Tag: CREDIT CARDS

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Best of, Credit Cards

Best Credit Cards for Fair Credit October 2017

The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities.

Having fair credit doesn’t mean you’re ineligible for great credit cards. We’ve rounded up the top credit cards with the best offers in a range of different categories that you’re still likely to be approved for, even with fair credit. These credit cards can help you build credit as long as you use them wisely. In this guide, we’ll show you the best credit cards for fair credit scores as well as how to use them to boost your credit score even higher.

Here are some of the products we will be discussing today:

Check If You’re Pre-qualified

Before applying for any credit card it’s helpful to check if you’re pre-qualified from a variety of institutions. The soft credit check the institutions perform does not harm your credit score and allows you to compare credit options. Sites such as CreditCards.com provide good tools that can match you to offers from multiple credit card companies without impacting your credit score. You can read our complete guide to getting pre-qualified for a credit card here.

Build Credit with Secured Cards

A great approach to rebuilding credit is to get a secured credit card. In order to get the card, you will have to deposit money that will be your line of credit. To effectively rebuild your credit, you must use the card, and we recommend not charging more than 20% of your credit line. For example, if you have a $500 credit line, you should not charge more than $100. Then, pay off your balance in full every single month. You can even build credit with $10 a month on a secured card and see your credit score rise.

After you’ve consistently managed your secured card well over a period of time, you may be able to increase your credit line beyond your initial deposit or migrate to an unsecured credit card.

We’ve reviewed the best secured cards in the market and found our top pick — the Discover it® Secured Card. This card has no annual fee, a reasonable security deposit and offers an easy transition to an unsecured card. In addition, Discover offers a rewards program and free access to your FICO score. These reasons are why we recommend the Discover it® Secured Card for people with fair credit.

Build Credit with Secured Cards

Discover it® Secured Card - No Annual Fee

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on Discover’s secure website

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Discover it® Secured Card - No Annual Fee

Annual fee
$0 For First Year
$0 Ongoing
Minimum Deposit
$200
APR
23.99% APR

Variable

Credit required
bad-credit
Bad

Best for Cash Back

If you have fair credit and want a cash back card the Capital One® QuicksilverOne® Rewards credit card is a good option. As a consumer with fair credit you may not qualify for all cash back cards, but you may qualify for the QuicksilverOne Rewards card since it is made for those with fair credit. With this card you will earn unlimited cash back, with no changing categories, and the rewards never expire.

However, this card comes with a high APR and annual fee. To earn enough cash back rewards to pay for the card itself each year you’ll need to spend $2,600 annually ($217 per month). To net a cash back of $50 you need to spend $5,933 in a year ($494 per month). This card may be an option for you if you want to earn more than 1% cash back.

Best for Cash Back

QuicksilverOne® Rewards from Capital One

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on Capital One’s secure website

QuicksilverOne® Rewards from Capital One

Annual fee
$39 For First Year
$39 Ongoing
Cashback Rate
up to 1.5%
APR
24.99%

Variable

Credit required
fair-credit

Average

Best Low Ongoing APR

No one wants to carry a balance on their credit cards, but if you must, it’s best to get a card with a low ongoing APR. Many lenders charge high APRs around 25%, but you can potentially qualify for a variable APR as low as 8.90%. This card will charge you less money on your debt than the typical credit card, which can save you big dollars in the long run.

Best Low Ongoing APR

MasterCard Platinum from Aspire FCU

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on Aspire Credit Union’s secure website

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MasterCard Platinum from Aspire FCU

Intro BT APR
0%

promotional rate

Balance Transfer Fee
2%
APR
8.90%-18.00%

Variable

Duration
6 months
Credit required
fair-credit

Average

Best for Small Business Owners

Running a business is hard. Small business credit cards can make it a bit easier for you by giving you rewards for everyday purchases. Nevertheless, be aware: Business credit cards forego certain protections that personal credit cards have under the Credit CARD Act. For example, card issuers can change the payment due date or interest rate without giving you prior notice.

Still, small business cards can be a great option for you to build your credit and save money, even if you don’t have a traditional brick-and-mortar business. You can apply for these cards with just a DBA or even your own name, if you’re a freelancer.

Best for Small Business Owners

Capital One® Spark® Classic for Business

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on Capital One’s secure website

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Capital One® Spark® Classic for Business

Annual fee
$0 For First Year
$0 Ongoing
Cashback Rate
1% on all spend
APR
23.99%

Variable

Credit required
fair-credit

Average

Best for Students

You may have a fair credit score because you are a student. Student cards provide a great way for you to build your credit score and establish good credit history. The Discover it® for Students card is made with students in mind and offers ways to help you build credit and also earn rewards.

Best for Students

Discover it® for Students

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on Discover’s secure website

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Discover it® for Students

Annual fee
$0 For First Year
$0 Ongoing
Cashback Rate
up to 5%
APR
13.99%-22.99%

Variable

Credit required
fair-credit
Fair

FAQ

There’s a lot of math that goes into computing your credit scores, but at the end of the day, a fair credit score is defined as being between 649 and 699. Here’s how a fair credit score sits in relation to other credit scoring classes:

  • Excellent: Above 760
  • Good: 700-759
  • Fair/Average: 649-699
  • Poor: 600-648
  • Very Poor: Under 599

You can check your credit score for free on sites like Credit Karma, Chase Credit Journey, or AnnualCreditReport.com.

Having a good or excellent credit score unlocks a lot of advantages, such as lower interest rates and better approval odds for high-value credit cards and other financial products. These advantages will result in more dollars in your wallet at the end of the day. For example, having a high credit score can save you tens or even hundreds of thousands of dollars in interest payments over your lifetime, especially for big-ticket loans like a home mortgage.

But if you have a fair credit score, don’t fret! There is a reason that your score is less than optimal, and thus there are real, concrete steps you can take to boost your credit score into the good and excellent range.

If you play your cards right, you can even join the exclusive 800+ credit score club (unfortunately, it’s not an official club, and you don’t get a shower of balloons and confetti once you reach it — but you will get access to some of the most exclusive financial products).

There can be many reasons why your credit score is below 700. Here are some of the most common ones:

  • You have late payments on your credit report. Having even just one late payment on your credit report can seriously harm it because payment history makes up 35% of your credit score. Unfortunately, unless it’s an error, you’ll just need to wait for it to drop off of your credit report in seven years. To prevent this from happening, make sure all of your debt payments are set up on autopay. That way, you won’t have to worry about it.
  • You have a lot of credit card debt. Credit utilization ratio is one of the biggest factors in calculating your credit score — it affects 30% of the final score. It’s simply how much you owe relative to how much you are allowed to spend. For example, let’s say you have two credit cards with a $5,000 limit each, and you owe $2,000. Your credit utilization ratio is 20% because you owe $2,000 out of a possible $10,000. Luckily, this is one of the easiest factors to correct that will boost your credit score big time in the short run: Pay off your balance, and your score will bump up immediately.
  • You don’t have a long credit history. Although credit history doesn’t factor into the calculation of your credit score as much as the credit utilization ratio and payment history, it still makes up a sizable chunk at 15%. There’s not much you can do about this one: Simply wait for your accounts to age.
  • You have a lot of credit inquiries. Banks don’t like to see you applying for credit like an out-of-control spender in Las Vegas. Each time you apply for credit or a loan, it’s recorded on your credit report as a credit inquiry, and it stays there for two years. To minimize the number of credit inquiries you have, always shop around and make sure creditors use a soft pull credit check unless you’re absolutely ready to apply for the line of credit. This factor makes up just 10% of your credit score, but it’s an easy one you can affect as long as you’re careful about applying for credit.
  • You don’t have a wide variety of account types. You may be an ace at handling your student loans, but creditors also want to know you can handle other types of credit like mortgages and credit card debt, too. The more types of credit accounts you have on file, the better. However, we don’t recommend taking out a loan just for the sake of boosting your credit score — that costs money, and you’ll only receive a modest benefit from it because credit mix only makes up 10% of your credit score.

As you can see, you do have a lot of options when it comes to fine-tuning your credit score into the good or excellent category. We recommend the helpful credit score simulator at Chase Credit Journey to check your current score and see how these adjustments can potentially change your credit level. It’s available whether you’re a Chase customer or not. Give it a try!

Applying for a credit card is easy. You’ll need some basic information like name, address, and Social Security number. You’ll also need employment and income information. Simply enter it into the online form on the credit card company’s website, visit a branch of the bank (if they have one), or call the credit card company directly. You’ll usually receive instant notification if you’ve been approved or not.

There are many ways for you to increase your credit score. Ultimately practicing responsible credit behavior is the best way to see your score rise. Here are a few ways you can increase your credit score:

  • Have someone add you as an authorized user: If you have a willing (and very trusting) friend or family member with better credit, you can ask them to add you as an authorized user onto one or more of their credit cards. Their credit will not be harmed by this (as long as you don’t rack up charges or missed payments), and the credit card will show up on your credit report just as if you had applied for it — boosting your credit utilization ratio, number of accounts, and account age if you keep it for a long time.
  • Increase your credit history length: Unfortunately, you can’t go back in time, but you can still affect your credit history length. Your credit score is partially based off of average credit history length, and the more old accounts you have, the better. If you already have credit cards open, consider keeping them open so your average credit history won’t decrease and ding your credit. Each new credit card you get will drop your average account age, and it’ll take longer to boost this portion of your score.
  • Maintain a low credit utilization: Credit utilization (the percentage of available credit you’re using) is one of the biggest factors in calculating your credit score. The lower, the better. To decrease your utilization ratio, simply pay off your credit card. You can also request a credit limit increase from your credit card issuer to lower your credit utilization ratio — just make sure not to rack up a balance again with that extra credit or you’ll be back to square one.

Missing a payment can single-handedly cause your credit score to drop by 100 points or more. To avoid this, simply set up your credit card on autopay for the minimum amount due — that way you’ll never have to worry about missing a payment.

You can always apply for a personal loan if you need some cash right now for something. You can use this tool to shop around for the best interest rates without hurting your credit score. It’s smart to avoid hard inquiries until you’re ready to actually apply for a personal loan so that your credit isn’t dinged with multiple inquiries.

Each credit card is different, so you’ll need to check the fine print. Usually, though, you’ll need to both charge a purchase and pay off your bill before you’re eligible for those cash back rewards. Then, they’ll tally up this amount and periodically either send you a check, or offer a statement credit.

If you’re running a small business, it’s often easy to mix your personal and business accounts, especially if you’re self-employed. This creates an accounting nightmare to sort through, so it’s recommended (but not required) that you have a separate business banking account and credit card, if you need one.

