You'll earn bonus cash back at restaurants and gas stations with no activation required and no rotating categories to keep track of. When evaluating offers, please review the financial institutions Terms and Conditions. If you plan to travel internationally, make sure you have a backup plan. 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. Well give you a personalized card recommendation based on your latest credit score and financial priorities. 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. , including your payment history, the amount of available credit that youre using, how long youve had credit, and more. 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. 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. 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. Paul Soucy Feb 27, 2023. 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. What's the minimum credit score needed for Discover cards? 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. Just a dollar-for-dollar match. Making only the minimum payment keeps you in debt longer and could ultimately drag down your credit scores. We also leverage data from the Bureau of Labor Statistics to develop cardholder profiles, used to estimate cards potential savings. Opinions expressed here are the authors alone, not those of an issuer, and have not been reviewed, approved or otherwise endorsed by an issuer. The annual fee is $0. You would need to spend $2,600 per year on the card to make that back (not including any 5% travel categories). Why We Like It:It has a $0 annual fee and gives at least 1% cash back on all eligible purchases. These cards can help you if you're just starting out with credit. But you should be careful with deferred interest deals if you dont pay the full amount by the time the deferred interest period is over, youll owe your balance plus all the interest you would have accrued since you made the purchase. 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). Many or all of the products featured here are from our partners who compensate us. 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. NerdWallet's ratings are determined by our editorial team. A credit score in or above the recommended range means you have a higher chance of approval, but doesnt guarantee it. If you're crypto-crazy, or just crypto-curious, the $0-annual-fee Upgrade Bitcoin Rewards Visa Credit Card might appeal to you. 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. 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 700+ credit score is needed to get most Discover credit cards, but theres no minimum credit score needed for a few Discover cards. If you're looking to beef up your credit, it's a decent place to start. Approval Odds are based on WalletHub data and are not provided or endorsed by the lender. Discover it Student Cash Back: Best feature: Student rewards. The card is well-suited to travel with no foreign transaction fees and the globally accepted Visa network. See what terms you'd qualify for without a hard credit inquiry. Petals algorithm looks beyond credit scores by analyzing your bank information to determine how you manage income, savings and spending. What are the most important things to look for in a fair-credit credit card? Cardholders' accounts are reviewed for a potential credit line increase every three months. . What We Dont Like:Youll have to pay the bill in full every month, which limits the cards value for some business owners. If youre more than 30 days late, it can start to affect your credit scores. Why We Like It:This card is inexpensive to own and rewarding to use. You might be able to get a better card than you think. Get Credit Cards for Fair Credit Start with your FICO Score and get matched, based on your credit profile with offers for rewards or no annual fees, so you can strengthen your credit. if the card offers enough rewards and benefits to outstrip the cost of carrying it. 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 Petal 2 Card also offers 1 - 1.5% cash back. And while your initial credit limit may be lower than you'd like, you can earn quick credit limit increases with consecutive on-time payments. Plus, Discover says there's no FICO history requirement for this card. -annual-fee option with an incentive for responsible behavior. You can be automatically considered for a higher credit limit in as little as six months. If you do make a late payment, the card doesn't impose a penalty APR. . It also earns 1.5% cash back on all purchases. You might not qualify for 1.5% cash back. 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. You can also redeem rewards as a statement credit. The Petal 2 Visa Credit Card is one of the best credit cards for people with fair credit, or even limited credit. Upgrade Credit Card is probably your best option overall because of its high cash back rate and no fees. 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. INTRO OFFER: Unlimited Cashback Match only from Discover. No problem. Youll also have the opportunity to earn some attractive initial bonuses. . If eligible, we'll create your Cash Score instead. Alternatives to Consider:The Capital One Spark Classic for Business is a low-cost rewards card for business owners with limited credit. The annual fee is. What is the average credit score in the U.S.? The 1.5% rewards rate is on par with that offered by many cards for good or excellent credit. 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. Conversely, a higher score that one issuer still sees as fair credit might qualify as good credit to a different issuer. If you do make a late payment, the card doesn't impose a penalty APR. This may influence which products we write about and where and how the product appears on a page. Annual Percentage Rate (APR) for purchases: 23.49% - 34.49% variable based on Prime Rate. , making it a good option for someone with average credit. and cards for fair credit tend to have high interest rates. 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. It earns 1.5% back in the form of Bitcoin when you pay your bill. As of this writing, the card is unavailable to residents of Iowa, West Virginia, Wisconsin, and Washington, D.C. Disclaimer: NerdWallet strives to keep its information accurate and up to date. It's that simple, Be automatically considered for a higher credit line in as little as 6 months, Enjoy peace of mind with $0 Fraud Liability so that you won't be responsible for unauthorized charges, Help strengthen your credit for the future with responsible card use, Enjoy up to 6 months of complimentary Uber One membership statement credits through 11/14/2024, 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. Generally speaking, a FICO score that's considered "fair" will fall between . Plus, the Petal 2 Card reports account info to the three major credit bureaus each month. You also get a free FICO score, low fees, and forgiveness for your first late payment. 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. 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. 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. 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. offers those with average credit a chance to both earn rewards and, potentially, gain access to a higher credit line. Lets take a look at Discovers offers and what score you need to get approved. Many fees are avoidable, especially if you use the card responsibly. Using more than one credit card can help you save by allowing you to get the best terms for every transaction that you make. And if you're approved, you can begin using your credit line immediately no need to wait for the physical card. 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 after paying on time for 12 straight months, the rewards rate increases to 1.5% back across the board. You can also borrow against your credit limit, much like a personal loan. 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. Approval Odds are WalletHub estimates intended to gauge your likelihood of approval for a particular product. The second-largest factor in your scores, credit utilization is the amount you owe as a percentage of your available credit. 1. Paying in full every month also helps keep utilization in check. Please keep in mind that editorial and user-generated content on this page is not reviewed or otherwise endorsed by any financial institution. Theres no minimum spending or maximum rewards. 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. 0% intro APR on Purchases for 6 months and 10.99% intro APR on Balance Transfers for 6 months. 0.99% intro APR on balance transfers for 12 months, followed by a regular APR of 10.24% - 18.00% variable on both purchases and . At that point, youll probably have a good sense of why you were rejected. Wallethub doesnt charge for this service. Earn 1.5% unlimited cash back on card purchases every time you make a payment. earns rewards on par with cards for good or excellent credit. We encourage everyone to share their knowledge while respecting our, Answer provided by user: {{ans.user_fullname}}. 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.