Credit Cards for People with No Credit

All about credit cards that help build your credit

When you are just starting out, it can be tough to land the car you want, the apartment you need and even the job you are hoping for. Why? Because so much of our society centers around having good credit. Fortunately, you can establish credit relatively quickly with responsible use of the right credit card. We researched and evaluated more than 260 credit card offers that people with a limited credit profile can apply for, using criteria such as: ability to get approved, rewards rate, fees and rates, customer service, ability to improve credit line, benefits/perks, and more. Here, we look at:

• CreditCards.com’s best credit cards for no credit of 2021
• Research methodology
• How can I get a credit card if I have no credit history?
• How to build your credit with no or little credit
• Factors to look for in your first credit card
• How a limited credit history can affect other life decisions
• How old do you have to be to get a credit card?

Best Credit Cards for No Credit of 2021

Discover it® Student Cash Back

Why it’s the best low APR credit card for people with no credit

The ongoing interest rate is 12.99%-21.99% variable, which is competitive for a card that caters to students and those with limited credit history.

Pros

Even if you’re just learning the ropes of credit, you don’t have to wait to start earning rewards. Cardholders earn 5% cash back on rotating quarterly bonus categories, up to $1,500 per quarter, then 1% (activation required). Plus, Discover will match all of the cash back you’ve earned at the end of your first year. With no annual fee and plenty of perks, this is an excellent choice for a starter credit card.

Cons

Some new cardholders might be overwhelmed by bonus categories that change each quarter. If that’s the case, a flat-rate card is likely a better choice.

Capital One Platinum Credit Card

Why it’s the best no annual fee credit card for people with no credit

This credit-builder card is top-notch – in addition no hidden fees (you’ll often see hidden fees with these kinds of cards), there’s also no annual fee.

Pros

With the Capital One Platinum, you can pay by check, online or at a local branch without paying a fee. Also, you can pick your monthly due date.

Cons

Unfortunately, this card has no sign-up bonus or ongoing rewards, making it a tough choice if you are looking for a multi-purpose card for the long haul.

Self – Credit Builder Account

Why it’s the best product with low APR for people with no credit

This financial product has a number of credit building features, but the true surprise is that the APR is super low at 12.03% to 15.98% variable (varies by product).

Pros

Here’s how this product works: You’ll get a small loan that you save in a CD for 12 or 24 months, during which you can get the hang of proper payments. A critical feature: Your credit habits are regularly reported to the 3 major credit bureaus. Also there’s no hard pull on your credit and no credit history is required.

Cons

The Self – Credit Builder Account has a one-time account fee of $9 to $15, which varies by the product.

Petal® 2 “Cash Back, No Fees” Visa® Credit Card

Why it’s the best credit card for high credit limits for people with no credit

With a credit limit up to $10,000, this card has a much higher ceiling than most starter cards. The card’s approval process will note your spending and income as well as your credit score, so it’s possible to qualify for a lofty limit without ever putting down a deposit.

Pros

This no annual fee option also features no foreign transaction fee, no late payment fee, no penalty APR and no returned payment fee. On top of that, cardholders earn up to 1.5% cash back on eligible purchases after making 12 on-time monthly payments.

Cons

Although the regular APR starts out on the lower end, the high end of the card’s APR (12.99%-26.99% variable) could be an obstacle for anyone expecting to carry a balance.

Secured Mastercard® from Capital One

Why it’s the best credit card for credit line growth for people with no credit

With the Secured Mastercard from Capital One, you have the opportunity to raise your credit limit after your first 6 months of on-time payments and responsible use, which is a solid feature for a credit-builder card.

Pros

As a Mastercard, this product is widely accepted worldwide, making it extraordinarily convenient when traveling.

Cons

There’s no sign-up bonus, no ongoing rewards, and the regular APR is a super high 26.99% (Variable), making it a poor option for carrying a balance.

Jasper Cash Back Mastercard®

Why it’s the best referral bonus credit card for people with no credit

Jasper considers many factors, including income and employment history, not just credit history, during its application process, so applicants with thin credit, including college graduates and relocating professionals who arrive in the U.S., could get approved for the card.

Pros

Unlike some other cards for no credit, Jasper features a rewards program and a potentially lucrative one at that. Cardholders can earn up to 6% cash back by successfully referring friends. A limited time offer allows them to earn extra cash back more quickly; they start with 1%, get to 3% cash back by successfully referring two friends, at 1% each. Typically, they earn 0.5% cash back for each referral. The promotional cash back rate lasts for a year. The card has a $0 annual fee. Learn more about the Jasper Cash Back Mastercard.

Cons

The high cash back is contingent on referring friends. Some credit newbies may be better off skipping a rewards credit card until they’ve established good spending habits, including on-time payments and low credit utilization.