Lindsay VanSomeren
Lindsay VanSomeren |

Lindsay VanSomeren is a writer at MagnifyMoney. You can email Lindsay here

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Balance Transfer, Best of, Pay Down My Debt

9 Best 0% APR Credit Card Offers – October 2017

The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities.

There are a lot of 0% APR credit card deals in your mailbox and online, but most of them slap you with a 3 to 4% fee just to make a transfer, and that can seriously eat into your savings.

At MagnifyMoney we like to find deals no one else is showing, and we’ve searched hundreds of balance transfer credit card offers to find the banks and credit unions that ANYONE CAN JOIN which offer great 0% interest credit card deals AND no balance transfer fees. We’ve hand-picked them here.

If one 0% APR credit card doesn’t give you a big enough credit line you can try another bank or credit union for the rest of your debt. With several no fee options it’s not hard to avoid transfer fees even if you have a large balance to deal with.

1. Chase Slate® – 0% Introductory APR for 15 months, $0 Introductory Balance Transfer FEE

Chase Slate<sup>®</sup>
This deal is easy to find – Chase is one of the biggest banks and makes this credit card deal well known. Save with a $0 introductory balance transfer fee and get 0% introductory APR for 15 months on purchases and balance transfers, and $0 annual fee. Plus, receive your Monthly FICO® Score for free.

You can get this offer if you complete the balance transfer within 60 days of opening the account. So it’s worth a shot to see how big of a credit line you get. If it’s not enough, move on to the other options below.

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on Chase’s secure website

2. BankAmericard® Credit Card – 0% Introductory APR for 15 months, $0 Introductory Balance Transfer FEE

BankAmericard® Credit Card
This card is available if you have excellent credit. There is a $0 intro balance transfer fee if you complete the transfer within 60 days of opening your account.

Bank of America has just recently launched a balance transfer with no intro balance transfer fee. Credit card debt on an existing Bank of America credit card is not eligible for this offer.

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on Bank Of America’s secure website

Tip: The remaining no fee cards on this list are deals for 12 months or less. You might be better off paying a standard 3% balance transfer fee for a longer deal, like 0% for 18 months from the Discover it® - 18 Month Balance Transfer Offer, one of the better deals with a balance transfer fee of 3%. If you’re trying to transfer from Chase, consider a deal from Bank of America with $0 transfer terms.

3. Alliant Credit Union Credit Cards – 0% Introductory APR for 12 months, NO FEE

Alliant is an easy credit union to work with because you don’t have to be a member to apply and find out if you qualify for the 0% Introductory APR deal.

Visa® Platinum Card from Alliant CU

Just choose ‘Apply as New Member’ when you apply and if you are approved you’ll then be able to become a member of the credit union to finish opening your account.

Anyone can become a member of Alliant by making a $10 donation to Foster Care to Success.

If your credit isn’t great, you might not get a 0% intro rate – rates for transfers are as high as 5.99%, so make sure you double check the rate you receive before opening the account, and they might ask for additional documents like your pay stubs to verify the information on your application.

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on Alliant CU’s secure website

4. Edward Jones World MasterCard – 0% Intro APR for 12 months on Balance Transfers, NO FEE

Edward Jones World MasterCard<sup>®</sup>

You’ll need to go to an Edward Jones branch to open up an account first if you want this deal. Edward Jones is an investment advisory company, so they’ll want to have a conversation about your retirement needs.But you don’t need to have money in stocks to be a customer of Edward Jones and try to get this card. Just beware that you only have 60 days to complete your transfer to lock in the 0% introductory rate. This deal expires 11/30/2017.

5. First Tech Choice Rewards – 0% Balance Transfer Intro APR for 12 months, NO FEE

Choice Rewards World MasterCard® from First Tech FCU

Anyone can join First Tech Federal Credit Union by becoming a member of the Financial Fitness Association for $8, or the Computer History Museum for $15. You can apply for the card without joining first. This introductory 0% for 12 months on balance transfers with no fee deal is for the First Tech Choice Rewards World MasterCard, and you also get 10,000 points after you spend $2,000 on the card in your first 3 months. The points don’t expire as long as you have the card, and 6,000 points is enough for $50 cash back, while 11,000 points is enough for $100 cash back, which can help you pay down your card.

6. La Capitol Federal Credit Union – 0% Intro APR on Balance Transfers for 12 months, NO FEE

Visa Rewards Card from La Capitol FCU
Anyone can join La Capitol Federal Credit Union by becoming a member of the Louisiana Association for Personal Financial Achievement, which costs $20. Just indicate that’s how you want to be eligible when you apply for the card – no need to join before you apply. And La Capitol accepts members from all across the country, so you don’t have to live in Louisiana to take advantage of this deal on the Prime Plus card.

 

7. Purdue Federal Credit Union – 0% Intro APR for 12 months, NO FEE

Visa Signature Credit Card from Purdue FCU

This deal is only for their Visa Signature card – other cards have a higher intro rate. The Purdue Federal Credit Union doesn’t have open membership, but one way to be eligible for credit union membership is to join the Purdue University Alumni Association as a Friend of the University.

Anyone can join the association, but it costs $50. The good news is you can apply and get a decision before you become a member of the Alumni Association.

8. Logix Credit Union Credit Card – 0% APR for 12 months , NO FEE

If you live in AZ, CA, DC, MA, MD, ME, NH, NV, or VA you can join Logix Credit Union and apply for this deal. Some applicants have reported credit lines of $15,000 or more for balance transfers, so if you have excellent credit, good income, but a large amount to pay off (like a home equity line), this could be a good option.

9. Premier America Credit Union – 0% Intro APR for 6 months, NO FEE

Premier Privileges Rewards MasterCard® from Premier America CU

Premier America is unique because it has a Student Mastercard® that’s eligible for the balance transfer deal, though limits on that card are $500 – $2,000. There’s also a card for those with no credit history – the Premier First Rewards Privileges®, with limits of $1,000 – $2,000. If you’re looking for a bigger line, the Premier Privileges Rewards Mastercard® is available with limits up to $50,000.

Anyone can join Premier America by becoming a member of the Alliance for the Arts. You can select that option when you apply.

10. Money One Credit Union – 0% APR for 6 months, NO FEE

Visa Platinum Card from Money One FCU

Anyone can join Money One Federal by making a $20 donation to Gifts of Easter Seals. And you can apply without being a member. You’ll see a drop down option during the application process that lets you select Gifts of Easter Seals as the way you plan to become a member of the credit union. Credit lines for the Platinum card are as high as $25,000.

 

11. Andigo Credit Union – 0% APR Intro for 6 months, NO FEE

Visa Platinum Card from andigo

You’ll have a choice to apply for the Andigo Visa Platinum or Visa Platinum Rewards. The Platinum Cash Back card doesn’t have this deal. The Platinum without rewards has a lower ongoing APR, starting as low as 10.65%, compared to 12.65% for the Platinum Rewards card, so if you’re not sure you’ll pay it all off in 6 months the Platinum without rewards is a better bet.

Anyone can join Andigo by making a donation to Connect Vets for $15, and you can submit an application for the card without being a member yet.

12. Evansville Teachers Credit Union – 0% APR on Balance Transfers for first 6 months, NO FEE

ETFCU's Platinum Rewards Credit Card
You don’t need to be a teacher to join this credit union. Just make a $5 donation to Mater Dei Friends & Alumni Association. The Prime Plus has an ongoing rate as low as 7.25% variable, so you can enjoy a low rate even after the intro deal ends.

13. Elements Financial Credit Card – 0% Intro APR for 6 months on Purchases and Balance Transfers, NO FEE

Elements Financial Platinum Visa® Credit Card
To become a member and apply, you’ll just need to join TruDirection, a financial literacy organization. It costs just $5 and you can join as part of the application process.

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on ELFCU’s secure website

14. Justice Federal Credit Union – 0% Intro APR for 6 months on Purchases, Balance Transfers, and Cash Advances, NO FEE

Student VISA Rewards Card from Justice FCU
If you’re not a Department of Justice, Homeland Security, or U.S. court employee (or a few others), you need to join a law enforcement organization to be a member of Justice Federal. One of the eligible associations for membership is the National Native American Law Enforcement Association. It costs $15 to join.

You can apply as a non-member online to get a decision before joining. And Justice is unique in that its Student credit card is also eligible for the 0% introductory rate on purchases, balance transfers, and cash advances, so if your credit history is limited and you’re trying to deal with a balance on your very first card, this could be an option.

15. Xcel Platinum Visa – 0% Introductory APR for 6 months, NO FEE

XCEL’s Platinum VISA® Credit Card
Anyone can join Xcel by becoming a member of the American Consumer Council, and you can apply for the card as a non-member of the credit union, but not everyone who is approved for the card will get the low intro rate. Xcel advises you contact them to get as sense of whether your income, credit history, and employment history will qualify for the intro rate.

16. Michigan State University Federal Platinum Visa – 0% APR for 6 months, NO FEE

Platinum Visa Card from Michigan State FCU
There is the option to apply for the Platinum Plus Visa or the Platinum Visa. The Platinum Visa has a lower ongoing APR starting as low as 8.9%, compared to the 12.9% for the Platinum Plus which can earn you rewards. Anyone can join the Michigan State University Federal Credit Union by first becoming a member of the Michigan United Conservation Clubs. However, this comes at a high fee of $30 for one year.

Are these the best deals for you?

If you can pay off your debt within the 0% period, then yes, a no fee 0% balance transfer credit card is your absolute best bet. And if you can’t, you can hope that other 0% deals will be around to switch again.

But if you’re unsure, you might want to consider…

  • A deal that has a longer period before the rate goes up. In that case, a balance transfer fee could be worth it to lock in a 0% rate for longer.
  • Or, a card with a rate a little above 0% that could lock you into a low rate even longer.

The good news is we can figure it out for you.

Our handy, free balance transfer tool lets you input how much debt you have, and how much of a monthly payment you can afford. It will run the numbers to show you which offers will save you the most for the longest period of time.

promo balancetransfer wide

The savings from just one balance transfer can be substantial.

Let’s say you have $5,000 in credit card debt, you’re paying 18% in interest, and can afford to pay $200 a month on it. Here’s what you can save with a 0% deal:

  • 18%: It will take 32 months to pay off, with $1,312 in interest paid.
  • 0% for 12 months: You’ll pay it off in 28 months, with just $502 in interest, saving you $810 in cash. That even assumes your rate goes back up to 18% after 12 months!

But your rate doesn’t have to go up after 12 months. If you pay everything on time and maintain good credit, there’s a great chance you’ll be able to shop around and find another bank willing to offer you 0% interest again, letting you pay it off even faster.

