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There’s a whole world of credit cards out there, but Bankrate knows you’re not trying to fit the world into your wallet. Our experts are dedicated to helping you make the right choice, with the best credit cards of 2022 available from our partners — rewards, cash back, travel, balance transfer, 0 percent intro APR and more. We do the research, so you don’t have to sift through hundreds of options to find the best credit card for you.
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
2%
Earn unlimited 2% cash rewards on purchases
Intro offer
$200 cash rewards
Earn a $200 cash rewards bonus after spending $1,000 in purchases in the first 3 months
Annual fee
$0
Regular APR
18.74%, 23.74%, or 28.74% Variable APR
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
Not only is this card’s flat rewards rate a step up from many competitors’, but it’s also one of the only 2 percent cash rewards cards to include a welcome offer and an intro APR offer on both purchases and qualifying balance transfers.
Paying your cellphone bill each month with this card gets you cellphone protection against damage or theft (limit of two up to $600 claims per year, subject to a $25 deductible) — a handy but relatively uncommon perk that will be useful to many cardholders.
You have a number of flexible redemption options, and there’s no minimum to start redeeming cash rewards.
Cons
Your reward redemption options are limited to cash rewards; you can’t transfer rewards to travel partners.
Some cash rewards cards have lower spending requirements attached to their welcome offers.
Earn a $200 cash rewards bonus after spending $1,000 in purchases in the first 3 months
Earn unlimited 2% cash rewards on purchases
0% intro APR for 15 months from account opening on purchases and qualifying balance transfers, then a 18.74%, 23.74%, or 28.74% variable APR; balance transfers made within 120 days qualify for the intro rate and fee of 3% then a BT fee of up to 5%, min: $5
$0 annual fee
No categories to track or remember and cash rewards don't expire as long as your account remains open
Enjoy a premium collection of benefits at a selection of the world's most intriguing and prestigious hotel properties with Visa Signature Concierge
Get up to $600 of cell phone protection against damage or theft when you pay your monthly cell phone bill with your eligible Wells Fargo card. (subject to a $25 deductible).
Select “Apply Now” to learn more about the product features, terms and conditions
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
5%
Earn 5% cash back on everyday purchases at different places each quarter like Amazon.com, grocery stores, restaurants, and gas stations, up to the quarterly maximum when you activate.
1%
Plus, earn unlimited 1% cash back on all other purchases – automatically.
Intro offer
Cashback Match™
Intro Offer: Unlimited Cashback Match - only from Discover. Discover will automatically match all the cash back you've earned at the end of your first year! There's no minimum spending or maximum rewards. You could turn $150 cash back into $300.
Annual fee
$0
Regular APR
14.99% - 25.99% Variable
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
If your spending is varied and you don’t mind a little legwork, this classic cash back card could prove quite lucrative. On top of a diverse list of rotating 5 percent cash back bonus categories (on up to $1,500 in purchases per quarter, then 1 percent, enrollment required), cardholders enjoy a cash back match at the end of their first year. Plus, Discover is one of the few issuers to announce its quarterly categories the year prior, which makes your rewards potential more predictable and easier to maximize.
Discover cards are known for consumer-friendly terms, including no annual fee and no foreign transaction fees.
There’s no cap on total cash back and almost no minimums for redeeming rewards (gift cards must be redeemed in $5 intervals).
Cons
Rotating cash back categories change each year, and some may be a better match for your spending than others.
Your earnings potential drops after the first year, when the Cash Back match is no longer on the table.
Intro Offer: Unlimited Cashback Match - only from Discover. Discover will automatically match all the cash back you've earned at the end of your first year! There's no minimum spending or maximum rewards. You could turn $150 cash back into $300.
Earn 5% cash back on everyday purchases at different places each quarter like Amazon.com, grocery stores, restaurants, and gas stations, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases - automatically.
Discover helps remove your personal information from select people-search websites. Activate by mobile app for free.
Every $1 you earn in cash back is $1 you can redeem.
Get a 0% intro APR for 15 months on purchases. Then 14.99% to 25.99% Standard Variable Purchase APR applies, based on credit worthiness.
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
5%
Enjoy 5% cash back on travel purchased through Chase Ultimate Rewards®, our premier rewards program that lets you redeem rewards for cash back, travel, gift cards and more;
3%
3% cash back on drugstore purchases and dining at restaurants, including takeout and eligible delivery service
1.5%
1.5% on all other purchases
Intro offer
Earn an Additional 1.5% Cash Back
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!
Annual fee
$0
Regular APR
17.99% - 26.74% Variable
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
This is one of the only cards that earns bonus cash back in popular spending categories like dining and travel as well as 1.5 percent back on general purchases. Most cash back cards offer either a boosted flat rewards rate on all purchases or a higher rate in specific spending categories — not both. That makes the Freedom Unlimited a terrific standalone rewards option.
You can redeem points for cash back, travel and more without sacrificing point value.
If you eventually pair the card with a Chase Ultimate Rewards travel card, your points will be worth 25 to 50 percent more when redeemed for travel through Chase.
Cons
Only bookings made through the Chase travel portal qualify for the 5X rewards rate, limiting your ability to hunt for travel deals.
A card with a higher base rewards rate (like a 2 percent flat-rate cash back card) may provide better value long term if you don’t spend much on travel or dining.
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 Ultimate Rewards®, 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 Chase travel purchased through Ultimate Rewards®, 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 17.99% - 26.74%
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, real-time alerts, and more.
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
10%
Earn 10% cash back on purchases made through Uber & Uber Eats, plus complimentary Uber One membership statement credits through 11/14/2024
8%
Earn 8% cash back on Capital One Entertainment purchases
5%
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
3%
Earn unlimited 3% cash back on dining, entertainment, popular streaming services and at grocery stores (excluding superstores like Walmart® and Target®).
1%
Earn 1% on all other purchases.
Intro offer
$200
Earn a one-time $200 cash bonus after you spend $500 on purchases within the first 3 months from account opening
Annual fee
$0
Regular APR
17.99% - 27.99% (Variable)
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
This no-annual-fee alternative to the Capital One Savor Cash Rewards Credit Card offers a still-competitive unlimited 3 percent cash back on dining, entertainment, popular streaming services and at grocery stores (excluding superstores like Walmart® and Target®).
It’s a terrific standalone rewards card since it offers some of the best spending category coverage, unlimited rewards potential, intro APR and welcome bonus value available on one card.
The card touts a newbie-friendly structure, charging no annual fee or foreign transaction fees and offering automatic cash back redemption.
Cons
While it rewards several popular spending categories, it’s also missing a handful that may make rival cards more rewarding based on your budget, including gas, travel and transit.
Beware of redeeming cash rewards on Amazon.com, as there is a list of restricted items you can’t use rewards on.
Earn a one-time $200 cash bonus after you spend $500 on purchases within the first 3 months from account opening
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; plus cash back won't expire for the life of the account and there's no limit to how much you can earn
0% intro APR on purchases and balance transfers for 15 months; 17.99% - 27.99% variable APR after that; 3% fee on the amounts transferred within the first 15 months
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
5x
5x on travel purchased through Chase Ultimate Rewards®
3x
3x on dining.
2x
2x on all other travel purchases, plus more.
Intro offer
60,000 points
Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 when you redeem through Chase Ultimate Rewards®.
Annual fee
$95
Regular APR
18.99% - 25.99% Variable
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
If you’re looking for a beginner travel card with great flexibility, you’ll find a ton of value in the Sapphire Preferred. For a relatively low annual fee of $95, you’ll enjoy a solid rewards rate in several everyday spending categories, including dining, online grocery purchases and select streaming services, which should make it easy to rack up rewards. Plus, the points you earn carry some of the highest redemption values available on a travel rewards card.
You can boost the value of your points by 25 percent when you redeem for travel using the Chase Ultimate Rewards portal — a great reason to pool points across multiple Chase rewards cards.
Its annual statement credit on hotel stays, account anniversary bonus points, stand-out travel protections and other perks easily justify the annual fee.
Cons
The card’s online grocery bonus category excludes all purchases at superstores like Walmart and Target as well as wholesale clubs like Costco.
Doesn’t include an intro APR offer on purchases or balance transfers like some premium rewards cards, so you won’t catch a break on interest charges if you carry a balance.
Earn 60,000 bonus points after you spend $4,000 on purchases in the first 3 months from account opening. That's $750 when you redeem through Chase Ultimate Rewards®.
Enjoy benefits such as a $50 annual Ultimate Rewards Hotel Credit, 5x on travel purchased through Chase Ultimate Rewards®, 3x on dining and 2x on all other travel purchases, plus more.
Get 25% more value when you redeem for airfare, hotels, car rentals and cruises through Chase Ultimate Rewards®. For example, 60,000 points are worth $750 toward travel.
With Pay Yourself Back℠, your points are worth 25% more during the current offer when you redeem them for statement credits against existing purchases in select, rotating categories
Count on Trip Cancellation/Interruption Insurance, Auto Rental Collision Damage Waiver, Lost Luggage Insurance and more.
Get complimentary access to DashPass which unlocks $0 delivery fees and lower service fees for a minimum of one year when you activate by December 31, 2024.
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Balance transfer intro APR
18 months
0% intro APR for up to 21 months from account opening on qualifying balance transfers
Intro offer
N/A
Annual fee
$0
Regular APR
16.74% - 28.74% Variable APR
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
This card from Wells Fargo can offer a 0 percent intro APR on purchases and qualifying balance transfers for up to 21 months from account opening (then a 16.74 percent to 28.74 percent variable APR). Keep in mind, you start with 18 months of promotional interest, but can qualify for a three-month extension by making on-time monthly minimum payments during the intro period. That’s one of the longest promotional interest offers on the market.
The promotional APR applies to both purchases and qualifying balance transfers, making it one of the best overall intro APR offers out there.
The card comes with cell phone protection against damage or theft (up to $600, subject to a $25 deductible, when you pay your monthly phone bill with the card.)
Cons
You’ll need to pay attention to the fine print to secure the full up to 21 months at the intro rate.
There’s no rewards program, eating into the card’s long-term value.
0% intro APR for 18 months from account opening on purchases and qualifying balance transfers. Intro APR extension for 3 months with on-time minimum payments during the intro period. 16.74% to 28.74% Variable APR thereafter; balance transfers made within 120 days qualify for the intro rate and fee of 3% then a BT fee of up to 5%, min $5.
$0 Annual Fee
Get up to $600 of cell phone protection against damage or theft when you pay your monthly cell phone bill with your eligible Wells Fargo card (subject to a $25 deductible).
Through My Wells Fargo Deals, you can get access to personalized deals from a variety of merchants. It's an easy way to earn cash back as an account credit when you shop, dine, or enjoy an experience simply by using an eligible Wells Fargo credit card.
Select "Apply Now" to learn more about the product features, terms and conditions
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Balance transfer intro APR
18 months
0% for 18 months
Intro offer
Cashback Match™
Intro Offer: Unlimited Cashback Match - only from Discover. Discover will automatically match all the cash back you’ve earned at the end of your first year! There’s no minimum spending or maximum rewards. You could turn $150 cash back into $300.
Annual fee
$0
Regular APR
14.99% - 25.99% Variable
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
This card has the potential to provide great short- and long-term value. It comes with a lengthy intro APR offer on balance transfers that can help you pay off past debt. It also has one of the best rewards programs available, offering high bonus rewards in rotating categories.
Offers one of the longest intro APR periods on balance transfers.
No penalty APR if you make a late payment, though you could still lose your intro APR rate.
Cons
The intro APR period on purchases is far shorter than what you can find with a number of other balance transfer cards.
After the intro APR period on purchases ends, any purchases will accrue interest and continue to build up until your entire account balance is paid off — even your balance transfer debt
Intro Offer: Unlimited Cashback Match - only from Discover. Discover will automatically match all the cash back you've earned at the end of your first year! There's no minimum spending or maximum rewards. You could turn $150 cash back into $300.
