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Which Credit Card Is Best For Fair Credit

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Upgrade Visa Card With Cash Rewards

Best Credit Cards for Fair Credit / Average Credit

Best for low interest and low cost

  • This card is best for: Those looking for an innovative way to improve their credit, along with 1.5% unlimited cash back and a chance at a low APR , all for no annual fee.
  • This card is not a great choice for: Someone who wants a traditional credit card. This hybrid option combines elements of personal loans and credit cards.
  • What makes this card unique? When you sign up for a card, youll be assigned a line of credit, APR and installment terms of 12 to 60 months, based on your credit. You can still use the card to make purchases, but at the end of each month your charges are automatically put into a plan with fixed, equal monthly payments. Your 1.5% cash back earnings are applied each time you make a payment.
  • Is the Upgrade Visa Card with Cash Rewards worth it? The key features make this card an intriguing option for someone who wants the convenience of a credit card and the stable payment schedule of a loan.

Jump back to offer details.

Capital One Savorone Student Cash Rewards Credit Card

  • Whether you’re at a 4-year university, community college or other higher education institution, this card might be an option for you
  • Earn unlimited 3% cash back on dining, entertainment, popular streaming services and at grocery stores , with 1% on all other purchases. Plus, earn 8% cash back on tickets at Vivid Seats through January 2023
  • Enjoy no annual fee, foreign transaction fees, or hidden fees
  • You can help build your credit with responsible use of a card like this
  • No rotating categories or sign-ups needed to earn cash rewards plus, cash back won’t expire for the life of the account and there’s no limit to how much you can earn
  • Be automatically considered for a higher credit line in as little as 6 months
  • $0 fraud liability if your card is ever lost or stolen
  • Set up Autopay for your account and your payments will be made automatically every month

Find Your Next Credit Card

In addition to looking for lists of the best cards, you can use online tools to help narrow down which credit card will be best for your specific needs. Within Experian’s CreditMatchTM, you can filter cards based on your preferences and credit profile. 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.

Recommended Reading: Cabela’s Credit Card Apr

How Your Credit Score Is Calculated

The three major Experian, Equifax, and TransUnion assign credit scores based on a combination of factors. Each one counts for a specific percentage of your credit score.

Your payment history 35 percent

This record indicates how often you make your payments on time vs. how often you may have missed or skipped payments. In the eyes of credit card issuers and other lenders, paying on time helps establish you as a reliable person to do business with.

How much of your available credit youre using 30 percent

The term sounds complicated, but its simply a percentage that measures how much credit youre currently using in relation to how much credit you have available to you. As a general rule, experts recommend using no more than 30 percent of your available credit.

Length of credit history 15 percent

If you just opened your first credit card a month ago, your credit score wont be as strong as someone whos had a credit card for several years and has built up a solid history of paying their bills on time.

New credit 10 percent

Applications for new lines of credit account for a small part of your credit scores. Just remember that any application involving a hard credit check can put a small, temporary dent in your credit score. Applying for multiple cards in a short period of time might even give potential lenders the impression that youre trying to borrow more than you can afford to repay.

The types of credit you have 10 percent

What Apr Does A Fair Credit Rating Earn For Balance Transfer Credit Cards

10 Best Credit Cards for âFairâ? Credit (with High Limits ...

With a Fair credit score, you should expect to have balance transfer APRs a bit higher than the 17.54% national average.

As you evaluate your need to transfer an existing balance to a new credit card, you will want to check that the APR on the balance transfer offer is lower than the cards that carry your existing balance. Whenever you transfer a balance, you want to be sure that you can save money on interest.

Also Check: Alcon Visa Debit Card Balance

Bank Of America Customized Cash Rewards Credit Card

Great for: Choosing your rewards

The Bank of America® Customized Cash Rewards credit card lets cardholders choose their own 3% cash back rewards category from a list of options that includes things like travel, gas, and drugstores. You’ll also earn 2% back on groceries and at wholesale stores. Bonus rewards are capped at $2,500 in purchases each quarter.

What To Avoid With Credit Cards For Fair Credit

You want to avoid cards with high fees or interest, particularly if you’re trying to get back on your feet financially. Carrying a balance on a high interest credit card can make it very hard to get out of debt.

Also, pay attention to annual fees. Many of the best credit cards for fair credit don’t charge an annual fee, but some do. Make sure the fee is worth any benefits or rewards you receive.

Once your approved for a card, avoid doing the following:

  • Charging more than you can afford
  • Making late payments

Both of these things can make it difficult to get out of debt and can have a negative impact on your credit score.

Read Also: How To Pay Best Buy Credit Card On App

Pay Off Any Past Due Balances

If you have any charge-offs or collections, pay them off as soon as possible. The same is true for judgments and tax liens. Paying them off wont remove them from your credit report. But a paid delinquency is always better than an open one. Your credit score should begin to rise soon after these delinquencies are paid.