Before you do any balance transfer though, make sure you follow these 6 golden rules of balance transfer success:

  • Never use the card for spending. You are only ready to do a balance transfer once you’ve gotten your budget in order and are no longer spending more than you earn. This card should never be used for new purchases, as it’s possible you’ll get charged a higher rate on those purchases.
  • Have a plan for the end of the promotional period. Make sure you set a reminder on your phone calendar about a month or so before your promotional period ends so you can shop around for a low rate from another bank.
  • Don’t try to transfer debt between two cards of the same bank. It won’t work. Balance transfer deals are meant to ‘steal’ your balance from a competing bank, not lower your rate from the same bank. So if you have a Chase Freedom with a high rate, don’t apply for another Chase card like a Chase Slate and expect you can transfer the balance. Apply for one from another bank.
  • Get that transfer done within 60 days. Otherwise your promotional deal may expire unused.
  • Never use a card at an ATM. You should never use the card for spending, and getting cash is incredibly expensive. Just don’t do it with this or any credit card.
  • Always pay on time. If you pay more than 30 days late your credit will be hurt, your rate may go up, and you may find it harder to find good deals in the future. Only do balance transfers if you’re ready to pay at least the minimum due on time, every time.
Nick Clements
Nick Clements |

Nick Clements is a writer at MagnifyMoney. You can email Nick at nick@magnifymoney.com

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Best of, Reviews

10 Best NO FEE Rewards Credit Cards of October 2017

The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities.

There are an abundance of no fee rewards credit cards available, so how do you best determine which one to keep in your wallet? Most earn a measly 1% on your spending, while others have no rewards at all. To help, we’ve dug deep into our database of thousands of rewards cards to find the very best no annual fee rewards credit cards of 2017 for each category.

While you might find rewards credit cards with an annual fee can give you the best rewards, we’re sticking to no fee cards that are available even if you don’t have truly excellent credit (good credit should be fine for most of these).

The first cards we list here offer unlimited double rewards on everything you purchase, while the remaining offer 3% or better rewards on spending in popular categories so you can mix and match to maximize your rewards, or they offer the chance for better earning if you use your rewards for travel.

1. Double Rewards on Everything, NO FEE – Citi® Double Cash Card

Citi® Double Cash Card Citi offers you rewards twice. First, you get 1% cash back when you make a purchase. Then, you get another 1% cash back as you pay it off. All with no annual fee and no spending cap. If you pay off in full each month, you’ll get both rewards at the same time. That lets you earn rewards twice as good as standard reward cards.

If you like to maximize things and want to earn more rewards in special spending categories, consider pairing this with one of the no fee cards we list below.

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on Citibank’s secure website

2. Honorable Mention: 2% Fidelity Rewards Visa Signature, NO FEE

Fidelity® Rewards Visa Signature® Card Fidelity provides no annual fee 2% cash rewards on purchases if you deposit the cash you earn into a Fidelity account. But you don’t need to have any stocks or investments to have an account. Fidelity has no fee cash accounts where you can deposit your rewards, then withdrawal when you’re ready to spend. Be aware this card is designed for people with Excellent credit, while the Citi Double Cash might be easier to get.

Both cards offer you the flexibility to earn double rewards on anything you purchase; so either one of these is a nice addition to a rewards strategy. The advantage of the Fidelity card over the Citi Double Cash is that its foreign transaction fees are just 1% versus 3% for the Double Cash. But setting up the Fidelity card and rewards is more cumbersome than the dead simple Citi Double Cash.

If you want to earn more than 2% rewards here’s a rundown of the best no fee rewards credit cards that earn 3% or more in the most popular categories. You can click on each category for our take and details:

And if you’re interested in traveling, here are the best no fee rewards credit card deals:

If you like to dig, we also have a complete (and long) list of cards that earn more than 3% on purchases in many more special categories, including cards with an annual fee.

3. Restaurant Spending: Chase AARP Visa – 3% Rewards, NO FEE

AARP Credit Card from Chase Bank Although AARP is known for serving Baby Boomers, foodies of any age can sign up for this card – AARP membership not required. You get 3% cash rewards at restaurants as well as gas stations. You also earn 1% rewards on all other purchases.

The information related to AARP Visa credit card has been collected by MagnifyMoney and has not been reviewed or provided by the issuer of this card.

Learn more at AARP.org

4. Travel Spending: AAA Member Rewards Visa – 3% Rewards, NO FEE

AAA Member Rewards Card from Bank Of America No need to be an AAA member to take advantage of this rewards card. You earn cash back when you shop at travel merchants including airlines, car rental agencies, hotels, cruise lines and travel agencies. Along with the 3% cash rewards for travel, you earn 2% cash rewards on gas, grocery and drugstore purchases. On everything else you get 1% rewards.

5. Gas Spending: Fort Knox Credit Union Visa Platinum – 5% Rewards

Fort Knox Federal Credit Union Visa® Platinum Card Spend a lot of cash at the pump? The Fort Knox Credit Union Visa Platinum offers 5% cash back for gas. On all other retail purchases, you get 1% cash back. Anyone can join the Fort Knox Credit Union by becoming a member of the American Consumer Council for $5.

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on Fort Knox Federal’s secure website

6. Grocery Spending: Blue Cash Everyday® Card from American Express – 3% Rewards

Blue Cash Everyday® Card from American Express Blue Cash Everyday® Card from American Express offers 3% cash back on US supermarket purchases up to $6,000 per year. You also get 2% rewards at US gas stations and select US department stores. On everything else you earn 1% rewards.

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on American Express’s secure website

7. Honorable Mention: Golden 1 Credit Union Platinum Rewards – Unlimited 3% Grocery Rewards

Golden 1 Platinum Rewards Credit Card If you live in California, the Golden 1 Credit Union Platinum Rewards card will give you 3% cash rewards for purchases on groceries without the caps on the Blue Cash Everyday, along with gas and restaurants and 1% rewards on all other purchases. Also in California, the JCB Marukai Premium card offers unlimited 3% cash rewards on all purchases after your first $3,000 in spending each year. The catch is there’s a $15 annual fee on the card.

5% Cash Rewards in Rotating Categories: NO FEE

Cards with a rotating reward program can give you 5% cash rewards with no annual fee, but you’re limited to spending in special categories each quarter and there’s a cap on how much spending earns the 5%. You also have to opt into the 5% cash back rewards program each quarter.

8. Chase Freedom® – 5% in rotating categories, $0 ANNUAL FEE

Chase Freedom<sup>®</sup> Earn 5% cash back on up to $1,500 in combined purchases in bonus categories each quarter you activate. Enjoy new 5% categories every 3 months. Unlimited 1% cash back on all other purchases.

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9. Discover it® Cashback Match™ – 5% in rotating categories, $0 ANNUAL FEE

Discover it® - Cashback Match<sup>TM</sup> With Discover, you can earn 5% cash back in rotating categories each quarter on up to the quarterly maximum ($1,500 of combined purchases) when you activate. All other purchases get 1% cash back. You can redeem your cash back for any amount at any time. And your cash back never expires. Discover will match all the cash back you’ve earned at the end of your first year on the credit card – only for new cardmembers.

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10. Platinum Cash Rewards Visa from the Nusenda Credit Union – 5% in rotating categories, NO FEE

Cash Rewards Card from Nusenda CU 5% cash rewards on groceries, gas expenses, movies, restaurants, home improvement, education and travel. This quarter, cardholders will earn cash back on restaurants, hotels and airfare purchases. There’s a cash back cap of $1,500 per quarter. Anyone can join the Nusenda Credit Union by donating $10 to the New Mexico Wilderness Alliance; contact a customer representative for details. The advantage of this card is that its categories tend to be more broad, and not store-specific like those on the Chase Freedom and Discover It, so it’s a great way to get you closer to 5% rewards on everything you spend.

If you’re going to go through the effort of enrolling in a rewards program, consider all three cards

to see which categories will benefit you the most. But, if you’re looking for freedom to spend without restrictions, sticking with the Citi Double Cash card may be your best simple bet.

Honorable mentions for travelers

No foreign transaction fees with plain cash back: Quicksilver from Capital One – 1.5% Rewards

Quicksilver® Cash Rewards Credit Card Capital One’s Quicksilver gives you 1.5% cash back on all purchases. And like all Capital One credit cards, there are no foreign transaction fees. Even though you earn less rewards than the Citi Double Cash or Fidelity American Express, this card is a better option for your international spending, since you avoid fees of 1 to 3%.

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Real airline miles: Amex EveryDay Card

The Amex EveryDay® Credit Card from American Express is a no annual fee rewards credit card that earns Amex Membership Rewards points, which you can turn into real

The Amex EveryDay® Credit Card from American Express airline miles with several airlines, including Delta SkyMiles, Virgin Atlantic Flying Club, JetBlue True Blue, and Virgin America Elevate. It’s the only no annual fee card you can apply for online that can net you real Delta SkyMiles. When you want to convert points to Delta miles, just go to the Amex site, and transfer your points to Delta or the other participating airline programs any time.

Points for travel on any airline: Bank of America Travel Rewards

BankAmericard Travel Rewards® Credit Card The Bank of America Travel Rewards card earns a base 1.5x points per dollar you spend, and you can use the points to erase travel purchases from your statement. Every 10,000 points is worth $100 when you use them for travel, so each point is worth one cent. Where the card gets interesting is if you’re a Bank of America customer with a checking, savings, or IRA account. If you are, you’ll get a 10% bonus on what you earn each year, so the card effectively earns you 1.65x points per dollar. Even better, if you’re a Platinum level member of Bank of America Preferred Rewards (which you get by keeping a lot of your money with them), you can earn up to 2.625x points per dollar, which is an incredible deal. There are also no foreign transaction fees to worry about.

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How can you get the most value from a rewards credit card?

In order to best benefit from no annual fee rewards credit cards, follow these tips:

  • Narrow your focus: Before choosing a no annual fee rewards credit card (or cards), take a look at your budget and several months’ worth of bank statements. Then, pick cards that’ll offer you the most cash back for things you already buy. You shouldn’t change your spending habits to match a rewards program.
  • Give your rewards cards a job: Don’t spread out your spending onto too many cards without a purpose or you risk making less cash back overall. Choose a few cards and assign them a job so you know what purchases to make on each one to maximize your cash back.
  • Don’t get overzealous: Rewards shouldn’t justify overspending, especially if you’re struggling with debt. It’s a reward for making legitimate purchases. After all, you won’t make enough back to put a big dent in your monthly statement. For instance, $2,500 spent on the Fidelity American Express card equals a $50 deposit. It’s a great perk, but it shouldn’t be your sole reason for buying something.
  • Read the fine print: Understand the implications of each rewards program. For the rotating category cards, you get a huge amount of cash back, but you’ll have to strategize your spending each quarter to earn it. And you have to enroll into the program by the deadline to qualify. Set a reminder on your smartphone or calendar if necessary. You don’t want to miss out on a cash back category for an entire quarter.
Taylor Gordon
Taylor Gordon |

Taylor Gordon is a writer at MagnifyMoney. You can email Taylor at taylor@magnifymoney.com

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Best of, College Students and Recent Grads, Credit Cards

Best Student Credit Cards October 2017

The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities.