Earn 5% cash back on everyday purchases at different places each quarter like Amazon.com, grocery stores, restaurants, and gas stations, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases - automatically.
Discover helps remove your personal information from select people-search websites. Activate by mobile app for free.
Every $1 you earn in cash back is $1 you can redeem.
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Purchase intro APR
12 months
0% for 12 months on Purchases
Intro offer
$150 Statement Credit
For a limited time earn a $150 Statement Credit after you spend $500 on purchases in the first 3 months of account opening.
Annual fee
$0
Regular APR
16.74% - 27.49% (Variable)
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
While it doesn't have a rewards program, the card's outstanding intro offer makes it a first-class option for temporarily avoiding interest on a transferred balance. Consider this card if you want to stay focused on paying debt and fear rewards will entice you to overspend.
The promotional APR period for balance transfers is one of the longest currently on the market.
You get access to a number of popular Citi programs, including Citi Flex Loan, Citi Entertainment and Citi Easy Deals.
Cons
The lack of rewards does eat into the card’s long-term value.
Its 0 percent intro APR offer on purchases only lasts 12 months (16.74 percent to 27.49 percent variable APR after that). Several competing balance transfer cards offer an intro APR period of 18 months or more on purchases.
0% Intro APR for 21 months on balance transfers from date of first transfer and 0% Intro APR for 12 months on purchases from date of account opening. After that the variable APR will be 16.74% - 27.49%, based on your creditworthiness. Balance transfers must be completed within 4 months of account opening.
For a limited time earn a $150 Statement Credit after you spend $500 on purchases in the first 3 months of account opening.
There is a balance transfer fee of either $5 or 5% of the amount of each transfer, whichever is greater
Get free access to your FICO® Score online.
With Citi Entertainment®, get special access to purchase tickets to thousands of events, including concerts, sporting events, dining experiences and more.
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
See if you're pre‐approved for this card with
CardMatch™
Purchase intro APR
12 months
0% on purchases for 12 months
Intro offer
$250
Earn a $250 statement credit after you spend $3,000 in purchases on your new Card within the first 6 months.
Annual fee
$0 intro annual fee for the first year, then $95.
Regular APR
17.74%-28.74% Variable
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
One of our favorite credit cards for families, the popular Blue Cash Preferred Card from American Express offers outstanding rewards rates on everyday expenses, including at U.S. supermarkets, at U.S. gas stations and on select U.S. streaming subscriptions.
Its 6 percent cash back rate at U.S. supermarkets (on up to $6,000 per year in purchases, then 1 percent) and on select U.S. streaming subscriptions is one of the highest rewards rates available for these categories.
The average person should have little trouble justifying the annual fee: If you spend just $31 per week at U.S. supermarkets, you can earn back the card’s cost in rewards.
Cons
Purchases at wholesale clubs, superstores (like Walmart), and specialty stores (bakeries, farmers markets, etc.) are excluded from the card’s U.S. supermarket bonus category and only earn 1 percent back.
Unlike some competing cards, you can’t redeem cash back in the form of a direct deposit or check — which may be inconvenient for some cardholders.
Earn a $250 statement credit after you spend $3,000 in purchases on your new Card within the first 6 months.
$0 intro annual fee for the first year, then $95.
Buy Now, Pay Later: Enjoy $0 intro plan fees when you use Plan It® to split up large purchases into monthly installments. Pay $0 intro plan fees on plans created during the first 12 months after account opening. Plans created after that will have a monthly plan fee up to 1.33% of each eligible purchase amount moved into a plan based on the plan duration, the APR that would otherwise apply to the purchase, and other factors.
Low intro APR: 0% for 12 months on purchases from the date of account opening, then a variable rate, 17.74% to 28.74%
6% Cash Back at U.S. supermarkets on up to $6,000 per year in purchases (then 1%).
6% Cash Back on select U.S. streaming subscriptions.
3% Cash Back at U.S. gas stations and on transit (including taxis/rideshare, parking, tolls, trains, buses and more).
1% Cash Back on other purchases.
Thinking about getting The Disney Bundle which includes Disney+, Hulu, and ESPN+? Your decision made easy with $7/month back in the form of a statement credit after you spend $13.99 or more each month on an eligible subscription with your Blue Cash Preferred Card. Enrollment required.
Cash Back is received in the form of Reward Dollars that can be redeemed as a statement credit.
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
5%
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
1.5%
Earn unlimited 1.5% cash back on every purchase, every day
Intro offer
$200
One-time $200 cash bonus after you spend $500 on purchases within 3 months from account opening
Annual fee
$0
Regular APR
17.99% - 27.99% (Variable)
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
The Capital One Quicksilver Card is one of the most straightforward cash back rewards cards on the market, offering at least 1.5 percent on every purchase with no rotating bonus categories or complex rewards program to keep up with. Consider this card if you’re learning the ropes and want a set-it-and-forget-it cash back rewards credit card.
This card charges no annual fee and no foreign transaction fees.
Features an automatic cash back redemption option, making it one of the simplest rewards card experiences available.
Cons
Its benefits list is a bit bare compared to a few of its rival cards.
There are other cards on the market that offer a higher unlimited cash back rate.
Earn a one-time $200 cash bonus after you spend $500 on purchases within 3 months from account opening
Earn unlimited 1.5% cash back on every purchase, every day
$0 annual fee and no foreign transaction fees
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. Terms apply
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
0% intro APR on purchases and balance transfers for 15 months; 17.99%-27.99% variable APR after that; 3% fee on the amounts transferred within the first 15 months
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
3X
Earn unlimited 3X points on restaurants, travel, gas stations, transit, popular streaming services and phone plans. Plus earn 1X points on other purchases
1X
Earn 1X points on other purchases
Intro offer
30,000 Points
Limited time offer. Earn 30,000 bonus points when you spend $1,500 in purchases in the first 3 months - that's a $300 cash redemption value. Offer expires 1/10/2023
Annual fee
$0
Regular APR
18.74%, 23.74%, or 28.74% Variable APR
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
This card not only carries one of the best ongoing rewards rates out there on everyday travel purchases, including at gas stations and on transit, but also covers a range of other popular categories like restaurants, airfare and hotels. It’s tough to earn bonus points in that many categories with a single card, making this a great choice as a standalone rewards card.
Offers terrific category variety for a no-annual-fee rewards card, earning unlimited rewards in several of the most popular everyday spending categories.
You can redeem rewards for statement credits or travel without sacrificing point value (many travel-centric cards offer lower point redemption value if you opt for cash back).
Cons
Its welcome bonus is higher than most no-annual-fee card bonuses, but requires heavy spending (three times the amount required by many competing cards).
You can’t transfer rewards to airline or hotel loyalty programs and your points are only worth 1 cent apiece — a lower point value than many competing travel rewards programs offer.
Limited time offer. Earn 30,000 bonus points when you spend $1,500 in purchases in the first 3 months - that's a $300 cash redemption value. Offer expires 1/10/2023
Earn unlimited 3X points on the things that really add up - like restaurants, travel, gas stations, transit, popular streaming services, and phone plans. Plus, earn 1X points on other purchases
$0 annual fee
0% intro APR for 12 months from account opening on purchases. 18.74%, 23.74%, or 28.74% variable APR thereafter
Get up to $600 of cell phone protection against damage or theft when you pay your monthly cell phone bill with your eligible Wells Fargo card. (subject to a $25 deductible).
Redeem your rewards points for travel, gift cards, or statement credits. Or shop at millions of online stores and redeem your rewards when you check out with PayPal.
Enjoy a premium collection of benefits at a selection of the world's most intriguing and prestigious hotel properties with Visa Signature Concierge.
Select “Apply Now” to learn more about the product features, terms and conditions.
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
10X
Earn unlimited 10X miles on hotels and rental cars booked through Capital One Travel
5X
5X miles on flights booked through Capital One Travel.
2X
Earn unlimited 2X miles on all other purchases
Intro offer
75,000 miles
Earn 75,000 bonus miles when you spend $4,000 on purchases in the first 3 months from account opening, equal to $750 in travel
Annual fee
$395
Regular APR
19.99% - 26.99% (Variable)
Recommended credit
Excellent (740 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
If you’re a frequent traveler wanting to strike the balance between top notch rewards, the most useful benefits and affordability, you may find your match with the Capital One Venture X. The annual statement credits significantly offset the annual fee and boosted flat-rate reward offerings let you earn big in various spending categories.
It offers practical, high-value perks for a reasonable annual fee. Competing cards can charge $500 or more in annual fees, and though they tend to carry more benefits, these perks are often tailored to a niche audience and won’t offer much value to the average traveler.
Its platter of annual perks, including its travel credits and account anniversary bonus miles, can help you cover the $395 annual fee with little effort.
Cons
The barrier of entry to qualify for this card is high, as you must have excellent credit.
You must book through Capital One Travel to earn rewards in key travel categories.
Earn 75,000 bonus miles when you spend $4,000 on purchases in the first 3 months from account opening, equal to $750 in travel
Receive up to $300 back annually as statement credits for bookings through Capital One Travel, where you'll get Capital One's best prices on thousands of options
Get 10,000 bonus miles (equal to $100 towards travel) every year, starting on your first anniversary
Earn unlimited 10X miles on hotels and rental cars booked through Capital One Travel and 5X miles on flights booked through Capital One Travel
Earn unlimited 2X miles on all other purchases
Unlimited complimentary access for you and two guests to 1,400+ lounges, including Capital One Lounges and our Partner Lounge Network
Receive up to a $100 credit for Global Entry or TSA PreCheck®
Use your Venture X miles to easily cover travel expenses, including flights, hotels, rental cars and more—you can even transfer your miles to your choice of 15+ travel loyalty programs
Our writers, editors and industry experts score
credit cards based on a variety of factors
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and independent research. Credit card issuers have
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Rewards rate
5X
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
2X
Earn unlimited 2X miles on every purchase, every day.
Intro offer
75,000 miles
New Venture cardholders can earn 75,000 miles once they spend $4,000 on purchases within 3 months from account opening
Annual fee
$95
Regular APR
18.99% - 26.99% (Variable)
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
For some travelers, flexibility can have a value all its own. The Capital One Venture Rewards Credit Card addresses that need with an array of options for redeeming your miles. If you want more freedom in how you choose to pay for travel, consider taking this card along for the journey.
The card comes with an up to $100 credit for the Global Entry or TSA PreCheck application fee.
Its flat-rate rewards and flexible travel redemption options help users get more mileage from their spending and exclusive portal features like AI-powered price tracking and price protection can help you save on bookings.
Cons
The $95 annual fee (not waived the first year) might be a bit too expensive for non-frequent flyers, especially since Capital One miles are worth less when redeemed for cash back.
Capital One lacks a major U.S. carrier as a travel partner.
Enjoy a one-time bonus of 75,000 miles once you spend $4,000 on purchases within 3 months from account opening, equal to $750 in travel
Earn unlimited 2X miles on every purchase, every day
Miles won't expire for the life of the account and there's no limit to how many you can earn
Receive up to a $100 credit for Global Entry or TSA PreCheck®
Enjoy two complimentary visits per year to Capital One Lounges or to 100+ Plaza Premium Lounges through our Partner Lounge Network
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
Our writers, editors and industry experts score
credit cards based on a variety of factors
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and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
5%
Unlimited 5% total cash back on travel purchased through Chase Ultimate Rewards
2.5%
Unlimited 2.5% total cash back on purchases of $5,000 or more
2%
Unlimited 2% cash back on all other business purchases.
Intro offer
$1,000 Cash Back
Earn $1,000 bonus cash back after you spend $10,000 on purchases in the first 3 months from account opening.
