Let’s explore the best credit card options for beginners.
Building credit is a journey, and choosing the right credit card is your first step. Here’s a breakdown of some fantastic options for beginners:
1. Capital One SavorOne Rewards Credit Card
- Why It’s Great for Beginners:
- Cash Back Focus: The SavorOne card offers unlimited 3% cash back on dining, entertainment, popular streaming services, and grocery store purchases.
- No Annual Fee: You won’t have to worry about an annual fee eating into your rewards.
- Introductory APR: Enjoy a 0% intro APR for 15 months on purchases and balance transfers (variable APR applies after that).
- Uber Benefits: Get 10% cash back on Uber and Uber Eats purchases, plus have your Uber One monthly membership fee covered through November 14, 2024.
- No Foreign Transaction Fees: Use it abroad without extra charges.
- Considerations:
- While it’s a great card for dining and entertainment, it may not be the best fit if you’re looking for travel-specific rewards.
Quick details at a glance:
Credit Recommended: – Good
Card Rewards Offer – 3% Cash Back on dining, entertainment, popular streaming services and at grocery stores (excluding superstores like Walmart® and Target®)
Annual Fee – $0
Regular APR – 29.99% (Variable)
Fraud Coverage – $0 Fraud Liability for unauthorized charges
Foreign Trans Fee – None
Balance Transfer Fee – Balance Transfer Fee applies to balances transferred at a promotional rate
Here are more detailed features of the Capital One SavorOne Cash Rewards for Good Credit
- Earn unlimited 3% cash back on dining, entertainment, popular streaming services and at grocery stores (excluding superstores like Walmart® and Target®), plus 1% on all other purchases
- Earn 10% cash back on purchases made through Uber & Uber Eats, plus complimentary Uber One membership statement credits through 11/14/2024
- Earn 8% cash back on Capital One Entertainment purchases
- 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. Terms apply
- No rotating categories or sign-ups needed to earn cash rewards
- Cash back won’t expire for the life of the account and there’s no limit to how much you can earn
- No foreign transaction fee
- No annual fee
- You’re covered by $0 Fraud Liability for unauthorized charges
2. Capital One Venture X Rewards Credit Card
- Why It’s Great for Beginners:
- Generous Travel Rewards: Earn double miles on every purchase and enjoy benefits like airport lounge access.
- Annual Travel Credit: Receive a $300 annual credit for bookings through Capital One Travel.
- Global Entry or TSA PreCheck® Credit: Get up to a $100 credit for Global Entry or TSA PreCheck®.
- Cell Phone Protection: Protect your cell phone with up to $800 reimbursement if it’s stolen or damaged.
- No Foreign Transaction Fees: Use it internationally without extra charges.
- Considerations:
- The $395 annual fee may be a drawback for some beginners, but the benefits can offset it.
Quick details at a glance:
Credit Recommended: – Good
Card Rewards Offer – 1.25 Miles per dollar on every purchase, every day
Annual Fee – $0
Regular APR – 29.99% (Variable)
Balance Transfer Fee – Balance Transfer Fee applies to balances transferred at a promotional rate
Fraud Coverage – $0 Fraud Liability for unauthorized charges
Foreign Trans Fee – None
Here are more detailed features of the Capital One VentureOne Rewards for Good Credit
- $0 annual fee and no foreign transaction fees
- Earn 1.25X miles on every purchase, every day
- Travel when you want with no blackout dates and fly any airline, stay at any hotel, anytime
- Miles won’t expire for the life of the account and there’s no limit to how many you can earn
- Earn 5X miles on hotels and rental cars booked through Capital One Travel, where you’ll get Capital One’s best prices on thousands of trip options
- Use your miles to get reimbursed for any travel purchase—or redeem by booking a trip through Capital One Travel
- Transfer your miles to your choice of 15+ travel loyalty programs
3. Chase Freedom Unlimited
- Why It’s Great for Beginners:
- Simple Cash Back: Earn 1.5% cash back on all purchases with no rotating categories.
- No Annual Fee: Keep your costs low.
- Introductory APR: Enjoy a 0% intro APR for 15 months on purchases (variable APR applies after that).
- Flexible Redemption: Redeem your cash back for statement credits, gift cards, or travel.
- Considerations:
- If you’re looking for category-specific bonuses, this card may not be the best fit.
Quick details at a glance:
Credit Recommended (660-850): – Good/Excellent
Card Rewards Offer – 1.5% – 5% cash back
Intro (Purchases) – 0% Intro APR on Purchases 15 months
Annual Fee – $0
Intro Rewards Bonus – Up to $300 cash back
Intro (Transfers) – 0% Intro APR on Balance Transfers 15 months
Regular APR – 20.49% – 29.24% Variable
Here are more detailed features of the Chase Freedom Unlimited®
- INTRO OFFER: Earn an additional 1.5% cash back on everything you buy (on up to $20,000 spent in the first year) – worth up to $300 cash back!
- Enjoy 6.5% cash back on travel purchased through Chase Travel, our premier rewards program that lets you redeem rewards for cash back, travel, gift cards and more; 4.5% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service, and 3% on all other purchases (on up to $20,000 spent in the first year).
- After your first year or $20,000 spent, enjoy 5% cash back on travel purchased through Chase Travel, 3% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service, and unlimited 1.5% cash back on all other purchases.
- No minimum to redeem for cash back. You can choose to receive a statement credit or direct deposit into most U.S. checking and savings accounts. Cash Back rewards do not expire as long as your account is open!
- Enjoy 0% Intro APR for 15 months from account opening on purchases and balance transfers, then a variable APR of 20.49% – 29.24%.
- No annual fee – You won’t have to pay an annual fee for all the great features that come with your Freedom Unlimited® card
- Keep tabs on your credit health, Chase Credit Journey helps you monitor your credit with free access to your latest score, alerts, and more.
- Member FDIC
4. Secured Credit Cards
- Why They’re Good for Beginners:
- Building Credit: Secured cards allow you to establish or rebuild credit.
- Low Risk: You’ll need to deposit money as collateral, which makes approval more likely.
- Gradual Transition: Some secured cards can transition you to a regular credit account over time.
- Examples: Look into secured cards from Discover or Capital One.
- Considerations:
- Secured cards typically have low credit limits, so they’re best for beginners who want to start small.
What is the minimum credit score for these cards?
The minimum credit score requirements for these cards can vary, but I’ll provide some general guidelines based on typical expectations. This is not set in stone, so use this as a baseline:
- Capital One SavorOne Rewards Credit Card:
- Capital One often approves applicants with fair credit scores (around 580 or higher) for this card. However, a good credit score (around 670 or above) will increase your chances of approval and potentially qualify you for better terms.
- Capital One Venture X Rewards Credit Card:
- The Venture X card is designed for excellent credit. You’ll likely need a credit score of 720 or higher to be eligible. If your score is lower, consider other options.
- Chase Freedom Unlimited:
- Chase typically approves applicants with good to excellent credit for this card. A credit score of 670 or higher is recommended. However, some users have been approved with slightly lower scores.
- Secured Credit Cards:
- Secured cards are more lenient and are often used for building or rebuilding credit. No specific minimum score is required, but having a score in the low 500s or higher can help.
Credit card approval depends on various factors beyond just your credit score, including income, existing debts, and overall credit history.
Compare the top Excellent Credit Card Offers - CreditSoup Balance Transfer Cards
As an Amazon Associate I earn from qualifying purchases. Also, I get commissions for purchases or applications made through links in this post. View our full Advertiser Disclosure Here