Getting a credit card while you’re in college might seem dangerous or confusing. But if you are able to use a student credit card responsibly, you do not need to be afraid, and you can set yourself up for financial success after you leave school.

Fortunately, learning how to choose and use the right student credit card is relatively simple. Make sure you avoid annual fees and go with a bank or credit union you can trust. When you get the card, make sure you use it responsibly and pay the balance in full and on time every month. If you do these things consistently over time, you can leave school with an excellent credit score. And if you want to rent an apartment or buy a car, having a good credit score is very important.

Our Top Pick

Discover it® for Students

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Discover it® for Students

Annual fee
$0 For First Year
$0 Ongoing
Cashback Rate
up to 5%
APR
13.99%-22.99%

Variable

Credit required
fair-credit
Fair

Best for Commuter Students

Discover it® chrome for Students

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Discover it® chrome for Students

Annual fee
$0 For First Year
$0 Ongoing
Cashback Rate
up to 2%
APR
13.99%-22.99%

Variable

Credit required
fair-credit
Fair Credit, New to Credit

Best Flat-Rate Card

Journey® Student Rewards from Capital One®

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Journey® Student Rewards from Capital One®

Annual fee
$0 For First Year
$0 Ongoing
Cashback Rate
up to 1.25%
APR
24.99%

Variable

Credit required
fair-credit

Average Credit

Best Intro Bonus

Wells Fargo Cash Back College℠ Card

Annual fee
$0 For First Year
$0 Ongoing
Cashback Rate
up to 3%
APR
11.90%-21.90%

Variable

Credit required
fair-credit
Fair Credit

Best Credit Union Card

Altra Federal Credit Union Student Visa

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Altra Federal Credit Union Student Visa

Annual fee
$0 For First Year
$0 Ongoing
Rewards
1 point per dollar spent
APR
14.90%

Fixed

Credit required
zero-credit
New to Credit

Also Consider Also Consider

Golden 1 Platinum Rewards for Students

Golden 1 Credit Union Platinum Rewards for Students:

This credit card offers a snazzy rewards program: rather than accumulate points, you’ll get a cash rebate instead. All you have to do is make a purchase. At the end of the month, you’ll get a rebate of 3% of gas, grocery, and restaurant purchases, and 1% of all other purchases deposited back into your Golden 1 savings account at the end of the month. You can join Golden 1 by joining the Financial Fitness Association for $8 per year and keeping at least $5 in a savings account.

What should I look for in a student credit card?

The most important thing to consider when looking for a student credit card is that it charges no annual fee. You should never have to pay to build your credit score. Fortunately, most student cards don’t charge you an annual fee, but it’s still something to watch out for.

The second most important thing you should keep an eye out for are tools that help you learn about credit or even promote good credit-building habits. For example, some student credit cards will give you a free monthly FICO score update. You can use this freebie to see in real time how your credit score changes as you build credit history by keeping the card open, or paying down your credit card balance, for example.

The last thing you should be considering when picking out a student credit card is the rewards program. I know, I know, it seems counterintuitive. But stick with me — I’ll show you why in the next question.

Why shouldn’t I be concerned about maximizing my rewards while in college?

Rewards cards are nice to have. But if you’re a college student, here’s the truth: you probably won’t spend enough to earn meaningful rewards.

Why? With a good rewards program, you can earn points or cash back. A small percentage of your monthly spending can add up quickly. However, given the tight budget that most college students live on, it will probably take a while to earn meaningful rewards. For example, if you earn 1.25% cash back and spend $300 a month on your card, you would earn $45 of cash back during the year.

College students are very good at making good use of $45. And our favorite card offers a great cash back rewards program. Just don’t expect to earn a lot of cash back, given the tight budget of a college student.

Why should I get a credit card as a college student?

There are a lot of great reasons why you should get a credit card, as long as you can commit to using it responsibly.

The single biggest reason why you should get a credit card as a college student is because you can start establishing a credit history now. When you graduate from college, you will need a good credit score to get an apartment. And your future employer will likely check your credit report. Building a good credit history while still in college will help prepare you for life after graduation.

Getting a credit card while in college can also train you to develop good credit habits now. But you need to be honest with yourself. If you find that you can’t avoid the temptation of maxing out your credit card, you might want to switch to a debit card or cash.

Finally, getting a credit card now can be the motivation you need to start learning about credit. These skills aren’t hard to learn, and they could save you thousands or even hundreds of thousands of dollars later in life (when you want a mortgage, for example).

What is the CARD Act and why should I care about it?

Many years ago, credit card companies would market on college campuses. You could get a free beer mug or t-shirt in exchange for a credit card application. And you would be able to qualify for a credit card without having any income. The Credit Card Accountability Responsibility and Disclosure (CARD) Act was signed into law in May 2009 to change a number of practices.

How did the CARD Act change student credit cards?

The CARD Act made a lot of changes in how credit card issuers do business with students. One of the biggest changes was requiring students to be able to demonstrate an ability to pay. If you are under 21 and do not have sufficient income (a campus job, for example), you would need to get a co-signer.

In addition, colleges must now limit the amount of credit card marketing on campus. The days of free t-shirts and pizzas in exchange for credit card applications are gone. But that doesn’t mean it is impossible for a college student to get a credit card. Some highly reputable banks and credit unions still offer student cards. And building a good credit score while still in college is still highly recommended.

How can I protect myself from racking up debt?

When used properly, credit cards are a very convenient method of repayment. However, when not used properly, you can end up deep in credit card debt. It is important to establish a healthy relationship to credit now, with your first credit card.

You should try to ensure that you pay off your credit card bill in full and on time every month. Ideally, you should set up an automatic monthly payment. And to keep yourself on track, take advantage of alerts offered by most credit card companies. You can even get daily text messages reminding you of your balance.

How can I automate my credit card usage?

If all of this sounds confusing, don’t worry. There’s actually a way you can automate your payments so you never even have to bother with the hassle of using a credit card. All it takes is a few minutes of upfront work.

First, you’ll need at least one recurring monthly bill of the same amount, such as Netflix or Spotify. Log in to your account and set up an automatic payment each month using your credit card. Make a note of how much your monthly bill costs.

Next, log in to your bank account. Set up a second automatic payment to go to your credit card each month for the same amount as the bill. If your bank doesn’t offer the option to set up automatic payments, you may also be able to set up your credit card to automatically withdraw the amount of the bill from your bank.

Because you know this bill will be for the same amount each month (barring any price increases), you can literally just leave this running in the background each month on autopilot. You don’t even have to carry your credit card in your wallet if you don’t want to. Then, when you graduate, you’ll automatically have an improved credit score!

What happens to my student credit card when I graduate?

Congratulations! You’ve made it to the finish line. But what about your student credit card? You will have a few options once you graduate.

First, you can simply keep it. You will want to keep the credit card open, because it helps you build a long credit history. However, you might want to call your credit card company and ask if you can migrate to a standard (non-student) credit card.

But if you have been using your credit card properly, you will have an excellent credit score when you graduate – and you will be able to get any credit card that you want.

Here is a summary of our favorite cards:

Credit cards
Best for
Lindsay VanSomeren
Lindsay VanSomeren |

Lindsay VanSomeren is a writer at MagnifyMoney. You can email Lindsay here

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Best of, Earning Cashback

The Best Cash Back Credit Cards for Every Category – 3% and More in October 2017

The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities.

credit card and dollar close-up

MagnifyMoney keeps a database of over 2,000 credit cards and their features, including cash back cards you can compare with our tool. We used it to find the absolute highest cash back rewards you can earn in each category, more than the standard 1-2% you usually see.

If you’re ready for cash back there are over 25 categories where you can earn 3% or more in pure cash back on your credit card purchases.

Scroll down and you’ll find links to the best cash back credit cards we’ve found that earn more than 2% cash back in special categories. These are cards that let you get pure cash value, not complicated points that can be used only for travel.

Before you dig into categories, every cash rewards wallet should have one of these cards, with double cash back on everything you spend:

Fidelity® Rewards Visa Signature® Card
Citi® Double Cash Card

Once you have one of these, you can add other cards that earn more than 2% in special categories to really boost your cash rewards.

The best cash back credit cards with no limit rewards

Maybe you don’t want to mess with rotating categories or remembering limits on cash back. If that’s you, there are only a handful of cards that you need to carry to get the most in totally unlimited cash back.

As you’ll learn below, you may be leaving about $500 a year or more on the table by not holding at least some of these cards.

They are all no annual fee cards, and they ensure you will earn more than 2% cash back on your total spending with absolutely no limits. Some cards have higher cash back rates with limits, and you can see those below this list in our review of cards for each category

Airfare: PenFed Premium Travel Rewards – 4.25%

PenFed Premium Travel Rewards American Express® Card

This card advertises 5x points on airfare, but there is a bit of a catch. When you redeem the points it earns for the closest thing to cash, a prepaid Visa card, your points are worth about 0.8 cents each, so that 5x points is really about 4.25% cash back on your airfare spending.

Travel: AAA Member Rewards Visa – 3%

AAA Member Rewards Card from Bank Of America

While the PenFed Premium Travel Rewards wins for airfare spending, the AAA Member Rewards Visa offers 3% back on airfare, plus  all kinds of travel, including hotels, car rentals, and cruises. You don’t have to be a AAA member to get the card.

Supermarkets: PenFed Platinum Rewards – 2.55%

PenFed Platinum Rewards Visa Signature®Card

The card earns 3x points on supermarkets, but the points are worth about 0.85 cents each when you redeem them for a prepaid Visa gift card, so the real unlimited cash back rate is about 2.55%.

If you spend less than $6,000 a year ($500 a month) on groceries, then the Amex Blue Cash Preferred offers 6% back on the first $6,000 each year. The $95 annual fee on this card is a better deal vs the PenFed Card if you spend about $3,000 a year in groceries (about $250 a month).

Note that if you live in California, you may earn 3% unlimited cash back on groceries with the Platinum Rewards card from Golden 1 Credit Union.