Annual fee
$195
Regular APR
Flex for Business Variable APR: 17.24% - 25.24%
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
Chase’s latest business card frees small-business owners from having to worry about spending caps or a variety of bonus categories that need to be tracked. For maximum value, make sure you can take advantage of the card’s top-of-the-line flat rate of 2.5 percent cash back on purchases of $5,000 or more.
Offers one of the highest flat rates around for businesses that make purchases of $5,000 or more.
Comes with an impressive amount of purchase, travel and cellphone protections.
Cons
The annual fee may not be worth it for businesses that don’t have at least two business expenses of $5,000 or more.
Unlike other Chase Ink business cards, rewards can’t be transferred to other loyalty programs for greater flexibility and the chance to find better deals on travel.
Earn $1,000 bonus cash back after you spend $10,000 on purchases in the first 3 months from account opening.
Earn unlimited 2.5% total cash back on purchases of $5,000 or more and unlimited 2% cash back on all other business purchases.
Travel Benefits: Unlimited 5% total cash back on travel purchased through Chase Ultimate Rewards, No Foreign Transaction Fees and Trip Cancellation/Trip Interruption Insurance.
Rich Rewards. Limitless Opportunities. With no minimum redemption amount, redeem rewards for cash back, gift cards, travel and more through Chase Ultimate Rewards®.
For businesses who prefer to pay their balance in full each month, Ink Business Premier gives access to increased spending power, rich rewards, and premium benefits.
Pay off eligible purchases over time with interest up to assigned Flex for Business limit. All other purchases must be paid in full each month.
Purchase with confidence with built-in protections like Fraud Protection, Zero Liability Protection, Purchase Protection, Cell Phone Protection, and Extended Warranty Protection.
There’s no additional cost for employee cards. Monitor spend with digital tools like purchase alerts, set spending limits, reporting, and more.
Our writers, editors and industry experts score
credit cards based on a variety of factors
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and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
5%
Earn 5% cash back on the first $25,000 spent in combined purchases at office supply stores and on internet, cable and phone services each account anniversary year
2%
Earn 2% cash back on the first $25,000 spent in combined purchases at gas stations and restaurants each account anniversary year
1%
Earn 1% cash back on all other card purchases with no limit to the amount you can earn
Intro offer
$900
Best Offer Ever: Earn $900 bonus cash back after you spend $6,000 on purchases in the first 3 months from account opening
Annual fee
$0
Regular APR
16.24% - 22.24% Variable
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
It carries one of the best welcome offers out there for a business card with no annual fee, as well as rewards in several popular business spending categories like office supply stores and internet, cable and phone services. You’ll also get an intro APR offer on new purchases, giving you a chance to chip away at large expenses or free up cash flow in your first year.
The card’s sign-up bonus offer is one of the best available on a no-annual-fee business card, so it’s a good option if you have a large business expense on the horizon.
Its intro APR period is on the longer side for a business rewards card, so it could be a great fit if you want to finance business purchases in the short term without sacrificing long-term rewards value.
Cons
Though this card earns Ultimate Rewards points, you can’t transfer points to airline or hotel loyalty programs or get more than 1 cent per point in redemption value unless you pool points with one of the Chase Sapphire cards or the Ink Business Preferred® Credit Card.
Depending on how much you spend in this card’s bonus categories, you may earn more with a flat-rate rewards card, even if that means paying an annual fee.
Best Offer Ever: Earn $900 bonus cash back after you spend $6,000 on purchases in the first 3 months from account opening
Earn 5% cash back on the first $25,000 spent in combined purchases at office supply stores and on internet, cable and phone services each account anniversary year
Earn 2% cash back on the first $25,000 spent in combined purchases at gas stations and restaurants each account anniversary year. Earn 1% cash back on all other purchases
With Fraud Protection your card transactions will be monitored for possible signs of fraudulent activity using real-time fraud monitoring
With Zero Liability you won't be held responsible for unauthorized charges made with your card or account information
No Annual Fee
Redeem rewards for cash back, gift cards, travel and more through Chase Ultimate Rewards®
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
5%
Earn 5% cash back on purchases in your top eligible spend category each billing cycle, up to the first $500 spent, 1% cash back thereafter.
1%
Earn unlimited 1% cash back on all other purchases.
Intro offer
$200
Earn $200 cash back after you spend $1,500 on purchases in the first 6 months of account opening. This bonus offer will be fulfilled as 20,000 ThankYou® Points, which can be redeemed for $200 cash back.
Annual fee
$0
Regular APR
17.74% - 27.74% (Variable)
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
Attention, simplicity-seekers: This card from Citi makes maximizing cash back a bit easier by automatically awarding your bonus rewards (5 percent cash back in your top eligible spending category each billing cycle, up to the first $500 in purchases and then 1 percent), no enrollment or guesswork required.
Eligible bonus categories include everyday expenses at grocery stores or gas stations, and the card can provide perhaps the highest year-round rewards rate available for many of these purchases without paying an annual fee.
There’s a 15-month 0 percent introductory offer on purchases and balance transfers (then variable 17.74 percent to 27.74 percent APR).
Cons
Your bonus rewards rate is subject to a cap and limited to one spending category, which may make this a better pick as your second rewards card than as a standalone rewards card.
The card charges a relatively high 5 percent (or $5, whichever is greater) balance transfer fee.
Earn $200 cash back after you spend $1,500 on purchases in the first 6 months of account opening. This bonus offer will be fulfilled as 20,000 ThankYou® Points, which can be redeemed for $200 cash back.
0% Intro APR on balance transfers and purchases for 15 months. After that, the variable APR will be 17.74% - 27.74%, based on your creditworthiness.
Earn 5% cash back on purchases in your top eligible spend category each billing cycle, up to the first $500 spent, 1% cash back thereafter. Also, earn unlimited 1% cash back on all other purchases.
No rotating bonus categories to sign up for – as your spending changes each billing cycle, your earn adjusts automatically when you spend in any of the eligible categories.
No Annual Fee
Citi will only issue one Citi Custom Cash℠ Card account per person.
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credit cards based on a variety of factors
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and independent research. Credit card issuers have
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Rewards rate
3X
Earn 3 Points per $1 spent at Restaurants and Supermarkets
3X
Earn 3 Points per $1 spent at Gas Stations, Air Travel and Hotels
1X
Earn 1 Point per $1 spent on all other purchases
Intro offer
80,000 points
For a limited time, earn 80,000 bonus ThankYou® Points after you spend $4,000 in purchases within the first 3 months of account opening
Annual fee
$95
Regular APR
19.74% - 27.74% (Variable)
Recommended credit
Good to Excellent (670 - 850)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
You’ll get a lot of everyday value out of this Citi rewards card. It carries a high rewards rate in some of the most popular everyday spending categories and offers over a dozen airline and hotel transfer partners, making it easy to earn points and squeeze the maximum value out of them, all for a fairly low annual fee.
Pros
Your highest earning spending categories are those that are often ranked highly in the average budget, including gas station purchases, supermarkets and restaurants.
You have the opportunity to get a $100 annual hotel savings benefit on a hotel stay of $500 or more with this Citi card (terms and conditions apply) which offsets the card’s $95 annual fee on its own.
Cons
You’ll need a minimum amount of 1,000 ThankYou points to transfer with Citi travel partners.
Compared to rival cards with a $95 annual fee, your travel perks are relatively limited outside the annual hotel savings credit.
For a limited time, earn 80,000 bonus ThankYou® Points after you spend $4,000 in purchases within the first 3 months of account opening
Earn 3 Points per $1 spent at Restaurants and Supermarkets
Earn 3 Points per $1 spent at Gas Stations, Air Travel and Hotels
Earn 1 Point per $1 spent on all other purchases
Annual Hotel Savings Benefit
80,000 Points are redeemable for $800 in gift cards when redeemed at thankyou.com
No expiration and no limit to the amount of points you can earn with this card
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credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
N/A
Intro offer
N/A
Annual fee
$0
Regular APR
28.49% (Variable)
Recommended credit
Fair to Good (580 - 740)
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
This card leaves aside rewards and flashy perks, allowing you to focus on what matters most: building your credit. Unsecured cards for people with less-than-perfect credit often charge a ton of fees, but this card has no annual fee and gives you a chance to be considered for a higher credit line after just six months. You may even be able to upgrade to a more rewarding Capital One card in the future if your score improves.
You’ll be considered for a higher credit limit after just six months of responsible use — one of the shortest credit limit review periods you’ll find on a credit-building card.
Capital One may consider applicants with FICO scores as low as 580 for this card.
Cons
The 28.49 percent variable APR is assigned to all cardholders, regardless of credit score. That’s a bit high, even for a card for someone with fair credit
It comes with no rewards program or notable perks, which may limit this card’s long-term value compared to other credit-building cards.
No annual or hidden fees. See if you're approved in seconds
Be automatically considered for a higher credit line in as little as 6 months
Help build your credit through responsible use of a card like this
Enjoy peace of mind with $0 Fraud Liability so that you won't be responsible for unauthorized charges
Monitor your credit score with CreditWise from Capital One. It's free for everyone
Get access to your account 24 hours a day, 7 days a week with online banking from your desktop or smartphone, with Capital One's mobile app
Check out quickly and securely with a contactless card, without touching a terminal or handing your card to a cashier. Just hover your card over a contactless reader, wait for the confirmation, and you're all set
Pay by check, online or at a local branch, all with no fee - and pick the monthly due date that works best for you
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
2%
Earn 2% cash back at Gas Stations and Restaurants on up to $1,000 in combined purchases each quarter.
1%
Earn unlimited 1% cash back on all other purchases – automatically.
Intro offer
Cashback Match™
Intro Offer: Unlimited Cashback Match - only from Discover. Discover will automatically match all the cash back you've earned at the end of your first year! There's no minimum spending or maximum rewards. Just a dollar-for-dollar match.
Annual fee
$0
Regular APR
25.99% Variable
Recommended credit
No Credit History
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
This card carries one of the most generous rewards rates you can get on a secured card without paying an annual fee, offering cash back in two of the most popular everyday spending categories — restaurants and gas stations. Plus, it’s one of the only credit-building cards to carry a welcome offer.
If you use this card responsibly to build credit, you may be able to graduate to an unsecured version of the card in just seven months.
Credit newbies will appreciate this card’s forgiving terms: You won’t face a penalty APR and won’t be charged a fee the first time you pay late (after the first late payment, a fee of up to $41 applies).
Cons
It requires a minimum security deposit of $200. While that’s a common starting point, a few cards offer a lower deposit requirement and may be a better fit if you want to avoid tying up a lot of money.
Some competing secured cards offer a lower ongoing APR, which could make a big difference if you wind up carrying a balance.
No credit score required to apply.
No Annual Fee, earn cash back, and build your credit with responsible use.
Establish your credit line by providing a refundable security deposit of at least $200. That means a $200 deposit for a $200 credit line. Or a $500 deposit for a $500 credit line. Bank information must be provided when submitting your deposit, and the security deposit equals your credit limit.
Automatic reviews starting at 7 months to see if we can transition you to an unsecured line of credit and return your deposit.
Earn 2% cash back at Gas Stations and Restaurants on up to $1,000 in combined purchases each quarter. Plus, earn unlimited 1% cash back on all other purchases - automatically.
Discover helps remove your personal information from select people-search websites. Activate by mobile app for free.
Get an alert if we find your Social Security number on any of thousands of Dark Web sites.* Activate for free.
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
5%
Earn 5% cash back on everyday purchases at different places each quarter like Amazon.com, grocery stores, restaurants, and gas stations, up to the quarterly maximum when you activate.
1%
Plus, earn unlimited 1% cash back on all other purchases - automatically.
Intro offer
Cashback Match™
Intro Offer: Unlimited Cashback Match - only from Discover. Discover will automatically match all the cash back you've earned at the end of your first year! So you could turn $50 cash back into $100. Or turn $100 into $200. There's no minimum spending or maximum rewards. Just a dollar-for-dollar match.