Discover it® Student chrome

Why it’s the best student credit card for people with no credit

The Discover it Student chrome has a fun feature for the ambitious student – get a $20 statement credit each school year your GPA is 3.0 or higher for up to the next 5 years.

Pros

The ongoing rewards on this card are excellent, with 2% back at gas stations and restaurants up to $1,000 a quarter on combined spending (then 1% thereafter), as well as double your rewards at the end of your first year.

Cons

The regular APR is 12.99% - 21.99% Variable, which makes it not the best choice for carrying a balance, although you can get a 0% for 6 months intro APR on purchases.

First PREMIER® Bank Mastercard® Credit Card

Why it’s the best credit card for rebuilding credit for people with no credit

Each billing statement will provide your quarterly FICO Score, so you can monitor your credit progress closely.

Pros

First PREMIER offers several features that make it easier to stay on top of payments, including the ability to sign up for email or text payment reminders. You can also access your credit account by phone 24/7.

Cons

The interest rate is variable 36%, which is one of the highest rates out there. Even if you pay your balance on time and in full, this card is expensive to own due to its many fees. Regardless of your credit score, you’ll pay a one-time program fee, an annual fee and a monthly fee (may be waived for the first year).

Capital One QuicksilverOne Cash Rewards Credit Card

Why it’s the best flat-rate rewards credit card for people with no credit

The QuicksilverOne immediately delivers you 1.5% cash back for every purchase, every day, making it competitive with other cash back cards, such as the Capital One Quicksilver Cash Rewards Credit Card.

Pros

Because this card’s cash back rate is flat, there is no required quarterly signup or maximum allowed spend. Also, your cash back doesn’t expire for the life of the card.

Cons

This card doesn’t have a sign-up bonus, unlike the Quicksilver. Also, there’s an annual fee of $39, which isn’t waived the first year, and the regular APR is incredibly high at 26.99% (Variable).

Chase Freedom® Student credit card

Why it’s the best credit card for sign-up bonus for people with no credit

This student credit card from Chase offers new cardholders a $50 bonus after they make their first purchase within the first 3 months from account opening. (Read the full Chase Freedom Student credit card review.)

Pros

The card features a good base rewards program: Cardholders receive 1% cash back on all purchases and an additional 4% cash back on Lyft rides (through March 2022). They also receive a $20 bonus (or 2,000 points) each account anniversary that their account is still open and in good standing (meaning they’re making minimum payments on time) for up to the first 5 years of card ownership.

Cons

This card is designed for student credit cardholders, so if you’re outside that demographic, you might want to consider other credit cards for no credit. (Learn more about the best student credit cards.)

Citi® Secured Mastercard®

Why it’s the best credit card for building credit for people with no credit

Your security deposit is refundable if you upgrade to an unsecured card within the first 18 months.

Pros

There’s no annual fee and you can choose your credit limit based on what you can afford to provide as a security deposit. You can put down as little as $200 to start.

Cons

This card offers no rewards. If that’s important to you, there are secured cards that do offer rewards programs.

Discover it® Secured Credit Card

Why it’s the best credit card for people with no credit history

While negative items like a pending bankruptcy may decrease your approval odds, having no credit history will not.

Pros

Credit card rewards can be hard to come by if you’ve got bad credit. Cardholders get 2% cash back at gas stations and at restaurants (up to $1,000 in combined purchases per quarter, then 1%).

Cons

The APR is high, at 22.99% variable, so carrying a balance is going to cost you more than the average card.

For more credit cards tailored to college students or recent graduates with a short or no credit history, see our student credit cards.

Summary of the Best Credit Cards for No Credit

There are cards designed for people who are new to credit. Sometimes, their issuers want you to have a checking account, and they may require a refundable deposit of at least $200. Here is what you need to know about getting a card when you don’t have a credit history.

1. Check your credit. You’ll want to know exactly where you stand and track your progress as you start to build credit. You can pull your credit reports for free at least once a year via AnnualCreditReport.com and you can get a credit score for free or for a nominal fee through various websites. Learn how to get your credit score.
2. Look into a credit-builder loan. Check with your local financial institution about these small loans, which are designed primarily to help you build your credit. A local credit union is an excellent choice. You will likely need to open a checking or savings account with the institution.
3. Consider a secured card. The fastest and easiest way to build credit is with a credit card, and a relatively easy card to land is a secured card. That’s because you put down a refundable deposit that is used to secure your credit limit. Just make sure the card issuer is going to send your credit habits to the credit bureaus.
4. Research, then apply for one card. With your score handy, look at cards you are likely to get, checking annual fees and any other charges that might be incurred.
5. See about being an authorized user. If you don’t think you will be able to get your own card or you want to take baby steps, see if you can become an authorized user on a responsible consumer’s card. Just make sure they pay on time and in full each month because their good credit habits will go on your file. Not all card issuers report authorized users’ information to the credit bureaus, so check. In a few months, you will be able to apply for your own card.