Gas: Fort Knox Credit Union Platinum Visa – 5%

Fort Knox Federal Credit Union Visa® Platinum Card

You might not have heard of this credit union, but anyone can join. You just need to pay $5 to join the American Consumer Council / Kentucky and you’re eligible.

The Sam’s Club MasterCard also offers 5% at the pump on up to $6,000 worth of gas purchases a year at any gas station, plus 3% on travel and dining, but you need to be a Sam’s Club member to hold the card.

Dining: Chase AARP Visa – 3%

AARP Credit Card from Chase Bank

You don’t have to be 55+ to hold this card, it’s available to anyone who is interested and meets the credit standards. So you can enjoy your ‘senior discount’ on dining any time. Capital One also offers a Premier Dining Rewards card with 3% back on dining and 2% on groceries.

(The information related to the AARP Visa and Chase Ink Cash Business credit cards has been collected by MagnifyMoney and has not been reviewed or provided by the issuer of these cards.)

Everything else: Citi Double Cash (up to  1% + 1%) or Fidelity Investment Rewards Visa (2%) 

If you’re willing to pay an annual fee, the Alliant Visa Signature card earns 2.5% cash back unlimited. The $59 fee is worthwhile if you spend over $1,000 a month on the card. Alliant is targeting this card to people with high income who spend $10,000 or more a month, so it might be tough to get approved.

If you have a military affiliation, USAA offers some members the USAA Limitless cash back card, with 2.5% unlimited cash back if you make $1,000 a month in direct deposits to USAA. This card is only targeted to select members, so you won’t see it advertised on their website and no guarantees you will be offered the card.

Or if you live in California, the JCB Marukai Premium card gives you 3% cash back on all purchases beyond $3,000 in yearly spending.

Just mark each of the cards you pick in your wallet with a sticker for each category so you remember which to use, and you’ll rack up lots of cash with minimal hassle. And afraid to have more than one card? Well if you’re responsible with credit, a few additional inquiries might have less of an impact than you think. See our experience with scores and getting several cards for the rewards.

For unlimited retailer-specific discounts, also consider:

If you want to maximize absolutely everything, read on…

We’ve organized cash back cards for each of the over 25 spending categories that are currently eligible for more than 2% in cash back rewards.

They include both year round and quarterly rotating categories like those on the Discover It. Pick the categories that matter most to you, and you’ll see the opportunities you have to earn 3-5% if you’re willing to keep track of some limits and quarterly changes.

Remember, these are all cards that let you earn cash value rewards, with no restriction on where you spend the rewards, unlike travel points.

You’ll find three flavors of cash back rewards, in the order of hassle factor:

  • Unlimited cash back – This is the simplest form. You usually won’t find the very highest 5%+ rewards this way, but we’ve found some great cards that get you 3% or more in some popular categories.
  • Cash back with limits – This is where a card limits the cash back you earn by putting a cap on the spending which earns the cash back in the specific category, on a combination of categories, or the card as a whole.
  • Quarterly rotating categories – These are the cards with the big headline 5% rates. Don’t be fooled. While you can earn the 5% rate, you may have to opt in to categories each quarter manually and be hit with caps on how much you can earn.

Advertising Services

With Limits

3%:  SimplyCash Plus Business Credit Card from American Express– up to $25,000 in purchases in bonus categories

Airfare

Unlimited

With limits

  • 3% – Huntington Voice – up to $2,000 in spending a quarter in one category of your choice

Quarterly category in 2017

  • 5%: Nusenda Cash Rewards – Oct – Dec – up to $1,500 – Anyone can join the Nusenda Credit Union (formerly the New Mexico Educators Credit Union) by becoming a member of the La Montanita Food Co-op.

Amazon.com

Unlimited

5% Quarterly Category in 2017

  • 5%: Discover it – up to $1,500 – October – December

Book stores

With limits

  • 5%: U.S. Bank Cash+ up to $2,000 / quarter across two 5% categories you choose

Car Rentals

Unlimited

With limits

Cell phone

With limits

Cable / Satellite / Landline Phone / Internet

Clothing Stores

With limits

  • 5%: U.S. Bank Cash+ up to $2,000 / quarter across two 5% categories you choose
  • 3%: Huntington Voice – up to $2,000 in spending a quarter in one category of your choice

Commuting, Taxis

Unlimited

Quarterly category in 2017

Department Stores

Unlimited

With limits

  • 5%: U.S. Bank Cash+ up to $2,000 / quarter across two 5% categories you choose
  • 3%: Huntington Voice – up to $2,000 in spending a quarter in one category of your choice

Quarterly category in 2017

  • 5%: Citi Dividend – October – December – up to $300 total cash back on card (no longer open to new applicants)

Discount stores

  • 3%: Huntington Voice – up to $2,000 in spending a quarter in one category of your choice

Drug stores

With limits

Education

Quarterly category in 2017

  • 5%: Nusenda Cash Rewards – July – Sept – up to $1,500 – Anyone can join the Nusenda Credit Union (formerly the New Mexico Educators Credit Union) by becoming a member of the La Montanita Food Co-op.

Electronics

With limits

  • 5%: U.S. Bank Cash+ up to $2,000 / quarter across two 5% categories you choose
  • 3%: Huntington Voice – up to $2,000 in spending a quarter in one category of your choice

Quarterly category in 2017

  • 5%: (Best Buy only) Citi Dividend – October – December – up to $300 total cash back on card (no longer open to new applicants)

Furniture

With Limits

  • 5%: U.S. Bank Cash+ up to $2,000 / quarter across two 5% categories you choose

Quarterly Category in 2017

  • 5%: Citi Dividend – January – March – up to $300 total cash back on card (no longer open to new applicants)

Gas

Unlimited

With limits

Quarterly category in 2017

Grocery Stores

Unlimited

With limits

Quarterly category in 2017

Gyms

With Limits

  • 5%: U.S. Bank Cash+ up to $2,000 / quarter across two 5% categories you choose

Home improvement

No limits

With limits

  • 3%: Huntington Voice – up to $2,000 in spending a quarter in one category of your choice

Quarterly category in 2017

  • 5%: Nusenda Cash Rewards – April – June – up to $1,500
  • 5%: (Home Depot only) Citi Dividend – January – March – up to $300 total cash back on card (no longer open to new applicants)
  • 5%: Discover it – up to $1,500 – July – September

Hotels

Unlimited

With limits

Quarterly category in 2017

  • 5% – New Mexico Educators Cash Rewards – Oct – Dec – up to $1,500
  • 5%: (Hilton Hotels only) Citi Dividend – July – September – up to $300 total cash back on card (no longer open to new applicants)

Movie Theaters

With Limits

  • 5%: U.S. Bank Cash+ up to $2,000 / quarter across two 5% categories you choose

Quarterly category in 2017

Office Supply Stores

With limits

Online Retail

Unlimited

Restaurants

Unlimited

With Limits

Quarterly category in 2017

Shipping

Sports

With limits

Target

Unlimited

Trains, Cruises, Other Vacation

Unlimited

With limits

Utilities

  • 3%: Huntington Voice – up to $2,000 in spending a quarter in one category of your choice

Walmart

  • 3%: Huntington Voice – up to $2,000 in spending a quarter in one category of your choice

Warehouse Clubs

 

Nick Clements
Nick Clements |

Nick Clements is a writer at MagnifyMoney. You can email Nick at nick@magnifymoney.com

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Best of, Credit Cards

7 Best 0% Purchase Credit Card Offers From Banks & Credit Unions – October 2017

The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities.

If you’re about to make a big purchase that you need time to pay off, using a 0% introductory purchase offer on a credit card could be the cheapest way to spread the payment out over time.

  • You can currently find 0% deals for as long as 21 months, with no fees, but since rates after the intro period are high, only use these deals if you’re sure you can handle paying off the debt before the period is up.
  • When searching for 0% purchase cards, make sure you select a card that waives interest. Far too many cards, especially those offered by retailers (like Apple’s offer with Barclaycard) only defer the interest which means you can get get a nasty surprise when the intro period is up.

Below are the 7 longest 0% purchase credit cards from our database of over 3,000 credit card products from banks and credit unions, and all of them have no sneaky deferred interest, so you really are getting a 0% rate for the introductory period.

After the list, we will explain:

1. Citi Simplicity® – 0% Intro Purchase APR for 21 MONTHS

Citi Simplicity® Card - No Late Fees Ever

The longest 0% intro purchase APR available now is the Citi Simplicity® Card. This credit card is unique because it also offers no late fees ever, and no penalty APR if you make a late payment.

If you already have the Citi Simplicity®, you can apply for the Citi Diamond Preferred Card. The Diamond Preferred card also has no annual fee and a 0% introductory purchase rate for 21 months. Just beware that it’s not as friendly as the Simplicity®, and has late fees typical of regular credit cards (a fee up to $35. Your rate will go up to a 29.99% penalty APR if you miss a payment.

Citi is OK with you holding both cards to get the 0% on purchases twice, though don’t try to apply for them both on the same day. Better to space it out when you have your next big purchase to manage, and by then you’ll have a good payment history with Citi that could qualify you for the credit line you need for your purchase.

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 2. TruWest Visa Signature Credit Card – 0% Intro Purchase APR for 18 MONTHS

TruWest Visa® Signature Card

While this is a good deal, unfortunately TruWest is a credit union with restricted membership. You need to live in certain regions of Texas or Arizona, or work for a few select employers like Motorola in order to join (details here), but if you can join, you will enjoy 0% into APR for 18 months on purchases with no annual fee.

Even better, after the 0% purchase period is over, your regular ongoing APR is just 8.90% – 9.90% making this one of the safest choices for a 0% purchase credit card.

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3. Citi® Double Cash Card – 0% Intro Purchase APR for 18 MONTHS

Citi® Double Cash Card

The Citi® Double Cash offers a 0% introductory APR on purchase for 18 months with no annual fee.

It also happens to be one of the most rewarding cash back cards available. You get 1% cash back on your purchases, plus you get 1% more back when you pay those purchases off. So if you plan to be able to pay things off in full within 18 months this can be a better deal than cards that have no cash back rewards.

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on Citibank’s secure website

4. Blue Cash Everyday® Card from American Express – 0% Intro Purchase APR for 15 MONTHS

Blue Cash Everyday® Card from American Express
This card offers an introductory 0% on purchases and balance transfers for 15 months, and after that your variable rate will be 13.99% – 24.99% depending on your credit history. There’s no annual fee, and it’s also a cash back card.

You can earn 3% at U.S. supermarkets (up to $6,000 per year in purchases), and then 1%. You can also earn 2% at U.S. gas stations and select U.S. department stores and you’ll earn 1% on all other purchases.