Annual fee
$0
Regular APR
15.99% - 24.99% Variable
Recommended credit
No Credit History
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
Thanks to its first-year Cash Back Match and generous rotating cash back program, the Discover it Student Cash Back is one of the most lucrative rewards credit cards available to students. In fact, it delivers the same rewards rates as Discover’s flagship rewards card.
The card’s low rates and fees weave a safety net for first-time cardholders. It carries no annual fee, foreign transaction fees or penalty APR and even waives your first late payment fee (the late fee is up to $41 after that).
There’s a six-month 0 percent introductory APR on purchases (then a relatively low ongoing APR of 15.99 percent to 24.99 percent, variable). That’s a rare but potentially helpful perk for newly-independent cardholders.
Cons
The rotating bonus rewards program might be confusing to credit card newbies.
Its additional features are barebones outside the rewards and low fees, even for a student card.
Intro Offer: Unlimited Cashback Match - only from Discover. Discover will automatically match all the cash back you've earned at the end of your first year! So you could turn $50 cash back into $100. Or turn $100 into $200. There's no minimum spending or maximum rewards. Just a dollar-for-dollar match.
Earn 5% cash back on everyday purchases at different places each quarter like Amazon.com, grocery stores, restaurants, and gas stations, up to the quarterly maximum when you activate. Plus, earn unlimited 1% cash back on all other purchases - automatically.
No credit score required to apply.
Discover helps remove your personal information from select people-search websites. Activate by mobile app for free.
No annual fee and build your credit with responsible use.
0% intro APR on purchases for 6 months, then the standard variable purchase APR of 15.99% - 24.99% applies.
Our writers, editors and industry experts score
credit cards based on a variety of factors
including card features, bonus offers
and independent research. Credit card issuers have
no say or influence on how we rate cards.
Rewards rate
N/A
Intro offer
N/A
Annual fee
$0
Regular APR
28.49% (Variable)
Recommended credit
No Credit History
A FICO score/credit score is used to represent the creditworthiness of a person and may be one indicator to the credit type you are eligible for. However, credit score alone does not guarantee or imply approval for any financial product.
This card is a great option if you're looking to build credit with responsible use while minimizing the size of your security deposit. You can access a $200 credit limit with just a $49 deposit and you'll be automatically considered for a higher credit line in as few as six months with on-time monthly payments — one of the shortest credit line review periods available on a card available at this credit level.
The $49 minimum security deposit is one of the lowest available on a secured card and is especially valuable considering it still gets you a starting credit limit of $200.
Capital One reports your card usage to all three credit bureaus to help you build credit.
Cons
Its ongoing value is greatly limited compared to secured cards’ that earn rewards, and its interest rate is higher than that of several other cards in this category.
Low security deposits usually translate to low starting credit limits, which can hurt your credit utilization ratio.
No annual or hidden fees. See if you're approved in seconds
Building your credit? Using the Capital One Platinum Secured card responsibly could help
Put down a refundable security deposit starting at $49 to get a $200 initial credit line
You could earn back your security deposit as a statement credit when you use your card responsibly, like making payments on time
Be automatically considered for a higher credit line in as little as 6 months with no additional deposit needed
Enjoy peace of mind with $0 Fraud Liability so that you won't be responsible for unauthorized charges
Monitor your credit score with CreditWise from Capital One. It's free for everyone
Get access to your account 24 hours a day, 7 days a week with online banking to access your account from your desktop or smartphone, with Capital One's mobile app
Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply. Please visit americanexpress.com/benefitsguide for more details. Underwritten by Amex Assurance Company.
How we choose Bankrate's best credit cards
Bankrate currently has expert reviews for more than 200 credit cards, which are rated using a 5-star scoring system. The most important factors we use to determine which cards appear on this page include:
APRs
Affordable interest rates are essential to great credit card offers. If you ever need to carry over part of your balance from one month to another, which we advise against if at all possible, a lower APR should reduce the amount of interest you're charged.
Rewards programs
Top programs for earning cash back, points or miles offer generous rewards rates and flexible redemption options. Some reward programs also include discounts and online shopping portals.
Introductory 0% APR offers
A zero-percent APR offer — essentially a temporary reprieve from interest — could make it much less expensive to pay off a big purchase or a balance transfer. The best offers last anywhere from 12 months to 21 months before the regular APR applies.
Fees
A low ownership cost is another key element of the best credit cards. The total burden of fees should be low. If a card does charge an annual fee, it should also offer rewards and benefits that can help offset that cost.
User-focused value
Benefits geared toward providing cardholders ongoing value like annual credits, auto-pay options, credit-building tools, fraud protection, insurance and more help make a credit card worth keeping in your wallet.
Compare Bankrate’s best credit cards of 2022
Card name
Our pick for
Card highlights
Bankrate Score
Wells Fargo Active Cash Card
2% cash rewards
Unlimited 2% cash rewards on purchases Up to two $600 cellphone protection claims per year for eligible theft or damage (minus a $25 deductible)
5% cash back on activated rotating categories each quarter (on up to $1,500 in purchases, then 1%) Automatic Cashback Match™ for all rewards earned in the first year
8% cash back on Capital One Entertainment purchases 5% cash back on hotels and rental cars through Capital One Travel 3% cash back on dining, entertainment, select streaming services and grocery store purchases (excluding superstores like Walmart and Target) No annual fee
3X points on online grocery purchases (excluding Walmart, Target and wholesale clubs), dining (including eligible delivery services) and select streaming services 5X points on Chase Ultimate Rewards travel and Lyft Rides (Lyft offer through March 31, 2025) 2X points on other travel 25% point value boost toward Chase Ultimate Rewards travel redemption
18-month 0% intro APR on qualifying balance transfers (up to 21 months with on-time payments during the intro period) 18-month 0% intro APR on purchases (up to 21 months with on-time payments during the intro period) 16.74% to 28.74% variable APR afterward
0% intro APR on balance transfers for 18 months (intro 3%, balance transfer fee applies, up to 5% fee on future transfers)
5 percent cash back after activation on rotating categories each quarter (up to $1,500 in quarterly purchases, then 1 percent), 1 percent for all other purchases
21-month 0% intro APR on balance transfers (must be completed within four months of account opening) 12-month 0% intro APR on purchases 16.74% to 27.49% variable APR afterward
6% cash back at U.S. supermarkets (up to $6,000 per year in purchases, then 1%) 6% cash back on select U.S. streaming subscriptions 3% cash back on transit and at U.S. gas stations Up to $84 in streaming service statement credits each year in the form of monthly $7 credits after at least a $13.99 Disney Bundle subscription payment
10X miles on hotel and rental car bookings through Capital One Travel 5X miles on flights through Capital One Travel 2X miles on all other purchases $300 in annual statement credits for Capital One Travel purchases and 10,000 account anniversary bonus miles can offset the $395 annual fee
5X miles on hotels and rental cars through Capital One Travel 2X miles on all other purchases Flexible miles can be redeemed for statement credits toward eligible travel purchases within the last 90 days
$900 cash back after spending $6,000 on purchases in the first three months. 5% cash back at office supply stores, internet, cable and phone services (on the first $25,000 in combined purchases each year, then 1%) 2% cash back at gas stations and restaurants (on the first $25,000 in combined purchases each year, then 1%)
3X points on restaurant, supermarket, gas station hotel and air travel purchases Annual $100 hotel savings credit for a single hotel stay of at least $500 (excluding taxes and fees)
No annual fee Could be available with fair credit without a security deposit Considered for a credit limit increase after an account review starting after six months
2% cash back at gas stations and restaurants (on up to $1,000 in combined purchases per quarter, then 1%) Automatic Cashback Match™ for all rewards earned in the first year Low rates and fees for first-time cardholders, including no annual fee, foreign transaction fees, penalty APR or late fee on the first late payment (up to $41 after that)
5% cash back on activated rotating categories each quarter (on up to $1,500 in purchases, then 1%) Automatic Cashback Match™ for all rewards earned in the first year Low rates and fees for first-time cardholders, including no annual fee, foreign transaction fees, penalty APR or late fee on the first late payment (up to $41 after that)
A security deposit as low as $49 ($49, $99 or $200, based on creditworthiness) that provides at least a $200 credit limit Considered for a credit limit increase after an account review starting after six months No annual fee
A closer look at Bankrate’s best credit card offers
Wells Fargo Active Cash Card: Best for 2% cash rewards
What we love about the Wells Fargo Active Cash Card: Most cards that earn 2 percent cash rewards come with spending caps, tiered categories or redemption restrictions. The Wells Fargo Active Cash® Card offers unlimited cash back on purchases, and shores up its competitive edge with Wells Fargo’s traditional cellphone protection perk — as long as you pay your monthly cellphone bill with this card (limit of two up to $600 claims per year, minus a $25 deductible).
Who this card is good for: Someone who wants a simple rewards card that allows them to earn high-caliber cash rewards on their purchases without worrying about spending caps or redemption constraints.
Alternatives: While technically not a flat-rate cash back card, the Chase Freedom Unlimited® carries a minimum of 1.5 percent back on all purchases as well as a variety of other unlimited bonus cash back categories, offering a significant boost to its average cash back rate if you spend heavily on dining, drugstores and travel through Chase.
What we love about the Discover it Cash Back: One of Discover’s trademark features is its unique cash back match welcome offer. Discover will automatically match all the cash back you’ve earned at the end of your first year of card membership. Considering its high cash back rates on a variety of popular, rotating categories, this card should deliver plenty of value beyond the first year as well.
Who this card is good for: People who are willing to put in a little work to maximize their rewards. To make the most of the card’s rotating bonus categories, you’ll need to activate new categories each quarter and adjust your spending habits to match.
Alternatives: While the Discover it® Cash Back card offers low fees and predictable rotating bonus categories (categories are announced the year prior), the Chase Freedom Flex℠ offers two additional, year-round 3 percent back categories and superior benefits, including fantastic travel insurance and World Elite Mastercard perks. However, you’ll need to be on your toes since Chase only announces rotating categories a quarter ahead of time.
Chase Freedom Unlimited: Best for everyday purchases
What we love about the Chase Freedom Unlimited: This card offers exceptional value and flexibility. You’ll earn at least 1.5 percent cash back on every purchase — like a traditional flat-rate cash back card — in addition to an impressive 3 percent back on dining and drugstore purchases. Plus, your points could be worth 25 to 50 percent more if you pair this card with an Ultimate Rewards travel card and redeem for travel with Chase.
Who this card is good for: Someone looking for a standalone rewards card that covers a few key spending categories and earns a better-than-average base rewards rate on all other purchases. It’s an especially good fit if you think you’ll get a premium Ultimate Rewards travel or business card in the future.
Alternatives: The Capital One SavorOne Cash Rewards Credit Card is a terrific standalone alternative for everyday spending since it covers even more bonus categories. While you’ll only earn 1 percent on general purchases, you get 3 percent back on dining, grocery stores (excluding superstores), entertainment and select streaming services, plus 5 percent back on hotel and rental car bookings made through Capital One Travel. If you don’t have a dedicated grocery rewards card and would rather stick with a single card for most of your everyday purchases, the SavorOne is hard to beat.
Capital One SavorOne Cash Rewards Credit Card: Best for dining and entertainment
What we love about the Capital One SavorOne Cash Rewards Credit Card: On top of its comprehensive (and rare) entertainment bonus category, the card also earns rewards on popular streaming services. That’s not to mention its everyday bonus categories, which are among the most rewarding out there for a card with no annual fee and make the SavorOne one of the most versatile standalone rewards cards on the market.
Who this card is good for: Entertainment-seekers who want to turn their appreciation for food and fun into cash rewards.