Best Guaranteed Secured And Unsecured Credit Cards For Bad Credit

BEST Fair Credit Credit Cards / Average Credit Cards in 2021 – FICO Credit Scores 600 – 650 – 700

A guaranteed credit card means that you are very likely to be approved even if you have bad credit. The issuer reports your usage to the credit bureaus so you can use these cards to rebuild your credit score.

One popular guaranteed credit card is the Refresh Financial Secured Visa. Capital One also has a selection of three guaranteed cards that may suit your needs.

Also Check: Credit Score Needed For Ulta Credit Card

Chase Sapphire Preferred Card

Great for: Transferable points and benefits

The Chase Sapphire Preferred® Card is a mid-tier travel rewards card that earns bonus points on travel and dining purchases. Users earn Ultimate Rewards points, valuable rewards that can be transferred to Chase travel partners.

Read the fullChase Sapphire Preferred® Card review

Is A Discover It Student Cash Back Good

The Discover it® Student Cash Back is one of the best student credit cards when it comes to building credit and earning rewards. With a Discover it® Student Cash Back, you can establish and monitor your credit while earning a generous cash back rate, which is as good as it gets with student credit cards.

Read Also: How To Use Best Buy Credit Card Online

Capital One Walmart Rewards Mastercard

The Capital One Walmart Rewards® Mastercard® is a retail card that could be a good fit for Walmart regulars. There’s no annual fee and you can earn cash back rewards on purchases. Plus, new cardholders can earn 5% cash back for the first 12 months when they use their card with Walmart Pay to make purchases inside Walmart stores.

You can redeem your rewards to get a statement credit, pay for purchases from the previous 90 days, get gift cards or book travel through Capital One. You won’t pay foreign transaction fees if you take this card abroad, and you can use the Quick Cash feature to get cash back at participating Walmart registers without paying a cash advance fee.

Wells Fargo Business Secured Credit Card

Best Credit Cards for Fair Credit and Average Credit ...

Theres a lot to like about the Wells Fargo Business Secured credit card. Its a secured business card thats available to business owners with fair or even bad credit. You can establish a credit line of between $500 to $25,000 depending on the amount of your secured deposit. Enroll in the rewards program and youll earn 1.5% cash back on every purchase, which is surprising for a fair credit credit card, most of which either have no rewards program or give 1% cash back. Additionally, the APR is quite reasonable and is lower than that of most of the business credit cards competing for this segment of the market.

As for the downsides: Theres a $25 annual fee attached to each card you get, so while you can get up to 10 cards for your employees, this could cost you up to $250 a year. Furthermore, to apply for the card, you must first establish a savings and/or checking account with Wells Fargo, and given Wells Fargos tainted reputation owing to recent ethical lapses, you may not be eager to do this. This also means youll have to apply in person at a Wells Fargo branch to set up an account , and some areas have no Wells Fargo banking locations. For instance, most of New England is, for better or worse, devoid of Wells Fargo branches.

Additionally, while the rewards program currently carries no annual fee, this wasnt always the case, and that fee could always return at some point in the future.

Also Check: Cabelas Credit Card Credit Score

Balance Transfer Credit Cards With Fair Credit Scores: The Takeaway

If you can’t find a balance transfer card with an introductory low APR, then you should consider if you can move balances off of cards with the highest APR to your cards that has a lower balance transfer APR offer. This strategy can help save you interest over the life of your card’s debt.

While meeting your monthly minimum payment is a must, putting more than the minimum to every credit card payment can help to drive up your credit score. Higher credit scores can lead to better balance transfer offers.

Citi’s Double Cash Card offers a low introductory rate on balance transfers along with cash back rewards.

Terms And Conditions Of Your Deposit Account

The following additional terms apply in connection withyour Deposit Account.

Security Deposit . We may require acollateral deposit in the form of a security deposit, up to thefull amount of the Credit Limit to be paid in full before theAccount is opened to secure your obligations under thisAgreement and to offset the risk associated with the Account.You understand and agree that if we require a security deposit,we may use any or all amounts of the deposit to pay amounts youowe under this Agreement if you are in default or you or weclose or cancel your Account. Refer to the Terms and Conditionsof Your Deposit Account and Truth in Savings Disclosure Deposit Account section of this Agreement for more information.

Withdrawals. Since this Deposit Account is collateral foryour Account and not a Fee, withdrawals are not permitted fromthis Deposit Account while there remains an outstanding balanceon your Account or while you retain possession of any Card.

Bankruptcy. If you become a debtor in any proceedingunder the United States Bankruptcy Code, you agree that you willrecognize us as a perfected secured creditor with respect to theDeposit Account and that you will declare the Deposit Account asexempt property pursuant to the provisions of the United StatesBankruptcy Code or applicable State exemption laws.

Assignments Prohibited. You may not assign the DepositAccount to anyone other than us without our prior writtenconsent.

Read Also: Cabela’s Club Visa Apr

Earn 5% Cash Back On Rotating Categories

The Discover it® Student Cash Back offers a great bonus on rotating categories:

Earn 5% cash back on everyday purchases at different places each quarter like, grocery stores, restaurants, gas stations and when you pay using PayPal, up to the quarterly maximum when you activate, 1% unlimited cash back on all other purchases – automatically.