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on American Express’s secure website

5. Barclaycard CashForward™ World Mastercard® – 0% Intro Purchase APR for 15 MONTHS

Barclaycard CashForward™ World MasterCard<sup>®</sup>
This card offers an intro 0% on purchases and balance transfers for 15 months. After the intro period your APR will be 15.99%, 20.99% or 25.99% variable, depending on your credit history.

In addition to the 0% intro period, there is no annual fee and new purchases will earn unlimited 1.5% cash rewards. Keep in mind you need excellent credit to qualify, so if you have less than perfect credit check out some of the other offers.

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6. Discover It® Cashback MatchTM – 0% Intro Purchase APR for 14 MONTHS

Discover it® - Cashback Match<sup>TM</sup>
This card does not charge an annual fee and offers a 0% introductory APR on new purchases and balance transfers for 14 months after you open the account. After that your regular variable APR will be between 11.99% – 23.99% variable, depending on your credit history.

It also happens to be a cash back card with rotating purchase categories which change each quarter. You can earn up to 5% cash back.

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7. Alliant Visa® Platinum – 0% Intro Purchase APR for 12 MONTHS

Visa® Platinum Card from Alliant CU

Alliant is a credit union that anyone can join. You can take a simple eligibility test (here). But don’t worry if you answer “no” to most of the questions. You can always join by donating $10 to Foster Care For Success. With that donation, you can join the credit union.

Their Visa® Platinum offers no annual fee and a 0% purchase APR for 12 months.

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on Alliant CU’s secure website

Deferred versus Waived Interest

Not all 0% offers are created equally. Some credit card companies offer “deferred” interest, whereas others off “waived” interest.

Let’s take a simple example. You spend $1,000 on a credit card with an APR of 18%. You will make payments of $75 every month. There is a special offer that gives you 0% interest for 12 months. On “Credit Card A” interest is deferred. On “Credit Card B” it is waived. After making 12 payments of $75, the remaining balance in month 13 would be $100.

Credit Card A: Deferred Interest

With a “deferred” interest offer, the bank does not forgive the monthly interest accrual. Instead, the bank just keeps track of the interest that would have accrued. If you do not pay the balance in full during the promotional period, you will get retroactively charged the interest at a high interest rate. In the example above, you would be charged approximately $117 in month 13. (I use “approximately” because credit card companies have slightly different ways of calculating and charging interest. But it is safe to assume that you would be charged more than $100 of interest on your remaining $100 balance.)

Credit Card B: Waived Interest

Waived interest is very different. For every month of the promotional period, the credit card company actually forgives the interest. There will never be a retroactive catch up after the promotional period ends. In our example, you would only be charged $3.26 of interest in month 13, compared to more than $100 in the deferred example.

Deferred interest products are surprisingly common. If you are being offered 0% financing by a retailer, you are probably being offered a deferred interest product.

How To Qualify For A 0% Purchase Credit Card

In order to qualify for a 0% intro purchase credit card, you will need to have good credit. If your credit score is above 700, you are highly likely to be approved by one of the issuers. If your score is between 650 and 700, you still have a good chance.

With a credit score below 650, it is highly unlikely that you would be approved, though you may want to check to see if you are pre-qualified for a card before applying. Many of the banks let you check to see what deals they are specifically targeting to you, and you can see a list of them here. Checking what you’re pre-qualified for won’t show up on your credit report or score.

In addition to your credit score, the credit card company will want to ensure that you are employed. And most credit card companies will look at your debt burden.

If your debt burden is more than 50%, it is unlikely that you will be approved.

The lower your debt burden, the better your chances. You calculate your debt burden by dividing the monthly payments on your credit report (which would include your mortgage, auto loans, student loans, personal loans and credit cards) by your monthly paycheck before taxes are taken out.

When Is A Personal Loan Better?

There is no lower interest rate than 0%. So, if you are able to use a 0% credit card to make a purchase, that is your best bet. However, there are a few circumstances where a personal loan might be a better option:

  • Your credit score is too low for a 0% offer. Personal loan companies are offering increasingly competitive interest rates, especially for people with lower credit scores.
  • You need to borrow money for a big cash expense. For example, you might need to pay a contractor who does not accept credit cards. If you need cash, a personal loan is always a better deal than a credit card.
  • You don’t trust yourself with credit cards. Some people feel nervous with credit cards. You might be tempted to spend more than you want. Or, you might be tempted to only pay the minimum due, extending the repayment term. A personal loan can be an easy way to borrow a set amount of money for a set period of time.

If you want to consider a personal loan, you can compare and apply using our personal loan comparison tool. You can check your interest rate and see if you are approved without hurting your credit score at most lenders.

Nick Clements
Nick Clements |

Nick Clements is a writer at MagnifyMoney. You can email Nick at nick@magnifymoney.com

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Balance Transfer

Capital One Balance Transfer Offer

The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities.

review-cc-full

Balance transfer offers on credit cards can be an excellent way to reduce the cost of expensive credit card debt, helping you can get out of debt faster. Capital One only offers one card with a balance transfer intro period. Balance transfers are usually offered only to people with excellent credit, however you may qualify if you have good credit. It’s always a good idea to check if you’re prequalified before submitting an application.

In this article, we will:

  • Review the balance transfer offer from Capital One
  • Provide details on who can be approved for the offer
  • Decode the fine print, so that you know how to avoid tricks and traps that could cost you

Note: If you are looking to get out of debt, you should consider downloading our free Debt Free Guide. It will show you how to slash your interest rates, boost your credit score, negotiate hard with creditors and become debt-free fast and forever. Balance transfers can be a great tool in your debt-free strategy, but everyone should have a strategy. And this guide can help you build one.

Offer Review

Capital One® Quicksilver® Cash Rewards Credit Card

Quicksilver® Cash Rewards Credit Card

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The Capital One® Quicksilver® Cash Rewards Credit Card is best known for having no annual fee, and providing unlimited 1.5% cash back on all of your spend. Unlike many cash back credit cards, there are no rotating categories, no caps, and no minimums for getting your cash back. They really raised the bar on cash back credit cards, until Citibank created the Citi® Double Cash Card which does the same thing, except you earn unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases.

Capital One® Quicksilver® Cash Rewards Credit Card offers 0% intro APR for 9 months on purchases and balance transfers, with a 3% fee. When compared to the rest of the market, this is a mediocre intro period. You can find cards with intro periods of 15, 21 and 24 months. We list all of the balance transfer options here.

Approval Criteria

Capital One markets this card for people with excellent credit. On their website, excellent credit is defined as someone who:

  • Has never declared bankruptcy or defaulted on a loan
  • Hasn’t been more than 60 days late on any credit card, medical bill, or loan in the last year
  • Has had a loan or credit card for 3 years or more with a credit limit above $5,000

If your credit score isn’t excellent, your options are much more limited. In fact, we recommend considering a personal loan to get a lower rate on your debt, where you will have a better chance of getting a higher loan amount.

 Fine Print Alert

Balance transfers can save you a lot of money. However, there are certain traps out there, and if you fall for those traps it could end up costing you a lot of money. Make sure you do the following:

  • If you are approved for your balance transfer credit card, complete the balance transfer right away. The 0% promotional offer begins the day your account is open.
  • Set up automatic payments so that you are never late. Even being late by one day can result in a steep late fee. And, if you are late by 60 days or more, you can see a big spike in your interest rate.
  • Don’t spend on the credit card. Although Capital One does offer 0% on purchases, they do that as a temptation. They want you to spend, so that you don’t use the promotional period to pay down your debt. If you are using a balance transfer, you should be doing it to get out of debt faster.

To learn more about balance transfers, you can visit our learning center.

Balance transfers, when used properly, can take years off your debt repayment. With proper credit behavior, the Capital One® Quicksilver® Cash Rewards Credit Card can save you money and help rid you of debt.

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Nick Clements
Nick Clements |

Nick Clements is a writer at MagnifyMoney. You can email Nick at nick@magnifymoney.com

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Best of, Credit Cards

Best Credit Cards of 2017

The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities.

As you look for a new credit card, remember the golden rule of credit cards:

Choose a rewards card for your spending bonuses. Choose a low-rate card for your borrowing and paying off debt. Don’t confuse the two types of cards!

We examined each card type’s fine print to understand fees, rewards rates, interest rates, and more. After digging into the cards, we determined that these are the best credit cards to have in your wallet.

Credit cards offer more than unparalleled consumer protections and an easy way to track your spending. They can offer 2% cash back, 6% category bonuses, and travel miles. Credit card issuers spent more than $22.6 billion on rewards in 2016 alone. That’s 23% more than they spent in 2015. If you haven’t changed your rewards credit card in the last two years, you’re leaving money on the table.

Even if you carry credit card debt from time to time, credit cards can be a tool to help you plow out of debt. No matter what your situation, MagnifyMoney can help you find the credit card that will put money back in your pocket.

Best Cash Back Rewards Cards

Citi Double Cash®

The Citi Double Cash® credit card offers straightforward rewards. You earn 1% when you buy and 1% when you pay off your bill. This is a great card for people who don’t want to worry about difficult reward redemptions. It’s also one of the first credit cards that encourages you to pay off your bill in full each month. After all, you don’t get the second half of your reward until you pay off your credit card.

Best Cash Back Credit Card of 2017

Citi® Double Cash Card

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Citi® Double Cash Card

Annual fee
$0 For First Year
$0 Ongoing
Cashback Rate
1% when you buy, 1% when you pay
APR
14.49%-24.49%

Variable

Credit required
good-credit

Good

Alliant Cash Back Visa® Signature

With 3% cash back in the first year, and 2.5% all other years, this card offers some of the best pure cash back rates on the market. The $59 annual fee means that you have to spend at least $1,000 per month to come out ahead relative to a 2% earnings rate. Not everyone feels comfortable putting that much on a credit card each month. But if you regularly spend that much (and pay off your debt), this is the right credit card for you.

First Year 3% Back

Alliant Cashback Visa® Signature Card

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Alliant Cashback Visa® Signature Card

Annual fee
$0 For First Year
$59 Ongoing
Cashback Rate
Unlimited 3% cash back during the first year; 2.5% cash back afterwards
APR
11.24%-24.24%

Variable

Credit required
good-credit

Good

Capital One® BuyPower CardTM

This credit card isn’t for everyone, but it offers compelling rewards for GMC devotees. Since GMC doesn’t want to earn money from this credit card, they offer premium rewards and perks to all cardholders. Perks include 5% back on the first $5,000 you spend on the card. If you plan to buy a new GMC vehicle, make this your new favorite credit card.