Alternatives: If you’re a foodie seeking a standalone rewards card, you might want to consider the Chase Freedom Unlimited instead, especially if you already have a Chase travel card to pool rewards with. The Freedom Unlimited not only offers 3 percent back on dining, but also earns at least 1.5 percent cash back on all other purchases, making it a great option for everyday spending.
Chase Sapphire Preferred Card: Best starter travel card
What we love about the Chase Sapphire Preferred Card: You can enjoy valuable travel rewards, diverse bonus categories beyond travel, stellar travel protections and additional perks that easily justify the $95 annual fee. Plus, you can pool points across multiple Ultimate Rewards cards and redeem for 25 percent more value if you opt for travel through Chase, making this the perfect partner for a no-annual-fee Chase rewards card.
Who this card is good for: Occasional travelers who value flexibility and are looking for a low-cost way to earn travel rewards on everyday spending (especially foodies and fans of online grocery shopping).
Alternatives: If you’d rather avoid an annual fee — but still want a decent rewards rate and valuable miles — the Capital One VentureOne Rewards credit card is worth a look. The card carries a solid flat rewards rate (1.25X miles on all purchases), flexible redemption and even an intro APR on purchases that could help you chip away at expenses while saving on interest.
What we love about the Wells Fargo Reflect Card: Its chart-topping promotional interest offer (received by meeting the qualifying requirements) extends to both purchases and qualifying balance transfers. Even the 18-month base offer is lengthy for a zero-interest intro APR card (then 16.74 percent to 28.74 percent variable APR).
Who this card is good for: Someone looking for as much breathing room as possible as they pay off a transferred balance and new purchases.
Alternatives: Like the Wells Fargo Reflect Card, the BankAmericard® credit card is a no-frills zero-interest card. However, the BankAmericard is more streamlined since its 0 percent intro APR on purchases and eligible balance transfers lasts for 21 billing cycles upfront — with no extra steps required to receive the full offer (followed by a 14.99 percent to 24.99 percent variable APR).
Discover it® Balance Transfer: Best for balance transfers and cash back
What we love about the Discover it Balance Transfer: The versatility. This card can be an effective tool for repaying debt and a top rewards card that offers high rewards in rotating bonus categories.
Who this card is good for: This is a solid option if you need a generous amount of time to pay off debt as long as you can avoid racking up new debt. After the short intro-APR period on purchases, any purchases you make will accrue interest unless you pay your balance in full before the end of the next cycle. This includes your balance transfer debt.
Alternatives: The BankAmericard doesn’t offer rewards, but it has a longer intro APR offer for balance transfers and purchases, making it a better option if you need more time to pay off debt or upcoming purchases.
Citi Diamond Preferred Card: Best for balance transfers with excellent credit
What we love about the Citi Diamond Preferred Card: This card’s introductory balance transfer offer is one of the longest available on the market, and it’s a better time than ever to consider this card: This is one of the only balance transfer cards to offer a sign-up bonus. For a limited-time, you can earn a $150 statement credit if you spend $500 in the first three months. This bonus could help offset a significant part of the Diamond Preferred card’s relatively high 5 percent balance transfer fee ($5 minimum).
Who this card is good for: Good credit owners looking for an exceptionally long balance transfer offer or lengthy introductory APR.
Alternatives: If you’re looking for a card that will offer value even after your intro APR period ends, it may be worth choosing the Citi Double Cash Card instead, since it earns an excellent cash back rate on top of its competitive 18-month 0 percent intro balance transfer APR and 17.74 percent to 27.74 percent (variable) regular APR (balance transfers must be made within the first four months). If you’d rather get a longer intro APR period on purchases, the Wells Fargo Reflect card is a great option thanks to its up to 21 months* of 0 percent intro APR on both purchases and qualifying balance transfers from account opening (then 16.74 percent to 28.74 percent, variable).
*Intro APR extension for three months, for a total of up to 21 months, with on-time minimum payments during the intro period.
Blue Cash Preferred from American Express: Best for long-term value
What we love about the Blue Cash Preferred from American Express: If you’re looking for a card that will earn its keep long after its intro APR period comes to an end, it’s hard to go wrong with the Blue Cash Preferred thanks to its best-in-class rewards rate at U.S. supermarkets. Since groceries make up a huge portion of the average person’s budget, this card’s stellar cash back is easily worth the annual fee. Spending just $132 per month at U.S. supermarkets will earn you enough rewards to offset the ongoing $95 annual fee ($0 intro annual fee for the first year).
Who this card is good for: Families, home cooks and anyone who lists groceries as one of their biggest monthly expenses is sure to squeeze a ton of value out of the Blue Cash Preferred.
Alternatives: If you spend a lot on groceries but would rather avoid an annual fee, the Capital One SavorOne is a solid alternative to the Blue Cash Preferred. It charges no annual fee and carries a still-impressive rewards rate in an even wider range of everyday spending categories than the Blue Cash Preferred, including 3 percent back on dining, entertainment, popular streaming services and grocery store purchases (excluding superstores like Walmart® and Target®).
Capital One Quicksilver Cash Rewards Credit Card: Best starter rewards card
What we love about the Capital One Quicksilver Cash Rewards Credit Card: Although its 1.5 percent flat-rate cash back doesn’t stand apart from the crowd, this card’s well-rounded redemption options (including the option to automatically redeem rewards) and streamlined perks make it a fantastic first rewards card if you prefer a card you won’t have to micromanage. However, its 5 percent cash back rate on hotels and rental cars booked through Capital One Travel gives the Capital One Quicksilver Cash Rewards Credit Card a leg up for travelers.
Who this card is good for: People who prefer simple cash back rewards: no special categories or earning limits, just 1.5 percent cash back on every eligible purchase. The Quicksilver’s automatic cash back redemption option makes it even better for cardholders who value simplicity.
Alternatives: The Chase Freedom Unlimited is a tough competitor of the Quicksilver with its additional bonus cash back categories on dining and drugstore purchases. However, if being able to earn rewards at the same rate on all purchases makes the Quicksilver especially appealing, consider potentially higher-earning flat-rate cards like the Wells Fargo Active Cash or Citi® Double Cash Card.
Wells Fargo Autograph Card: Best for gas and transit
What we love about the Wells Fargo Autograph Card: Few travel-centric cards offer such a lucrative range of bonus categories while charging no annual fee. You’ll earn rewards in nearly all major everyday spending categories, including gas stations, transit, restaurants, general travel and more.
Who this card is good for: Commuters, families on the go and anyone looking for a solid no-annual-fee travel card should get great value out of the Wells Fargo Autograph Card thanks to its high rewards rate in several everyday travel categories.
Alternatives: While the Autograph card covers a ton of popular spending categories, it’s missing arguably the most important everyday bonus category: groceries. If you spend more on staples like groceries and gas than extras like dining out and air travel, the Blue Cash Everyday® Card from American Express Card is a solid alternative. It also charges no annual fee and earns 3 percent back at U.S. supermarkets, U.S. gas stations and U.S. online retail purchases on your first $6,000 in spending per calendar year in each category (then 1 percent).
Capital One Venture X Rewards Credit Card: Best for no-frills benefits
What we love about the Capital One Venture X Rewards Credit Card: This card sets the stage for a middle-ground option in the luxury travel space with its $395 annual fee and alluring travel benefits, including excellent airport lounge access and yearly travel credits and bonus miles.
Who this card is good for: Frequent travelers with a taste for premium perks without the highest of premium costs. The Venture X is built for cardholders who want better rewards and benefits than a $100-tier premium travel card carries, but can’t justify paying a $500-plus annual fee for an elite travel card stuffed with features they won’t use.
Alternatives: Occasional travelers that aren’t concerned with premium travel perks may get more value with the Capital One Venture card, which carries a much lower $95 annual fee.
Capital One Venture Rewards Credit Card: Best for flexible redemption options
What we love about the Capital One Venture Rewards Credit Card: You get a lot of flexibility when it comes to redeeming your miles. Options that bring the highest value are booking travel through Capital One, redeeming miles as statement credits for past travel expenses and transferring miles to any of Capital One’s 15+ travel partners.
Who this card is good for: Frequent and occasional travelers who want an easy way to earn rewards and multiple options for using them.
Alternatives: If you opt for the Chase Sapphire Preferred® Card, your points could be worth more than Capital One miles when redeemed through the Chase Ultimate Rewards portal. You may also want to consider the Capital One Venture X Rewards Credit Card instead of the Capital One Venture Rewards Credit Card. Despite its $395 annual fee, it may be a better deal overall since you can offset its cost easily via its yearly perks, instead of relying on the rewards you’d earn via card spending.
Ink Business Premier℠ Credit Card: Best for large business expenses
What we love about the Ink Business Premier card: The card’s 2.5 percent cash back on purchases of $5,000 or more is one of the highest flat rates you’ll find on any type of rewards card. Small-business owners with a variety of travel expenses can also take advantage of the broad mix of travel options that earn high bonus rewards when purchased through Chase Ultimate Rewards.
Who this card is good for: Small businesses that can take advantage of the card’s boosted rate for purchases of $5,000 or more.
Alternatives: The Capital One Spark Cash Plus has a smaller annual fee and also offers a nice flat rate on all purchases, without spending caps. Plus, the annual $200 bonus each year after spending $200,000 could be a better fit for small businesses with large budgets but no expenses of $5,000 or more.
Ink Business Cash Credit Card: Best business sign-up bonus
What we love about the Ink Business Cash Credit Card: Along with its stellar sign-up bonus and practical bonus categories, this card could offer terrific long-term value for frequent travelers: You can pair the Ink Business Cash card with one of the Chase Sapphire travel cards or the Ink Business Preferred® Credit Card and squeeze 25 to 50 percent more value out of your points when you redeem for travel through Chase.
Who this card is good for: Small-business owners who spend heavily on office supplies and internet, cable and phone services — especially frequent travelers who plan to pair the Ink Business Cash with a higher-tier Ultimate Rewards card.
Alternatives: If you’d rather not juggle multiple cards to ensure you’re earning bonus rewards on all of your business spending, you may prefer the simplicity that comes with a flat-rate rewards card like the Ink Business Unlimited card. That card carries the same sign-up bonus and Ultimate Rewards potential as the Ink Business Cash, but earns a consistent 1.5 percent back on all your purchases, regardless of which category they fall into.
What we love about the Citi Custom Cash Card: The cash back program adjusts to your spending habits in the top eligible category each billing cycle so you’ll earn the highest rate where you’ve spent the most. The 10 potential bonus categories include expenses that are often overlooked — like fitness clubs or live entertainment — and the card carries some of the highest year-round rewards rates available in these categories without paying an annual fee.
Who this card is good for: Someone who wants the high rewards rate of a bonus cash back card without activating or choosing categories in advance. Those looking for a second rewards card to focus on particular expenses will love the Custom Cash as well, thanks to its especially flexible rewards program.
Alternatives: The Chase Freedom Flex is an excellent alternative as it provides top-notch rewards earning potential and category diversity, as well as its ability to pool rewards with Chase’s premium cards and redeem them for a higher value toward travel purchases.
Citi Premier Card: Best for travel rewards on everyday purchases
What we love about the Citi Premier Card: There are plenty of reward redemption options and bonus categories to suit both frequent and occasional travelers. Even occasional hotel guests can offset the card’s annual fee with its yearly $100 hotel savings benefit (on a hotel stay of $500 or more).
Who this card is good for: People who mainly use their card for everyday purchases instead of travel and want to redeem points on future trips (while having the option of redeeming for cash back at full value if they need to).
Alternatives: The Chase Sapphire Preferred card is one of the most valuable options at the $95-annual-fee price range for those who travel a bit more often, thanks to its impressive annual perks, stellar travel protections and boosted point value when you redeem for travel through Chase Ultimate Rewards.
