can be automatically considered for a higher credit limit in as little as six months. Avianca LifeMiles: Receive 20% more miles when you transfer your Citi ThankYou Points to Avianca LifeMiles. You also get a free FICO score, low fees, and forgiveness for your first late payment. Disclaimer: NerdWallet strives to keep its information accurate and up to date. Why this is one of the best credit cards for fair credit: When you pay this card on time, you can boost your cash back earnings. 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. What's the minimum credit score needed for Discover cards? , which compile the credit reports that form the basis of your credit scores. (For example, if you have a $500 credit limit and a $200 balance, then your credit utilization is 40%.) The best credit cards for fair credit are ones that you may qualify for with a FICO score of 580 to 689. It also has a $35 annual fee. Rejection stings, but you can learn from it. The Capital One Platinum Credit Cardis the best credit card for fair credit overall. Learn how NerdWallet rates credit cards. Many major issuers offer free access to your scores, available once you sign in to your account, along with other budgeting and education tools. There's a $39 annual fee. Wallethub doesnt charge for this service. The second-largest factor in your scores. Perhaps most importantly, though, this card will consider applicants with limited-to-fair credit history. It only has a $39 annual fee and gives you at least 1.5% cash back on every purchase. Read our review. It earns 1.5% back in the form of Bitcoin when you pay your bill. 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. Click through to Discovers website to see terms and conditions. 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. The fee is. (If you go through with applying, then there's a hard check.) 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. If you are charged interest, the charge will be no less than $0.50. And if you have more than one need, you can get multiple cards and use the Island Approach. (If you go through with applying, then there's a hard check.) offers those with average credit a chance to both earn rewards and, potentially, gain access to a higher credit line. So if you havent checked your credit score in a while, make sure to do so before applying. We encourage everyone to share their knowledge while respecting our content guidelines. Our pick for: Crypto rewards + flexibility. Or you can plan to request a. from your issuer on your own eventually. The Prosper Card 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. You also get a free FICO score, low fees, and forgiveness for your first late payment. When you pay in full, you don't get. But they may still offer rewards. 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. Zero fraud liability (which offers protection against unauthorized purchases). Interest rates on credit cards for average credit tend to be on the high side. 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. It can help you build credit since payments are reported to all three major credit bureaus: TransUnion, Equifax and Experian. The annual fee is. (For example, if you have a $500 credit limit and a $200 balance, then your credit utilization is 40%.) The prequalification process allows you to check your offer without any effect on your credit score. It can help you build credit since payments are reported to all three major credit bureaus: TransUnion, Equifax and Experian. APR for cash advances: 34.49% variable based on Prime Rate. And if you're approved, you can begin using your credit line immediately no need to wait for the physical card. Editorial and user-generated content on this page is not provided, commissioned, reviewed, approved or otherwise endorsed by any issuer. All financial products, shopping products and services are presented without warranty. But youve got the knowledgeable WalletHub community on your side. You increase your odds of approval when you apply for a card tailored for your score range. John Kiernan has covered the credit card industry for more than 10 years as a writer and editor for WalletHub. 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? You can then choose up to four cards and get a side-by-side comparison to make the best pick for your needs to get a credit card with fair credit. An average credit score wont be enough to qualify for some cards, and a rejection letter can hurt more than just your feelings. is a worthy contender for your wallet as you continue building credit. 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. This information may be different than what you see when you visit a financial institution, service provider or specific products site. . These are only guidelines to help you narrow your selection, and additional factors from your application and credit history will also be considered. As you work to push your scores into the good-to-excellent range, its important that youre able to track how youre doing. The lower your utilization, the better; is a good benchmark. A credit card application usually triggers a. on your credit report. (Unlike with Discover's other student card, you don't have to "activate" your bonus rewards.) 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. Opinions expressed here are the authors alone, not those of an issuer, and have not been reviewed, approved or otherwise endorsed by an issuer. Carrying a balance from month to month wont be cheap, either. 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. 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. 