You have to enroll in the categories each quarter to earn the 5% bonus otherwise, you only earn 1% cash back on those purchases. Note that this bonus is capped at $1,500 in purchases per quarter, for a maximum of $75 in bonus cash back . All other spending nets 1% cash back, with no cap. Still, that’s a pretty generous amount, amounting to up to $300 in bonus cash back per year.

Frequently Asked Questions About Canadian Credit Cards For Fair Credit

Best Fair Credit / Average Credit Credit Cards in 2019
  • How can I get my credit score?

    You can apply for your credit score for free through TransUnion or Equifax the 2 major Canadian credit bureaus by visiting their website and filling out an online form. You can also apply for your score through a reputable website like or Credit Karma.

  • What’s considered a good credit score?

    The magic number is said to be 650 a credit score higher than 650 is regarded as being in the good, very good or excellent range, while anything under 650 is regarded as fair or poor. That said, if your score is a bit lower, you could still be close enough to the magic number to be eligible for some products. Learn more about credit score ratings here.

  • What can I do if my credit score is too low?

    The most important way to rebuild your credit is to make all of your payments on time. Even if this just means making the minimum payment every month, its much better than defaulting on your loan. Learn more about rebuilding your credit score in our guide here.

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Truth In Savings Disclosure Deposit Account

Security Deposit Insurance. This Deposit Account will beheld at an FDIC or NCUA insured financial institution and willreceive the benefit of FDIC, NCUA or other depository insurance.

Rate Information. This is a non-interest bearing DepositAccount. The Interest Rate and Annual Percentage Yield is 0%. Nointerest accrues on the Deposit Account.

Minimum Balance Limitations. The minimum balance to openthe Deposit Account is the amount printed in the applicationdecision letter. Once your balance reaches the required amount,your Account will be opened. We must receive the entire amountwithin 30 days from the date we received your application, orany money applied to your Deposit Account will be refunded.

Transaction Limitations. No withdrawals will be permittedfrom your Deposit Account while there remains a balance on yourAccount or while you retain possession of the Card. The maximumamount of funds that may be deposited into this Deposit Accountis $2,000.00. Deposit amounts and the corresponding methods ofpayment will be disclosed in the application decision letter.Deposit funds may be held for up to 10 days, which will delaythe opening of your Account.

Fees. No fees are charged in connection with the DepositAccount.

Home Trust Secured Visa *

The Home Trust Secured Visa stands out because its a secured credit card with no annual fee . To open an account, you need to make a $500 deposit. And while the interest rate is standard at 19.99%, this wont kick in unless you carry a balanceand if youre looking to build your credit, you should aim for that not to happen. As with other secured credit cards, you can improve your credit score by making payments on time, and preferably in full. Note: If you dont use your card at least once a year, theres a $12 inactivity fee, so make to charge at least one purchase to the card annually.

  • Annual Fee: $0

Recommended Reading: Which Credit Card Has No International Transaction Fee

The Best Credit Cards For Fair And Average Credit For 2021

Advertiser Disclosure

Advertiser Disclosure: ValuePenguin is an advertising-supported comparison service which receives compensation from some of the financial providers whose offers appear on our site. This compensation from our advertising partners may impact how and where products appear on our site . To provide more complete comparisons, the site features products from our partners as well as institutions which are not advertising partners. While we make an effort to include the best deals available to the general public, we make no warranty that such information represents all available products.

Cardholders searching for the best credit card for fair credit should look at the Citi Simplicity® Card. Aside from a generous 0% intro APR, it doesn’t charge late fees or penalty fees.

Editorial Note: The content of this article is based on the authors opinions and recommendations alone. It may not have been reviewed, approved or otherwise endorsed by the credit card issuer. This site may be compensated through a credit card issuer partnership.

Citi is an advertising partner

Applying for a credit card can be a stressful decision. If you have a “fair” FICO score , you may worry about being declined or having limited credit card options. However, there are plenty of credit cards for consumers in this range, including some that give you 1% to 2% back on your spending.

Best Credit Cards For Fair Credit Of 2021

Best Fair Credit Score Credit Cards

At Experian, one of our priorities is consumer credit and finance education. This post may contain links and references to one or more of our partners, but we provide an objective view to help you make the best decisions. For more information, see our .

Some of the best credit cards for people with fair credit offer rewards on purchases and don’t have an annual fee. However, there’s no single best card for everyone. It depends on which cards you’re able to qualify for, where you usually shop and how you plan on using the card.

3 Partner Offers

Our Picks for the Best Credit Cards for Fair Credit

Capital One Walmart Rewards® Mastercard®

5% cash back on Walmart.com2% cash back on dining & travel2% cash back on Walmart in-store purchases1% cash back on all other purchases

Petal® 1 “No Annual Fee” Visa® Credit Card

2% – 10% cash back from select merchants

Upgrade Visa® Card with Cash Rewards

1.5% cash back

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