Up to 5% Toward Your Next Vehicle

Capital One® BuyPower Card™

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Capital One® BuyPower Card™

Annual fee
$0 For First Year
$0 Ongoing
Cashback Rate
5% on your first $5,000 in purchases, 2% after that
APR
13.90%-23.90%

Variable

Credit required
fair-credit

Average

QuicksilverOne Rewards® from Capital One

If you struggled with credit in the past, but you’re back on track, the QuicksilverOne® Rewards card from Capital One® offers the right rewards at the right price. If you spend at least $225 per month on credit cards, you’ll earn more than you pay in annual fees. Normally, we don’t recommend cards with annual fees and low earning rates. However, this card is an exception if you have fair credit. Once your credit improves, you can call Capital One and ask for a no-fee card with better rewards.

OK for Fair Credit

QuicksilverOne® Rewards from Capital One

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QuicksilverOne® Rewards from Capital One

Annual fee
$39 For First Year
$39 Ongoing
Cashback Rate
up to 1.5%
APR
24.99%

Variable

Credit required
fair-credit

Average

Best Cash Back for the Way You Spend

Blue Cash Preferred® Card from American Express

Everyone needs to eat, but grocery spending can eat into your budget. By using the Blue Cash Preferred® Card from American Express, you can save 6% on all your grocery expenditures without clipping a coupon. You’ll pay a $95 annual fee, but big grocery spenders will earn that much and more from their annual grocery spend.

6% Grocery Bonus

Blue Cash Preferred® Card from American Express

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Blue Cash Preferred® Card from American Express

Annual fee
$95 For First Year
$95 Ongoing
Cashback Rate
6% at US supermarkets (on up to $6,000 per year in purchases), 3% at US gas stations and select US department stores, 1% on other purchases
APR
13.99%-24.99%

Variable

Credit required
good-credit

Good

Fort Knox Federal Credit Union Visa® Platinum Card

With an unlimited 5% cash back on fuel purchases, this is one credit card that can lower your pain at the pump. Unlike other credit cards, rewards get applied to your statement balance. This means you don’t have to fiddle around with awards programs. You’ll simply pay less each month.

5% Gas Bonus Cash

Fort Knox Federal Credit Union Visa® Platinum Card

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Fort Knox Federal Credit Union Visa® Platinum Card

Annual fee
$0 For First Year
$0 Ongoing
Cashback Rate
5% back on all gas station spending, 1% on all other purchases
APR
10.25%-15.25%

Variable

Credit required
good-credit

Good

PenFed Premium Travel Rewards American Express® Card

If you’re constantly in the air, the PenFed Premium Travel Rewards card offers one of the market-leading rates for purchasing airfare. If you want to redeem your rewards for more airfare, you can find rates as high as 4.5%, but if you want cash, the PenFed Premium Travel Rewards card offers the best rate. You’ll earn an effective 4.25% cash back rate whenever you buy tickets directly from an airline.

5x Airfare Bonus

PenFed Premium Travel Rewards American Express® Card

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PenFed Premium Travel Rewards American Express® Card

Annual fee
$0 For First Year
$0 Ongoing
Cashback Rate
5x points on airfare, 1x on everything else
APR
9.74%-17.99%

Variable

Credit required
good-credit

Good

Capital One® Premier Dining Rewards

It’s easy for restaurant spending to dominate your credit card spending. If you eat out a few times a week or more, the 3% cash back on dining will help you enjoy more rewards after you enjoy your meal. Plus, this no-annual-fee card comes with travel protections that usually require at least a $59 annual fee. Foodies can feel good about having a card that rewards them for the way they spend.

3% Dining Bonus (And More)

Premier Dining Rewards From Capital One

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Premier Dining Rewards From Capital One

Annual fee
$0 For First Year
$0 Ongoing
Cashback Rate
up to 3%
APR
15.49%-24.49%

Variable

Credit required
excellent-credit

Excellent

Also Consider Also Consider

Chase Sapphire ReserveSM

If you’re a traveling foodie, you may want to consider the Chase Sapphire ReserveSM Credit Card. The card allows you to earn 3 points for every dollar you spend on dining or travel and 1 point for every other dollar you spend. When you redeem the points for more travel, you get a 50% bonus, which brings the rewards rate up to 4.5 cents for every dollar you spend on dining or travel.

The card comes with a hefty $450 annual fee, but it also comes with a $300 annual statement credit for travel purchases and superior travel protections. Plus, you’ll earn a 50,000 point bonus if you spend $4,000 in three months.

Amazon Prime Rewards Visa® Signature Card

If you’re already an Amazon Prime customer, you can enjoy an additional 5% off with every purchase. Anyone who is addicted to Amazon’s convenience will love saving even more on their everyday spending. Of course, some people worry they spend too much online. This credit card doesn’t have to make your problem worse. If you choose to remove “instant purchase” from your Amazon account, you’ll force yourself to think before you check out

5% Online Retail

Amazon Prime Rewards Visa® Signature Card

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Amazon Prime Rewards Visa® Signature Card

Annual fee
$0 For First Year
$0 Ongoing
Cashback Rate
5% back on all Amazon purchases, 2% back at restaurants, gas stations, and drugstores, 1% back on other purchases
APR
14.99%-22.99%

Variable

Credit required
good-credit

Good

Also Consider Also Consider

Target REDCardTM

If you’re not already an Amazon Prime member, the Amazon card isn’t a good fit for you. Instead, consider the Target REDCard™. As a REDCard holder, you’ll get 5% off all Target and Target.com purchases, free shipping, and an extra 30 days for returns. When it comes to everyday shopping needs, you can’t find a better rate than 5% off. Just don’t carry a balance on this card: REDCard™ credit cards carry a 23.65% APR. If you want the same discount without another credit card, you can also get a REDCard™ debit card.

Best Travel Rewards Credit Cards

Chase Sapphire Preferred® Credit Card

Kiplinger named the Chase Sapphire Preferred® Credit Card their 2016 “Easiest for flight redemption” credit card. We can see why. Customers can use points directly with airlines, redeem through the Chase rewards portal, or choose a statement credit. With a huge intro bonus and great perks, this makes a great card for airline travelers.

Best Overall

Chase Sapphire Preferred® Card

Annual fee
$0 For First Year
$95 Ongoing
Rewards
2 points on travel and dining, 1 point on all other spending
APR
16.99%-23.99%

Variable

Credit required
good-credit

Good/Excellent

Also Consider Also Consider

Barclaycard Arrival Plus® World Elite Mastercard<sup>®</sup>

Barclaycard Arrival Plus® World Elite MasterCard®

The Barclaycard Arrival Plus® card offers 50,000 bonus miles when you spend $3,000 in your first three months. On top of that, users will earn two miles for every dollar they spend and a 5% bonus on every mile they redeem. Each point is worth one penny and can be redeemed for a statement credit on all travel-related purchases. The Arrival Plus® card requires an $89 annual fee that is waived in the first year.

Unfortunately, Barclaycard’s perks are not quite as good as Chase’s. They have trip accident and trip cancellation insurance, but you don’t get auto rental collision coverage, baggage protection, or other important perks. From a points-earning perspective, Barclaycard Arrival Plus® World Elite MasterCard® is a long-term winner, but lack of perks puts it behind Chase Sapphire Preferred.

Venture® Rewards Card

Capital One® Venture® Card

Capital One® Venture® Card allows you to earn a 50,000 point bonus when you spend $3,000 in your first three months. You’ll also earn an unlimited two miles for every dollar you spend. With just a $95 annual fee, waived the first year, this is one of the few travel rewards cards that might be worthwhile to lower spenders. The card also comes with all Visa Signature® benefits. Those benefits include secondary auto rental collision damage waivers, hotel upgrade options, and free extended warranties. If you can’t justify a high annual fee, consider this Venture® card for your travel credit card needs.

Discover it® Miles Travel Credit Card

The Discover it® Miles card offers one of the best rewards rates for travel credit cards without an annual fee. You’ll earn unlimited 1.5 miles per dollar, and Discover will match all the Miles you’ve earned at the end of your first year. Points are worth 1 cent each, so your first year you earn an effective rate of 3% on all your spending. You can redeem your rewards at any time for any type of travel.

3x Rewards Your First Year (With No Annual Fee)

Discover it® Miles

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Discover it® Miles

Annual fee
$0 For First Year
$0 Ongoing
Rewards
1.5 miles per dollar (plus a match at the end of your first year)
APR
11.99%-23.99%

Variable

Credit required
good-credit
Good / Excellent

Also Consider Also Consider

BankAmericard Travel Rewards® Credit Card

The standard rewards rate for this fee-free credit card is 1.5 miles per dollar spent. However, you’ll also earn a 20,000 point bonus if you spend $1,000 or more in your first 90 days. High net worth individuals also have an opportunity to boost their rewards. If you have at least $20,000 in assets at Bank of America or Merrill Edge, you’ll earn 25% more rewards. At $50,000 in assets, you’ll boost your earnings by 50%. With $100,000 in assets, you’ll get 75% more rewards. That’s the equivalent of 2.63 miles for every dollar spent. For high net worth individuals, this card offers higher earning potential than some of the best cards with fees.

Priceline RewardsTM Visa® Card

When traveling abroad, you need a credit card with Chip + PIN technology and no foreign transaction fees. Many international merchants, hotels, and restaurants can accept the more common Chip + Signature technology featured on U.S. credit cards, but automated kiosks at train stations and other travel hubs require the PIN technology. Thankfully, the Priceline RewardsTM Visa® Card has the required technology, and it doesn’t charge foreign transaction fees. Plus, you’ll earn a few rewards when you spend with this card. It’s not the best credit card for earning rewards, but it’ll save your money and your sanity when you’re abroad.

No Fee for International Travel

Priceline Rewards™ Visa® Card form Barclaycard

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Priceline Rewards™ Visa® Card form Barclaycard

Annual fee
$0 For First Year
$0 Ongoing
Rewards
5 points on eligible priceline.com purchases, 1 point on all other purchases
APR
15.99%-25.99%

Variable

Credit required
excellent-credit

Excellent

Starwood Preferred Guest® Card from American Express®

Starwood points are among the most valuable points on the market. They are transferable to many airlines, and you can even trade 1 Starwood point for 3 Marriott points. Thanks to flexibility in transferring and redeeming points, this is our favorite card for earning free hotel stays. Many users can get at least 2.5 cents per point in value on their redemption.

Triple Your Hotel Rewards

The Starwood Preferred Guest® Credit Card from American Express®

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The Starwood Preferred Guest® Credit Card from American Express®

Annual fee
$0 For First Year
$95 Ongoing
Rewards
up to 5x points
APR
16.24%-20.24%

Variable

Credit required
good-credit

Good

Best Sign-Up Bonuses

Chase Sapphire Preferred® Credit Card

Earn $500 cash or $625 in travel credits when you spend $4,000 in your first three months. This isn’t the largest sign-up bonus available today. However, the flexible points redemption options and great travel protections make this our top choice for travel sign-up bonuses.