Capital One Platinum Credit Card: Best for upgrading
What we love about the Capital One Platinum Credit Card: This card does not charge an annual fee and it’s possible for people with a FICO credit score as low as 580 to be approved. Another selling point of the Capital One Platinum is its short automatic account review period. Starting after six months, Capital One will review your account for positive credit practices to potentially increase your credit limit — perhaps the shortest review period available.
Who this card is good for: People with fair credit looking for a card with no annual fee and no security deposit that will help them build credit with responsible use.
Alternatives: If you’re willing to pay a $39 annual fee, the Capital One QuicksilverOne Cash Rewards Credit Card is a similar card that offers a rewards program in the form of 1.5 percent cash back on purchases.
Discover it Secured Credit Card: Best for credit-building with cash back
What we love about the Discover it Secured Credit Card: Most secured cards offer next to nothing in terms of rewards and perks, but this card comes with a generous cash back program, a unique and valuable welcome offer and more forgiving terms than the typical credit-building card. This makes it a great starting point for credit newbies of all stripes.
Who this card is good for: Anyone looking for a chance to build positive credit history through responsible card use can benefit from this card, but credit-builders who spend frequently on dining and gas or want to upgrade to an unsecured Discover rewards card one day will be the perfect fit.
Alternatives: If you’re willing to give up rewards in exchange for a lower starting deposit requirement, the Capital One Platinum Secured Credit Card is a great alternative. You’ll only need to put down $49 as a deposit, but you’ll still get access to a $200 minimum credit limit. This card also gives you a chance to increase your credit limit after just six months of responsible use and you may be able to upgrade to an unsecured Capital One card down the line.
Discover it Student Cash Back: Best for cash back with no credit history
What we love about the Discover it Student Cash Back: Most cash back cards with this earning potential require a good to excellent credit score, so it stands out as an especially lucrative student card. Discover’s top-tier customer service, Cashback Match welcome offer and generously low rates and fees grant students peace of mind and top-notch value.
Who this card is good for: College students interested in building a credit history and earning as they learn about rotating bonus categories.
Alternatives: Budget-conscious students will love the Capital One SavorOne Student Cash Rewards Card’s unlimited 3 percent cash back on student-centric categories (dining, entertainment and popular streaming services) and more straightforward rewards program. Fans of concerts and live entertainment can also rake in rewards with this card’s 8 percent back on Capital One Entertainment.
Capital One Platinum Secured Credit Card: Best credit limit policy
What we love about the Capital One Platinum Secured Credit Card: Not many secured cards come with no annual fee and security deposit requirements as low as $49. Plus, Capital One will review your account for a potential credit limit increase after six months.
Who this card is good for: People with fair credit or lower (a 669 FICO Score or below, or a 600 VantageScore or below) — or no credit history at all — who would rather put down a small security deposit and work on their credit with few distractions.
Alternatives: The Discover it® Secured Credit Card may be a better option for some credit-builders looking for perks since it earns rewards on purchases and offers the opportunity to qualify for an introductory rate on balance transfers for six months (25.99 percent variable APR thereafter).
A credit card, usually a plastic or metal card, is a financial product similar to a personal line of credit that lets you make purchases now, but pay for them later. When you’re approved for a credit card, you get a credit limit that determines the maximum dollar amount you can charge to your card. As you make purchases, your available credit decreases. When you pay your bill, your available credit increases.
With a credit card, you can carry a balance from month to month, meaning you can make a partial or minimum payment rather than paying your balance in full. The downside to carrying a balance is facing potential interest charges determined by your credit card’s APR, or annual percentage rate. Your credit card’s APR is effectively the cost of borrowing money. Remember, credit card interest is relevant only if you carry credit card debt from month to month, and it’s best to pay your balance on time and in full whenever possible.
Important credit card terms
Your understanding of certain credit card terms is essential when choosing a credit card. The terms and phrases listed below should be top of mind when you begin shopping:
Interest rate: Interest is the fee a card issuer charges for extending a line of credit. Your interest rates will determine how much your card issuer charges you for carrying a credit card balance from month to month. Rates are influenced by your credit score.
Annual Percentage Rate (APR): In the world of credit cards, your interest rate and your APR are interchangeable. Your credit card’s annual percentage rate is the interest you’re charged for carrying a balance on the credit card in a billing cycle.
Credit limit: This is your credit card’s spending limit and will vary based on your credit score. You’ll likely have different credit limits for different transactions. For example, your cash advance limit (if your credit card offers cash advances) will be lower than your credit limit for purchases.
Credit card balance: Your credit card’s statement balance is the amount owed at the end of a billing cycle. This amount will include all unpaid transactions made on your credit card and any unpaid fees.
Credit card issuer: Often confused with credit card networks — like Visa or Mastercard that facilitate transactions between merchants and card issuers — credit card issuers provide credit cards directly to consumers. Cardholders can receive credit cards from financial institutions like credit unions or banks.
Bankrate insight
The impact of the Federal Reserve’s action to hike rates will continue to impact credit card holders, and you should be prepared to see your variable card rates rise until inflation slows. As any increase can be unwelcome for borrowers with revolving debt, it’s important to look for opportunities to get out of the cycle, like finding a zero-interest balance transfer credit card.
How does credit card interest work?
Now that we’ve covered the basics, let’s dive into what makes many applicants reluctant to get a credit card: credit card interest. The main type of interest charge that can come with credit cards is typically referred to as your purchase APR.
Because you’re technically borrowing money each time you make a purchase with your card, your lender will charge you interest (your purchase APR) if you haven’t paid off your statement balance in full by the card’s payment due date.
The interest you owe on your current balance compounds daily, which is why it’s so important to pay off your balance in full and on time. Don’t be confused by the “minimum payment” you may see on your billing statement — that tells you how much you’ll need to pay to avoid a late payment fee, but it won’t help you avoid interest. The only way to avoid interest is to pay off your statement balance each billing cycle.
Breaking down credit card interest
The APR you’ll be charged is usually variable, which means it can change based on a few factors. It’s determined based on the possible APR range in your card’s terms (15.99 percent to 26.99 percent, for example), your credit score (which determines the rate you’re assigned on approval), and the prime rate set by the Federal Reserve.
Credit card interest works by essentially charging a daily interest rate (your purchase APR divided by 365) to your unpaid balance and multiplying the result by each day of the billing cycle. For example, if you miss your payment due date for a 30-day billing cycle and revolve a $1,000 balance at 17.99 percent APR (approximately 0.00049 percent per day), you’ll owe about $14.70 in interest.
Although they may seem intimidating at first glance, most credit card rewards programs are relatively simple. Credit cards typically earn one of three types of rewards on each purchase: cash back, travel miles or points.
Cash back is the simplest form of rewards: You earn cash back as a percentage of your purchase’s dollar amount. For example, if your card earns 3 percent cash back in a certain spending category, spending $100 in that category would net you $3 in cash back. You can typically redeem cash back as a statement credit (a credit to your account that lowers the amount you owe), deposit to your bank account or gift card.
Credit card points and miles largely work the same way, except when it comes to your redemption options. If a card earns 3X points or miles on a certain purchase, spending $100 would net you 300 points or miles. However, the value of your rewards will vary based on how you use them. Miles are generally best used to book travel (typically airfare) while points may offer more flexibility to redeem for different types of travel and cash back (Citi’s ThankYou Points and Chase’s Ultimate Rewards points, for instance).
Breaking down credit card points and miles
Many issuers and cards earn their own type of points or miles with their respective restrictions, redemption options and rewards values. Be sure to carefully read how to redeem your points or miles so that you can maximize your rewards’ value since all redemption options aren’t created equal. For instance, American Express Membership Rewards points and other issuers’ rewards may lose value if you use them for anything other than airfare. Utilizing the right transfer travel partner through your issuer is a common way to stretch more value from your rewards, but this option might not be available if your card is designed for a specific hotel or airline brand.
It’s also important to be aware of your rewards’ fine print when it comes to whether they can expire or be pooled with other cards from the same issuer. Luckily, cash back, points and miles from general-purpose cards usually won’t expire for the life of your account. However, co-branded cards’ rewards are more likely to expire if you haven’t used your card for 12 to 24 months.
Many issuers also allow you to pool rewards across cards that earn the same type of rewards. This can lead to credit card pairing strategies that increase your rewards’ value. For instance, you can pool rewards across Chase’s Ultimate Rewards cards (including its no-annual-fee rewards cards) and redeem for Chase travel at a higher point value with a card like the Chase Sapphire Preferred.
Pros and cons of credit cards
Credit cards can be a great way to manage your money and make sure you pay your bills on time — but the problem is that they’re also very easy to use. Because of this, you should be aware of some of the benefits and drawbacks of owning a credit card.
Pros
You can earn rewards and get perks. Rewards card programs and perks like bonus statement credits can help you save money on travel, dining and other big expenses.
You can build your credit score. Using a credit card responsibly is one of the best ways to establish and improve your credit score. Issuers report your payments and card use to the three credit bureaus, so paying on time and keeping balances low can boost your credit score over time.
You can have financial flexibility. With a credit card, you don’t have to carry around cash or worry about having enough money on hand for purchases. This can help make your daily purchases more affordable and even help pay for vacations or other big expenses later on down the road.
Cons
You could face high interest rates. Credit card interest rates are higher than other types of loans or credit accounts (such as mortgages). This means your payments will be higher if you don’t pay off your balance each month.
You could get into debt. If you don’t pay off your balance, then this will affect your credit score and may make it harder for you to get loans in the future (although this depends on whether your card provider reports your payment history to credit reference agencies).
Your credit score can drop with irresponsible use. If you’re not confident you’ll spend within your means or routinely pay your credit card bills on time and in full, consider whether credit cards are worth the risk. Improper card use could damage your credit profile and lead to higher loan interest rates and insurance premiums or trouble getting a job or finding housing.
Why use a credit card?
A credit card can be safer and more rewarding than a debit card or cash if you manage it wisely. Along with building credit and earning rewards, you can use a credit card to:
Avoid fraud liability. If your debit card is used without your permission, the money is deducted from your account right away and can be difficult to get back. By contrast, if your credit card is used for fraudulent activity you’re liable for no more than $50 — $0 if your card is reported lost or stolen before any charges are made.
Resolve consumer issues. Credit cards offer protection when you pay for goods or services. For example, if you hire a contractor to do renovations, but major issues in the final product arise after you’ve paid, you can dispute the charges on your credit card and your issuer can withhold the funds. You often have little recourse in these situations if you pay with a debit card, cash or check. Many cards also protect your purchases and travel spending with features like purchase protection, extended warranty coverage, cellphone protection and travel insurance.
Consolidate debt and pause interest. Many credit cards offer a 0 percent intro APR on purchases and/or balance transfers, which can be helpful if you need a break from accumulating interest for 12 to 21 months. A card with an intro APR on balance transfers can give you time to pay off a balance you’ve consolidated from other cards or personal loans (depending on the issuer). Meanwhile, a card with an intro APR on purchases would be handy if you need time to pay off upcoming purchases.
Help others establish credit. If you have a good credit score and have children or loved ones who need help building or rebuilding their credit score, you can add them as authorized users on your credit card. Not only will they be able to build credit without going through the hassle of a secured card or student card, but their spending may also earn you rewards. However, it’s important to consider that irresponsible authorized users can affect your credit, and some issuers charge an additional fee for these users.
Different types of credit cards
Credit card issuers offer different types of credit cards to meet a variety of consumer needs. For example, some cardholders don’t see the appeal of a premium travel card or won’t use the card enough to justify its annual fee, while others may primarily use their card while traveling abroad. The former type of cardholder would likely benefit from a no-annual-fee card, while the latter would benefit from a no-foreign-transaction-fee card.
But there’s no such thing as a one-size-fits-all credit card, and the sheer number of options can make it difficult to choose a credit card that’s best for your unique situation. That’s why it’s good to consider which card best matches your spending habits.