'Review' : 'Reviews'}}, . These cards can help you if you're just starting out with credit. Pay with your phone or device by using Apple Pay or Google Pay. The key difference is that this version charges an annual fee while the regular one does not. The Capital One SavorOne Student Cash Rewards Credit Card is one of the best credit cards for students with fair credit. As of this writing, the card is unavailable to residents of Iowa, West Virginia, Wisconsin, and Washington, D.C. Store credit cards can offer deferred interest to people with fair credit. And unlike with those cards, any unpaid balance is automatically converted into an installment loan with a fixed monthly payment. Ideally, you wont be stuck in the fair credit score range forever, so look for a card that offers a route to improved terms. 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. Our editors rate credit cards objectively based on the features the credit card offers consumers, the fees and interest rates, and how a credit card compares with other cards in its category. See what terms you'd qualify for without a hard credit inquiry. The annual fee is $0. Well give you a personalized card recommendation based on your latest credit score and financial priorities. a standout for students searching for their first credit card. These companies collect the information used to calculate your credit scores. 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). Here is a list of our partners and here's how we make money. Credit . Petal's mobile app makes it easy to manage your money, track your spending, and automate payments. As of this writing, the card is unavailable to residents of Iowa, West Virginia, Wisconsin, and Washington, D.C. You don't have to be a student to apply for the Journey Student Rewards from Capital One, making it a good option for someone with average credit. The average FICO credit score in the United States in 2022 was 716, according to the company that manages the FICO scoring model. That's important to keep in mind as you work to build a positive credit history, especially if you carry a balance. NerdWallet's ratings are determined by our editorial team. You can check out WalletHub to get custom credit improvement advice to help you along the way. Approval Odds are based on WalletHub data and are not provided or endorsed by the lender. 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. It also earns up to 10% cash back when you use the card to make purchases with select merchants. Earn 1% cash back on all your purchases. The issuer automatically reviews your account for potential credit line increases. Doing so also avoids costly late fees. Best Credit Cards for Fair or Average Credit From Our Partners Our pick for Flat-rate cash back Compare this card Capital One QuicksilverOne Cash Rewards Credit Card 4.7 NerdWallet rating. Petal 1 Visa Credit Card. Standard message rates apply. So how do we make money? What are the best unsecured credit cards for fair credit? By clicking "Accept All", you consent to our use of cookies. MORE: Credit cards 101: Understanding the basics. 1. 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. 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. A 700+ credit score is needed to get most Discover credit cards, but theres no minimum credit score needed for a few Discover cards. No problem. Plus, people with fair credit should have high approval odds for the Capital One Platinum Card, since its a starter credit card available even to applicants with limited credit experience. Credit cards for fair or average credit can help you move up to good or excellent credit when you use them responsibly. The key difference is that this version charges an annual fee while the regular one does not. The following offers didnt quite make the cut for our editors best-card selections, but they can still save cardholders a lot of money. And the card doesn't charge foreign transaction fees. 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. Free, online credit score access for cardholders. This card requires a security deposit, which will . shines with its no-maintenance rewards structure and student-friendly bonus categories. Our partners compensate us. Both can make it easy and convenient to make purchases in stores or online, with one key difference. Why We Like It:It has a $0 annual fee and rewards cardholders with 1 - 7 points per $1 on purchases. We're sorry, but after searching our extensive database, we were unable to locate any credit cards that match the following criteria: {{tag.tag}}{{$last ? '' 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. 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. 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. 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 -. 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. keeps you in debt longer and could ultimately drag down your credit scores. Another good unsecured card for fair credit is the Petal 2 Visa Credit Card. There are some notable restrictions on the Bitcoin rewards you earn, including holding requirements and transaction fees when you sell. Upgrade Credit Card is probably your best option overall because of its high cash back rate and no fees. This information may be different than what you see when you visit a financial institution, service provider or specific products site. Why dont more banks and credit unions offer credit cards to people with fair credit? Compare All Credit Cards Explore Capital One credit card benefits 1 Account Management (6) Protection (6) Apps & Digital Services (3) Travel & Retail (5) Account Alerts These cards have annual fees as low as $0 and report monthly to the 3 major credit bureaus. You might qualify for less or no cash back at all. 