What credit score is needed for a credit card?

Ready to apply for a credit card but worried that your three-digit credit score is too low?

No need. It’s true that you’ll need a higher credit score to qualify for cards that come with generous rewards programs and low interest rates, but even if your score is less than stellar, you can still qualify for a credit card.

Juan Carlos Cruz, founder of Britewater Financial Group in Brooklyn, New York, explained that the connection between credit cards and credit score is not mysterious.

“The higher your credit score, the better credit cards you’ll get,” Cruz said. “If you have missed payments or are already using up most of the credit available to you, these are signs that you are not using your trading lines responsibly. Because of that, you won’t be able to claim the best cards.”

Here’s a look at the credit scores you’ll need to qualify for everything from simple basic credit cards to those that offer big signup bonuses and huge cashback bonuses.

What credit score is needed for a credit card?

Tom Giancola, chief credit risk officer at Mercury Financial, which has offices in Austin, Texas and Wilmington, Delaware, said consumers typically need a FICO score of 600 to qualify for a no-frills basic credit card. . For a basic reward card, you will need between 600 and 700 points.

And claim premium cards with the most valuable reward programs? This usually requires a FICO score of 740 or higher, according to Giancola.

“These awards are expensive,” Giancola said. “Banks cannot tolerate high loss levels if they are paying out so many rewards. So they leave these cards for the safest contenders.”

See related: How do credit cards work?

How to Improve Your Score for Better Cards

FICO scores range from 300 to 850, with scores between 800 and 850 considered “exceptional” by lenders. The two newest VantageScore credit scores (3.0 and 4.0) use a range of 300 to 850 – just like FICO. For these models, VantageScore defines a range of 750 to 850 as an excellent range.

If you want to improve your credit score, there are two main steps to take. First, pay your credit card bills and any loans, such as student loans or mortgages, on time each month.

Next, if you have credit card debt, pay off as much as you can. Using fewer credit limits will boost your score. Just don’t close the credit cards you’re paying on, as closing accounts will give you fewer available loans and hurt your credit score by lowering your credit utilization rate.

Andrea Voroh, a consumer savings expert in Bakersfield, Calif., said another key to improving your credit score is to eliminate negative spending habits that contribute to credit card debt. “Identifying and eliminating triggers that lead to impulse buying is key to keeping your credit in top shape,” Vorokh said.

Vorokh recommends that those who struggle with impulse purchases remove deal apps from their phones and unsubscribe from store newsletters to avoid the temptation to overspend.

What credit card can I get with bad credit?

The Experian Credit Bureau defines a very bad FICO score as being in the range of 300 to 579. If your score falls in this bad credit range, you are most likely eligible for secured credit cards. They work just like traditional credit cards, except that their credit limits are tied to the deposit you make when you apply for the card. For example, you can deposit $500 with a card issuer and then get a secured credit card with a maximum credit limit of $500.

It is easier to get these cards because the banks are protected. If you do not make payments, the bank can pay them off using your deposit.

A good option is the Chime Credit Builder Visa card. This card does not charge an annual fee and does not require a deposit. It also does not charge interest. It’s still a secured credit card, but was created to pair with a Chime spending account. To use this card, you first open a spending account and then transfer money from that account to your Credit Builder credit card. This money you transferred acts as your credit limit.

You may qualify for other credit cards even if you have bad credit, including Indigo® Platinum Mastercard® or Capital One Platinum Secured Credit Card. Just be aware that such cards are usually subject to an annual fee.

Few secured credit cards offer rewards, with the exception of the Discover It® Secure Credit Card. You can get 2% cashback at gas stations and restaurants (up to $1,000 per quarter) and 1% on all other purchases. This card does not charge an annual fee, but you will need to pay a deposit.

What credit card can I get with an honest loan?

Experian defines a fair FICO credit score as a range of 580 to 669. If your credit score is in the fair range, you may qualify for more credit cards, including those that charge no annual fees or require security deposits.

The Capital One Platinum credit card is a good option if your credit score is in the lower end of the fair range. This is a basic card that does not offer any rewards. However, it also doesn’t charge an annual fee, which means you can easily use this card to increase your credit.

An option, if your score is in the higher end of the fair range, is the Credit One Bank® Platinum Visa® for Credit Recovery. This card offers a rewards program that gives you a 1% return on eligible gas, mobile phone/internet/cable/satellite TV products and services. However, you will pay an annual fee of $75 the first year and $99 ($8.25 per month) each year thereafter.

Which credit card can I get with a good or excellent credit history?

If your FICO score is above 670, you are in a good credit category. And if from 740 to 799, then it falls into a very good slot. Finally, Experian says that any score of 800 or more is considered exceptional. With scores like these, you can qualify for almost any credit card on the market.

A good example is the Blue Cash Preferred® card from American Express. This card provides 6% cash back on US supermarkets (up to $6,000 per year in purchases, then 1%) and on select US streaming services. You’ll also get 3% back at U.S. gas stations, as well as taxis, ridesharing, parking, trains, tolls, and buses. You will receive 1% cashback on other purchases. You will also receive a $300 credit after you spend $3,000 on purchases during the first 6 months of your card membership.

Discover it® Cash Back is another strong card. With this card, you will receive a 5% refund on bonus tiers, which rotate every quarter after activation (up to $1,500 at cumulative quarterly spending, then it’s 1%), as well as 1% cash on regular purchases.

How to get a credit card without a loan

Some people don’t have good or bad credit history because they simply don’t have enough credit history to have any credit score at all. For people who do not have loans or credit cards, it can be difficult to build a credit history. And those with no credit scores may have difficulty getting most credit cards.

A good option for those with no credit history is a secured credit card. Similarly, if you have a bad credit score, banks are more likely to approve a secured card because there is less risk to the bank due to the collateral you have posted.

“The bank already has your money,” Cruz said. “Then they have no reason to feel in danger. They won’t suffer financially if you don’t pay.”

Once you receive this secure card, use it every month. As you pay your bill in full with timely payments each month, you will gradually build up a solid credit score.

Giancola recommends that consumers who need to build a credit history also consider using private label cards. These are credit cards issued by department stores, wholesale clubs and other retailers that can only be used in one particular store and rarely come with generous perks.

But Giancola says these cards are easier to claim because they’re not as risky as traditional credit cards. And if consumers use them properly, charging each month what they can afford to pay off in full and paying their bills on time, they can build a solid credit history to qualify for more traditional credit cards in the future.

For those without a credit score, Giancola also recommends signing up as an authorized user on someone else’s credit card account to help build a credit history. When you do this, you will be added as a user of someone else’s credit card account. The account’s primary cardholder is responsible for the monthly bill payment, but payment information is shared with the credit bureaus in both that person’s name and yours, helping you build a positive credit history. Just be careful and only use the card in agreement with the main cardholder, so as not to spoil the relationship with this person.

bottom line

Whether it’s a secure card, a premium card, or a top tier travel card, you can find the right card for your credit score. If you start with a low (or no) credit history, you can build your credit history through responsible use to eventually qualify for the credit cards you want.