Here are the major credit card types and the ideal cardholder they’re suited for:
Rewards credit cards typically fall into two main categories: travel cards and cash back cards. Cash back cards earn back a percentage of your spending, while travel cards earn points or miles you can redeem for travel, merchandise, statement credits or more, depending on the card. Some rewards cards are also designed for earning or redeeming rewards in particular categories. For example, co-branded airline or hotel cards may be designed primarily for earning or redeeming rewards on flights or hotel bookings.
Cash back cards
You can earn cash back on everyday purchases and more with a cash back credit card. While some cards earn a fixed percentage back on every eligible purchase, others offer tiered categories with higher rates in specific spending categories like:
Deal hunters and seasonal shoppers whose spending habits vary over the course of the year might benefit from a rotating category card. This type of card earns bonus cash back in many different categories, with your options typically changing every three months.
Cash back cards are a good fit for:
Household shoppers — Budget-minded spenders who spend mostly on groceries, gas, dining and other everyday categories may get the best value from cash back cards.
Simplicity seekers — If you prefer streamlined redemption, minimal annual fees and just one or two cards you can use for all spending, then cash back cards are a good bet.
Staycation-ers and infrequent travelers — Cash back cards may offer the best rewards potential if you don’t plan on earning rewards toward future trips.
Travel cards
If you want to earn miles and points to help offset the cost of travel, a travel rewards card should probably be at the top of your list.
Along with earning rewards on your spending, travel credit cards also tend to feature perks and benefits specifically designed to make the journey easier and more affordable, including:
Access to private airport lounges
Free hotel upgrades
Travel credits toward expenses like airfare, hotel stays and airport screening services
Many general travel cards earn rewards on airfare, hotels and other expenses, no matter how you fly or where you stay, while co-branded cards are geared toward travelers who frequently book with particular airlines or hotel chains.
Travel cards are a good fit for:
Flexibility-focused travelers — If you care more about earning and redeeming rewards than traveling in style and want to choose whichever airline or hotel offers the best deal, you’ll likely prefer a general-purpose travel card.
Road warriors — Road trippers and weekend adventurers could save on accommodations and future trips thanks to several travel cards’ lodging, dining, entertainment and rental car rewards.
Savvy shoppers — Some travel card points are more valuable than cash back. Strategic spenders looking to maximize reward value on each dollar spent will likely find travel cards’ broad category coverage, pairing opportunities and transfer partners help them squeeze the most mileage from their rewards.
Airline cards
Frequent flyers will certainly find an airline credit card useful, especially if they’re looking for a smoother airport experience and in-flight savings. General travel cards may offer complimentary or discounted airport lounge access and credits toward expedited security services — like Global Entry, TSA PreCheck or CLEAR — but airline cards go a step further.
For example, airline cards typically provide a discount on in-flight purchases (like food, beverages and Wi-Fi), priority boarding and free checked baggage. Higher-tier airline cards may also provide an easier path to elite loyalty status or brand-specific lounge perks.
On the other hand, it’s important to consider how much an airline card would restrict your rewards and benefits to a certain brand. If you prioritize the destination over the journey and don’t mind which airline carrier gets you there, then a general travel card’s flexibility may be a better fit.
Airline cards are a good fit for:
Loyal jet-setters — Naturally, an airline card would be a rewarding pick if you prefer to fly with a specific carrier.
Travel card strategists — If you don’t mind holding multiple cards to maximize your travel rewards, a co-branded airline card may be worthwhile.
Hotel cards
You may benefit most from a hotel credit card if you’re a regular guest with a specific brand’s properties. Along with earning more points on reservations and other on-property purchases at the hotel, you can typically squeeze value from the card’s hotel-oriented perks — which sometimes deliver even more value than the card’s rewards.
These features can include complimentary free nights, annual credits for hotel purchases or stays, room upgrades, automatic elite status or privileges like flexible check-in and free Wi-Fi.
However, perks of this caliber mean that hotel cards often carry an annual fee. Because these co-branded cards’ reward redemptions and benefits are usually limited to certain hotel chains and don’t translate to other forms of travel like general-purpose travel cards’ features would, it’s important to weigh whether you stay with certain brands often enough to reap full value from a premium hotel card.
Hotel cards are a good fit for:
Loyal guests — Similar to airline cards, co-branded hotel cards could be especially valuable if you often stay with a particular chain.
Weekend warriors — Cardholders that regularly go on weekend trips and already have their stay in mind could benefit from a hotel card.
Two types of credit card features specifically address debt and interest: balance transfers and introductory zero-interest offers on purchases.
You can use a balance transfer credit card to move debt from an existing credit account to the new card and, ideally, pay off the transferred debt at a lower interest rate. The best credit cards for balance transfers offer an introductory period of 0 percent APR that lets you temporarily avoid paying any interest. This makes it easier to pay off debt since more of your payment is going toward your principal balance, not interest charges.
Cards with zero-interest introductory periods on purchases also provide a temporary window of 0 percent APR, making them useful for large purchases that would be difficult to pay off in a single billing cycle. Once the intro period ends, however, the APR will change to the card’s regular variable range.
0% APR and balance transfer cards are a good fit for:
Debt-settlers — If you have a snowballing balance you can’t seem to shake, a balance transfer card may give you enough breathing room to finally pay off your revolving debt.
Balance managers — If you’re having a hard time tracking interest charges across multiple cards, you can use a zero-interest card to consolidate your balances onto one card while also avoiding interest.
Big purchase planners — If you have large expenses around the corner, you can use a card with a strong 0 percent intro APR on purchases to keep interest at bay as you chip away at the cost.
Learn more: According to industry expert Ted Rossman, balance transfer offers have gotten even more generous in recent months, despite the Federal Reserve’s series of interest rate hikes. Read the full story on how balance transfer competition is heating up and learn how to take advantage of these offers.
Another possible option is a low-interest credit card that has a lower-than-average ongoing APR. Cards with lower interest rates are helpful for cardholders who anticipate needing to carry a balance.
Keep in mind that interest rates are much higher than rewards rates, so any rewards you earn can be eclipsed by interest charges if you carry a balance. For instance, if you’ve worked all year to stockpile $100 worth of bonus points, carrying a $600 balance once on a card with a 17 percent APR will essentially eat through all of your hard-earned rewards.
Low-interest cards are a good fit for:
First-time cardholders — If you’re new to credit, a low-interest card is handy in case you miss a payment date while getting the hang of your credit card.
Emergency expense planners — If you think there’s a chance you may need to carry a balance once in a while, a low-interest card can minimize the impact.
Business credit cards can benefit people who own or operate small businesses in a number of ways.
With a cash back card for business, you can earn a flat percentage on general purchases or a higher rate on specialty categories such as office supplies. A business travel card that earns miles or points can also help you reduce your costs for airfare, hotel stays and transit.
Like travel cards, many business rewards cards also offer specialized features and benefits, including higher credit limits than consumer cards, tools to help you manage expenses, free cards for employees and business-related rewards categories, such as shipping, advertising or office supply store purchases
Business cards are a good fit for:
Small-business owners — Naturally, small-business owners can take leverage a business card’s unique advantages, including additional employee cards, expense tracking and business-oriented bonus categories not found on personal cards. If you have a startup, a low-interest business card can also help you take on its costs and build your business’ credit score.
Side hustlers — Even if you have a small online store, dog walking or ridesharing side business, you can use a business card to earn rewards, access expense management tools and keep your business spending separate from your personal spending.
Business travelers — Many of the top-tier business cards hone in on travel perks and rewards, and frequent travelers can put these cards’ features to good use. These can include airport lounge access, expedited security screening service discounts and annual travel credits.
A young adult can get a head-start on life’s financial journey with a student credit card, which is typically more desirable than other credit-building cards. The best credit cards for students are typically unsecured (no security deposit required) and offer better rewards rates, lower fees and features tailored to students’ financial needs, including:
Relaxed credit requirements — You might not need a good or excellent credit score (or even a credit history at all) to qualify for a student card. In fact, some cards for international students don’t even require a Social Security number.
Student-oriented benefits — Some student cards offer perks that are especially useful if you’re in college, like statement credits for Amazon Prime Student, streaming services or other common subscriptions.
More lenient fees — For students who don’t have a high income or much credit experience, a card with minimal fees can provide some peace of mind. Annual fees, foreign transaction fees and penalty APRs are less common among student cards, and some issuers even waive your first late payment fee.
Student cards are a good fit for:
Students — Unlike secured cards and other credit-building options for people with limited credit, student credit cards are only available to students. Student cards’ lenient rates and fees, $0 deposit requirement, student-oriented perks and rewards make them perhaps the best cards available if you want to build credit history.
Used responsibly, the right cards can help you establish a credit history and improve your credit score, all while providing a convenient and secure method of payment. Many issuers offer credit cards for people who have less-than-perfect credit scores or no credit history at all.
Secured cards
A secured credit card is the most accessible credit card option available if you have a “bad” to “fair” credit score (typically a FICO score of 669 or lower, or a VantageScore of 660 or lower). If you don’t have a credit history, limited credit, or a bad credit score, then a secured card will probably provide you with the best rates and features.
In exchange for a refundable security deposit (typically starting at $200, which you’ll get back after you upgrade or close your card account), issuers provide you a matching credit limit that allows you to work on building credit. Since you can essentially set your own credit limit based on your security deposit, putting down a large deposit on a secured card can make it much easier to keep your credit utilization ratio — a key credit scoring factor — in check.
There are a few credit cards designed for limited credit that don’t require a security deposit, but non-students may find that secured cards generally offer stronger perks. In fact, several issuers provide secured cards with rewards rates identical to their full-fledged counterparts, such as the Bank of America® Customized Cash Rewards Secured Credit Card* or Discover it Secured card.
Secured cards are a good fit for:
Credit-builders with bad credit or no credit history — If you have money for a security deposit, a secured card could be the most cost-effective, rewarding and expedient card option to build or repair your credit.
*The information about the Bank of America® Customized Cash Rewards Secured Credit Card has been collected independently by Bankrate.com. The card details have not been reviewed or approved by the card issuer.
Unsecured cards for fair credit or bad credit
If you don’t have the flexibility to tie up a large security deposit for several months, unsecured credit cards for bad credit are another means of building credit. The quality of these cards will be a bit higher if you can comfortably apply for a credit card with fair credit, but it’s important to carefully read each card’s terms and conditions.
That’s because unsecured credit-building cards tend to charge much higher rates and fees, with some of these cards’ terms being borderline predatory. Decent unsecured cards designed for subprime credit do exist, but a secured card may be a more cost-effective option in the long-run if you’re building credit.
Unsecured cards for bad or fair credit are a good fit for:
Credit-builders avoiding a security deposit — Unsecured cards available with limited credit are a bit harder to find, and the rates and fees may be steeper than rival secured cards’ terms, but they’re an option if you don’t have the liquidity for a security deposit.
Credit-builders with fair credit — Since you’ll be seen as a lower risk than someone with bad credit, having fair credit can get you access to unsecured credit-building cards that are a bit more rewarding than secured alternatives.
Still unsure which credit card is right for you? Check out our Credit Card Spender Type Tool, which offers personalized credit card recommendations based on your credit score and spending habits.
How to choose a credit card
Choosing the best credit card all comes down to which card is going to provide you with the most value. That answer will change based on your financial situation, spending habits and more. Think about these questions when a credit card offer catches your eye:
What’s your credit score?
The better your credit score, the better your chance of qualifying for a credit card with excellent perks and terms. You can review your credit report by requesting a free copy from AnnualCreditReport.com and check your credit scores for free through your issuer or a credit bureau. If your credit score isn’t where you’d like it to be, work on improving your credit.
Do you plan to carry a balance?
It’s best to pay your balance in full each month so you avoid paying interest, but a low-interest credit card may be wise if you expect to carry a balance from time to time. Low-interest cards tout APRs that are lower than the average credit card interest rate, which is currently around 19 percent.