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. If you're looking to beef up your credit, it's a decent place to start. 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. Alternatives to Consider:The Capital One Platinum Credit Card and the Petal 2 Visa Credit Card are both great options to consider. Plus, the ongoing APR is on the high end at 29.74% Variable APR. . There's also Discover's signature bonus for new cardholders. The Upgrade Cash Rewards Visa earns rewards on par with cards for good or excellent credit. With that being said, its not just your credit score you should worry about. Therefore, you typically dont have to worry about a hard pull on your credit report. Capital One QuicksilverOne Cash Rewards Credit Card, Petal 1 "No Annual Fee" Visa Credit Card, Best for Cash back earned with select merchants, on Discover's website, or call 800-347-0264, Best for College students and young adults, Best for Prequalification + up to 1.5% cash back, Best for Help for 'less than perfect credit', Upgrade Bitcoin Rewards Visa Credit Card. 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. 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. This card offers at least 1% cash back on all eligible purchases, up to 1.25% back after 6 months of on-time payments, and 1.5% cash back after 12 consecutive months of paying on time. Alternatives to Consider:There are several really good credit cards for students available right now. Using multiple credit cards for the wrong reasons, however, can get you into big trouble. You can check out the panels bios and responses below. (The typical credit score scale runs from 300 at the low end to a maximum of 850.). The Capital One QuicksilverOne Cash Rewards Credit Card offers a solid ongoing rewards rate: You earn unlimited 1.5% cash back on purchases. Great for large purchases with predictable payments you can budget for. No annual or hidden fees. 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. Please keep in mind that editorial and user-generated content on this page is not reviewed or otherwise endorsed by any financial institution. Why We Like It:This card is inexpensive to own and rewarding to use. No interest on purchases when you pay in full and on time each month. Why We Like It:The Capital One Platinum Credit Cardhas a $0 annual fee. The annual fee is $0. Although there's no foreign transaction fee, Discover isnt as widely accepted abroad as other cards. offers a solid ongoing rewards rate: You earn unlimited 1.5% cash back on purchases. Customize Reject All Accept All Customize Consent Preferences Credit utilization. A credit score in or above the recommended range means you have a higher chance of approval, but doesnt guarantee it. For example, you might need to consider one-time fees for application processing or transferring a balance, depending on what type of card youre looking for and how you plan to use it. 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. Length of credit history. Read our review. Experian, Equifax and TransUnion are the three major bureaus that compile the credit reports that inform your credit scores. Theres also no annual fee and no foreign transaction fee. The Journey Student Rewards from Capital One gives newcomers to credit a powerful incentive to develop responsible habits. 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. Still not sure which credit card is best for building credit? Graduating to good credit could take as little as one month, depending on your circumstances. 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 ongoing APR is 29.74% Variable APR, which is steep if you plan on carrying a balance. If you feel you have a case, you can contact the issuer and ask for reconsideration. The card issuer reports details about your account to the major. . through NerdWallet.) People with fair credit are riskier applicants; and because of this higher risk, you might receive a credit card with a lower limit. Theres no minimum spending or maximum rewards. . With a product change, youre not applying for a new account; youre seeking an upgrade to the one youve already got. NerdWallet strives to keep its information accurate and up to date. Credit cards for fair credit, sometimes called "average" credit, are aimed at those in the 630-689 FICO score range. These companies collect the information used to calculate your credit scores. Its always a good idea to shop around before picking out an unsecured credit card for fair 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. . And if you already have a long-serving credit account. Who Should Get It:Apply for the OpenSky Secured Visa Credit Card if youre rebuilding from credit damage and want high approval odds. Best Low Interest Credit Cards for Fair Credit. 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. Take some time to decide whether you want to prioritize rewards, interest rates, fees or other aspects. You can see and track your credit score for free through NerdWallet. 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. The best credit cards for fair credit can be a great tool in helping to build or rebuild your credit score. According toWalletHubs credit card experts, the best credit cards for fair credit usually have $0 annual fees and give at least 1% back in rewards. Actual terms may vary. Conversely, a higher score that one issuer still sees as fair credit might qualify as good credit to a different issuer. Finally, if you want to make things really easy, just sign up for a free WalletHub account. Instantly access 50% of your credit while your card ships to you.