Are you looking to pay off debt or a large purchase?
If so, you’ll probably want to consider a 0 percent introductory APR credit card, which can help you avoid interest on purchases and/or balance transfers, typically for 12 to 21 months. However, cards with long intro APR periods often lack rewards and long-term value. Depending on how much time you need to pay off your balance, a no-annual-fee rewards card with a shorter intro APR may be a better choice long term.
What are your spending habits?
If your spending is concentrated in a certain area, look for a card that earns rewards at a high rate in that category. For example, if you spend a lot on groceries, look for a credit card that offers bonus points or cash back at grocery stores. Alternatively, consider a card that offers miles if you travel frequently. If you don’t spend a lot in one particular category, consider a card that earns rewards at a flat rate on all purchases.
Can you earn a sign-up bonus?
Many credit cards carry a sign-up bonus for new cardholders. The typical sign-up bonus offers cash back, points or miles after you spend a certain amount of money within a specified timeframe, usually within your first three months as a cardholder.
Still unsure which credit card is right for you? Check out our Credit Card Spender Type Tool, which offers personalized credit card recommendations based on your credit score and spending habits.
How to get a credit card in 4 steps
Once you’ve decided which credit card is best suited for your needs, it’s finally time to apply for your new card. You’ll have the best approval odds if you pursue a card that welcomes applicants with your credit score or if you’ve received a prequalified card offer.
Before you start filling out applications, find out your current credit score. Knowing your credit score will give you a better idea of:
The cards you’re most likely to qualify for. On Bankrate, each card offered by our partners lists a recommended credit score you can use as a guide.
The APR you might be offered. The higher your credit score, the more likely you are to get a lower APR.
You can check your credit score through any of the major credit bureaus, the Fair Isaac Corporation (FICO) or possibly through your bank. Based on the FICO scoring model, a good-to-excellent credit score will fall in the range of 670 to 850 (or 661 to 850 on the VantageScore model). If you find that your credit score isn’t where you’d like it to be, you can work to increase your credit score and improve your chances for qualification.
2. Look for personalized or prequalified offers
With a prequalified credit card offer, you can get an idea of your approval odds without submitting an application that will trigger a hard credit inquiry. Hard credit inquiries temporarily decrease your credit score and stay on your report for two years. Prequalification processes usually involve a soft credit check, so they could help you avoid minor, short-term dings to your credit score as you shop for the right card.
One way to find and compare offers is by using tools like CardMatch™. CardMatch only requires a soft credit pull and lists cards that match your credit profile. Based on your information, you may also receive special offers and prequalified matches. However, it’s important to be aware that a prequalified match is still not a guarantee of approval.
3. Fill out your application
You can apply for a card online via the issuer’s website, in person at an issuer branch, over the phone or by mail.
Before you begin filling out the application, you’ll need to have the following information on hand:
Full name
Date of birth
Address
Income
Social Security number
The issuer may also ask follow-up questions about your employment, housing situation or any additional assets and income.
4. Wait for a response from the credit card issuer
Your application can take as little as one minute to process, but you won’t always know whether your application was approved immediately. Getting a decision can take a few days or weeks, but issuers are required to inform you whether your application was approved or denied within 30 days of your application.
If you’ve been approved, you’ll typically get your card in the mail within 10 business days. Some issuers also provide a virtual credit card number upon approval that you can use before your physical card arrives.
How to make the most of your credit card
Your credit card can be a major help or a hindrance to your financial health, depending on how you use it. Getting the most out of your card will require a bit of strategy and planning. To make the most of your credit card, follow a few guidelines:
Pay your bills on time: Late payments have a very negative impact on your credit score and making your card payments on time each month is one of the most important things you can do to build your credit score over time.
Pay your balance in full: Avoid charging more on your credit card than you can pay back at the end of your billing cycle. This will help you avoid interest charges and can help you boost your credit score by keeping your credit utilization ratio low.
Leverage your rewards: Study your rewards program’s terms so you can prioritize stores that fit your bonus categories and the most valuable redemption options. Learning your card’s merchant category codes (MCCs) and transfer partners (if you have a travel card) can also help you rake in extra rewards value from unexpected places.
Use your card’s perks: To get the most value out of your card, be sure to take advantage of your card’s benefits — especially if your card has an annual fee.
Know your credit card’s drawbacks: Understanding your card’s disadvantages — such as foreign transaction fees or limits on earning and redeeming rewards — can help you tweak your spending habits and card strategy to avoid losing rewards value.
Avoiding credit card pitfalls
There are plenty of advantages to using a credit card. You can improve your credit score with proper use over time, earn lucrative rewards and protect yourself from fraud. There are also important drawbacks to be aware of when obtaining a credit card. Some potential pitfalls to avoid include:
Damaging your credit: Your credit card issuer reports your payments activity and credit card balances to the three credit bureaus each month. While keeping your credit utilization low and making on-time payments consistently can help improve your credit score over time, doing the opposite will certainly harm your credit score.
Incurring debt: If you spend more on your credit card than you can afford to pay before the end of each billing cycle, you will incur debt. Interest rates on credit cards can be expensive, and if you consistently carry large balances on your credit card interest payments can pile on fast. If you do happen to accrue credit card debt there are strategies you can use to get your debt under control.
Introductory bonuses: Some credit cards offer lucrative sign-up bonuses to new cardmembers in the form of points, miles or cash back when the new member meets a certain spending requirement in a specific period. While designed to encourage spending, it’s important to be wary that it may not be as valuable and could leave you with more debt.
Fees: Even the best credit cards often come with a variety of fees such as balance transfer fees, annual fees, late fees and more. You can avoid many of these fees with responsible and strategic credit card use. For example there are many cards that allow cardholders to skip annual fees.
Credit card companies: Credit card issuers and credit card networks
When you’re searching for the perfect credit card, the laundry list of credit card companies can be intimidating to sort through. When every credit card network and issuer has its own advantages and disadvantages, it’s important to understand the differences between each brand.
Credit card issuers
Credit card companies can be distinguished as either “credit card issuers” or “credit card networks.” Credit card issuers — such as Chase and Capital One — are the companies that give you your line of credit, accept credit card bill payments and determine card features like reward programs, sign-up bonuses and annual fees. When you apply for a credit card, you’re applying to the credit card issuer.
Credit card network
Meanwhile, credit card networks — such as Visa and Mastercard — facilitate transactions between merchants and issuers. In other words, your credit card network determines where your card is accepted as payment. Card networks may also provide their own perks separate from the issuer’s perks. For example, Visa and Mastercard offer different classes of perks, ranging from staples like purchase protection to extras like discounted food delivery service subscriptions.
Issuers can use different card networks, so you may see a Chase or Capital One credit card also branded as a Mastercard or Visa credit card (Discover and American Express use their own card networks).
Private label credit cards
Alternatively, some credit cards may not be branded with a network at all. These are known as “private label” cards and include many store-branded credit cards and gas station credit cards. Since they aren’t part of a credit card network, these cards can only be used with a specific retailer, gas station or other merchant.
Latest credit card news updates
The credit card landscape has been changing in recent months, driven by factors such as interest rate hikes. Some current credit card trends to be aware of include:
Have more questions for our credit cards editors? Feel free to send us an email, find us on Facebook, or Tweet us @Bankrate.
Frequently Asked Questions
Although no single card is best for everyone, there is certainly a card out there that best fits your needs. However, picking a card from the crowd can be a challenge. To make your decision a little easier, Bankrate curates a list of the top credit cards based on a range of cardholders’ biggest priorities — crowning the cream of the crop each year with a Bankrate Award.
BankAmericard: Best for debt consolidators + Best for large purchases
Blue Cash Preferred from American Express: Best for streaming services
Quality credit cards aren't exclusive to people with excellent credit scores. Many credit cards for good credit are realistically within reach for someone with a 670 FICO Score, and the field isn't limited to no-frills cards. Depending on your credit score, annual income and other factors, you could qualify for a cash back, travel or rewards credit card that offers solid value and benefits, plus the opportunity to build your credit and graduate to a higher-tier card.
Although Experian estimates that the average American has four cards, the number of credit cards you should have depends on your goals. For example, you’ll probably want to carry multiple cards if you’re looking to maximize rewards on a broader range of expenses or wield perks specific to your favorite stores, airlines or hotels. However, you may want to stick to one card if you prioritize building credit or a streamlined rewards experience.
Having several cards is fine as long as they deliver benefits that you take full advantage of (miles, cash back, perks and so on). Just beware of burdening yourself with annual fees and temporarily bruising your credit score from multiple card applications in a short period.
A credit card application could have a negative (but temporary and relatively small) effect on your credit score. Getting approved for a credit card or other type of credit account requires some scrutiny of your track record as a borrower. The process can involve two types of credit checks:
A “hard” inquiry is when the lender pulls your credit report to make a decision about whether to lend to you.
A “soft” inquiry is when the lender checks your credit as part of a preliminary screening. Pre-qualified credit card offers involve soft credit inquiries, so keep an eye out for cards that offer pre-qualification.
A hard inquiry can subtract a few points from your credit score temporarily, while a soft inquiry usually has no effect. You’ll want to limit the number of hard inquiries on your credit report, so be as selective as possible about which credit cards you apply for and try to get preapproved first.
Generally, you must be at least 18 years old to be the primary cardholder of a credit card. However, there are considerably more strict requirements to hold a credit card at 18. You must be able to prove that you can independently pay your credit card bill or you can elect to have a cosigner, who is financially responsible for your bills if you cannot pay. There is also the option to become an authorized user on a parent or guardian’s credit card. With this option, you can have access to a credit line before the age of 18, though age restrictions will depend on the issuer.
Your potential credit card issuer will let you know what information they’ll require for your credit card application. A few things you definitely need to include are listed below:
Name
Date of birth
Address
Social Security number
You should also be ready to provide additional information such as:
There are a variety of reasons an issuer may choose to reject an application, such as a low credit score or high debt-to-income ratio. A rejection is also possible if you’ve applied for multiple cards in a short period, which may make you seem like a credit risk.
Once you’ve received a denial explanation from the issuer, there are a few steps you can take to remedy the situation:
Appeal your case. You can address any concerns on your credit report by contacting the issuer’s reconsideration line and pleading your case. While there’s no guarantee it will work, it’s worth a shot if you believe you’re a desirable applicant.
Improve your score and apply again later. Consider working on your credit score before applying again. Six months is a good amount of time to wait between card applications and should give your score a chance to recover from your previous inquiry.
Former Senior Editor Barry Bridges has been writing about credit cards, personal loans, mortgages and other personal finance products since 2017. Before joining Bankrate, he was an award-winning newspaper journalist in his native North Carolina.
Tracy Stewart is a personal finance writer specializing in credit card loyalty programs, travel benefits, and consumer protections.
* See the online application for details about terms and conditions for these offers. Every reasonable effort has been made to maintain accurate information. However all credit card information is presented without warranty. After you click on the offer you desire you will be directed to the credit card issuer's web site where you can review the terms and conditions for your selected offer.
Editorial Disclosure: Opinions expressed here are the author’s alone, and have not been reviewed or approved by any advertiser. The information, including card rates and fees, is accurate as of the publish date. All products or services are presented without warranty. Check the bank’s website for the most current information.
Advertiser Disclosure
Bankrate.com is an independent, advertising-supported comparison service. The offers that appear on this site are from companies from which Bankrate.com receives compensation. This compensation may impact how and where products appear on this site, including, for example, the order in which they may appear within listing categories. Other factors, such as our own proprietary website rules and the likelihood of applicants' credit approval also impact how and where products appear on this site. Bankrate.com does not include the entire universe of available financial or credit offers. Bankrate has partnerships with issuers including, but not limited to, American Express, Bank of America, Capital One, Chase, Citi and Discover.