Best Travel Bonus - $625

Chase Sapphire Preferred® Card

Annual fee
$0 For First Year
$95 Ongoing
Rewards
2 points on travel and dining, 1 point on all other spending
APR
16.99%-23.99%

Variable

Credit required
good-credit

Good/Excellent

Also Consider Also Consider

U.S. Bank Altitude Reserve Visa Infinite® Card

U.S. Bank customers with good credit and high spending may qualify for the lucrative $750 travel sign-up bonus with the Altitude Reserve Visa Infinite® Card. You need to spend $4,500 in 90 days to earn the 50,000 point bonus. When redeemed for qualified travel, 50,000 points translates to $750 in travel. The Altitude Reserve Visa Infinite® comes with a hefty $400 annual fee, but most people will make that up easily. The card offers a $325 annual statement credit for travel purchases, complimentary access to airport lounges, and other high-end perks. In addition to offering the best sign-up bonus on the market, it offers some of the most exciting travel perks. This card failed to become first place because of the high annual fee, but for frequent travelers, this is the best card on the market.

Barclaycard CashForwardTM World MasterCard®

If you spend at least $1,000 in 90 days, you’ll qualify for the lucrative $200 sign-up bonus. Plus, the Barclaycard CashForward™ offers ongoing 1.5% cash back on all purchases. You’ll also get a 15-month 0% APR on all new purchases, which makes the card compelling if you need to extend payments on a big purchase. Just be sure to pay off your balance before the 15-month promo period ends. This is one card that can lure you into a false sense of security before it hits you with high interest rates.

TruWest Visa® Signature

If you don’t spend much money on credit cards, you can still earn lucrative sign-up bonuses. The TruWest Visa® Signature Card offers a $100 sign-up bonus when you spend just $100 in your first 90 days. You’ll also get a competitive interest rate and no annual fee. The card also comes with secondary auto rental collision damage waivers that can save you money when renting a vehicle. Cardholders only earn 1 point for every dollar that they spend, and points can be redeemed for a penny (or for more when redeemed through the TruWest redemption portal).

Best 0% APR Purchase Credit Cards

21 Months Without Interest

Citi Simplicity® Card - No Late Fees Ever

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Citi Simplicity® Card - No Late Fees Ever

Intro BT APR
0%

promotional rate

Balance Transfer Fee
3%
APR
14.99%-24.99%

Variable

Duration
21 months
Credit required
good-credit

Excellent/Good

Also Consider Also Consider

Citi® Diamond Preferred® Card

Citi® Diamond Preferred® offers 21 months of interest-free financing. However, Diamond Preferred customers will pay late fees if they make late payments. As long as you make on-time payments, the Citi® Diamond Preferred® makes an excellent 0% intro APR credit card.

When the promo period ends, the Citi® Diamond Preferred® has somewhat lower interest rates than the Simplicity card, but you still don’t want to carry a balance on this card.

Best Balance Transfer Credit Cards

Barclaycard RingTM MasterCard®

In an effort to give big bank customers a community feel, Barclaycard created Barclaycard Ring™ MasterCard®. All members get the same interest rate for borrowing, and members can transfer in with no balance transfer fee. For someone paying off substantial debt, this can be a huge savings. Plus, all members get to voice their opinions on product changes. The Barclaycard Ring™ MasterCard® accepts customers with average credit, so many people who don’t qualify for other balance transfer cards will qualify for this one. Even better, if you qualify, your everyday borrowing rate is 13.99%. It’s not the best rate on the market, but it’s lower than most leading balance transfer cards.

15 Months, No Fee

Barclaycard Ring™ MasterCard<sup>®</sup>

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Barclaycard Ring™ MasterCard®

Intro BT APR
0%

promotional rate

Balance Transfer Fee
0%
APR
13.99%

Variable

Duration
15 months
Credit required
excellent-credit

Excellent Credit

Also Consider Also Consider

Chase Slate®

Like Barclaycard, Chase Slate® offers an introductory 15 months of 0% balance transfer with a $0 balance transfer fee for transfers made within the first 60 days of account opening. However, the card has a higher regular interest rate (15.99%-24.74%), 3% foreign transactions fees, and just a 21-day grace period before interest begins to accrue. Other than the fine print, Chase Slate® is a solid balance transfer credit card.

Santander Sphere® Credit Card

A 0% balance transfer, 0% APR for purchases, rewards, and modest interest rates. The Santander Sphere® Credit Card has it all. But the real reason to use this credit card is the 24-month balance transfer period. Even if you have substantial credit card debt, you could pay it all off by the end of the 24-month 0% balance transfer period. The card charges a 4% balance transfer fee, so this shouldn’t be your first choice card (it’s better to use two 15-month credit cards with 0% balance transfer fees). Despite the fee, you should consider this card if you’re committed to paying off all your credit card debt in under two years.

Longest Balance Transfer

Sphere® Credit Card from Santander

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Sphere® Credit Card from Santander

Intro BT APR
0%

promotional rate

Balance Transfer Fee
4%
APR
13.49%-23.49%

Variable

Duration
24 months
Credit required
fair-credit

Average

Also Consider Also Consider

Citi® Simplicity® Card

Citi® Simplicity® offers just a 21-month balance transfer period, but this card is much friendlier than the Santander Sphere® Credit Card. You’ll never pay late fees with Citi® Simplicity®, and the balance transfer fee is 3% instead of 4%. Citi® Simplicity® has some gotcha fees (like foreign transaction fees and cash advance fees), but it’s designed for ease of use. Take a look if you want a simpler balance transfer credit card.

Best Low Interest (Not 0%) Credit Cards

Elements Financial Platinum Visa® Credit Card

Elements Financial Platinum Visa® Credit Card is close to the perfect credit card. It offers a low everyday borrowing rate, a significant sign-up bonus, and no balance transfer fees. This card is straightforward and easy to use. You have to become a member of Elements Financial Credit Union, but you can easily join online. When it comes to low interest rates for people with average credit, this is our top choice.

No Gimmicks, 9.99% Interest Rate

Elements Financial Platinum Visa® Credit Card

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on ELFCU’s secure website

Elements Financial Platinum Visa® Credit Card

Annual fee
$0 For First Year
$0 Ongoing
APR
9.99%

Variable

Credit required
fair-credit

Average

Visa® Platinum Card from Trustmark Bank

People with excellent credit can see rates as low as 7.15% with the Visa® Platinum Card from Trustmark Bank. Even if you have fair credit, your rate is only as high as 12.15%. The card isn’t perfect. It comes with a host of late fees, and other problematic fees that could lead to financial trouble. However, the low borrowing rate makes it worth considering, especially for people who don’t qualify for great rates elsewhere.

Great Rates for All

Visa® Platinum Card from Trustmark Bank

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on Trustmark Bank’s secure website

Visa® Platinum Card from Trustmark Bank

Annual fee
$0 For First Year
$0 Ongoing
APR
7.15%-12.15%

Variable

Credit required
fair-credit

Fair

Tinker Federal Credit Union Visa® Classic

Even people with fair credit can qualify for the Tinker Federal Credit Union Visa® Classic credit card. It’s a straightforward credit card with interest rates between 9.50% and 11.50%, depending on your credit score. The card doesn’t come with special perks or bonuses, but for people with fair credit, this is an excellent unsecured credit card option.

OK for Fair Credit

Tinker Federal Credit Union Visa® Classic

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on Tinker Federal Credit Union’s secure website

Tinker Federal Credit Union Visa® Classic

Annual fee
$0 For First Year
$0 Ongoing
APR
9.50%-11.50%

Variable

Credit required
fair-credit

Fair

Best Credit Cards for Building Your Credit Score

Discover it® Secured Credit Card

If you’re building or rebuilding your credit score, the Discover it® Secured Credit Card offers your best opportunity to build credit without unreasonable fees. You won’t pay an annual fee, the deposit is reasonable, and the path to a deposit return is automatic. Other secured credit cards have lower interest rates or smaller required deposits. However, the Discover it® offers the tools and insights that you need to increase your credit score.

Best Secured Card for Bad Credit

Discover it® Secured Card - No Annual Fee

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on Discover’s secure website

Read Full Review

Discover it® Secured Card - No Annual Fee

Annual fee
$0 For First Year
$0 Ongoing
Minimum Deposit
$200
APR
23.99% APR

Variable

Credit required
bad-credit
Bad

Also Consider Also Consider

Capital One® Secured MasterCard®

The Capital One® Secured MasterCard® offers deposits as low as $49, and you won’t pay an annual fee. Plus you’ll have access to the CreditWise tools that can help you build your credit. Unfortunately, Capital One doesn’t automatically review your credit use to return your security deposit. This means you will have to call the bank after a year to ask for a credit card upgrade.

The Capital One® Secured MasterCard® offers better benefits than other secured credit cards. For example, you’ll get price protection, free extended warranties, and secondary auto rental insurance. However, your credit limit will likely be so low that you can’t take advantage of these protections at first.

Best Credit Cards for Students

Discover it® for Students

The Discover it® for Students credit card offers reasonable rewards to students who might not qualify for better credit cards. With this card, you won’t pay an annual fee, you’ll have access to credit info, and you can earn up to 5% back in rotating categories. Plus, you’ll have a chance to double your rewards at the end of your first year and earn an extra $20 when you keep your grades up. This is an ideal card for college students who want to improve their credit score.

Discover it® for Students

APPLY NOW Secured

on Discover’s secure website

Read Full Review

Discover it® for Students

Annual fee
$0 For First Year
$0 Ongoing
Cashback Rate
up to 5%
APR
13.99%-22.99%

Variable

Credit required
fair-credit
Fair

Also Consider Also Consider

Journey Student Credit Card from Capital One®

Students can earn up to 1.25% cash back when they use the Journey Student Credit Card from Capital One®. The card also comes with no foreign transaction fees, travel perks, and more. As a customer, you’ll also have access to the CreditWise® portal from Capital One®. The portal offers free insights into your credit score and the steps you can take to improve it. The rewards aren’t as good as the Discover it® for Students credit card, but it’s worth a look, especially if you already have a bank account with Capital One.

Best Credit Cards for Business Spending

Chase Ink Business PreferredSM Credit Card

The Chase Ink Business PreferredSM Credit Card offers a huge intro bonus and opportunities to earn triple points. Customers can use points directly with partner airlines, redeem through the Chase rewards portal, or choose a statement credit. With a huge intro bonus and great perks, this makes a great card for business owners who want to earn great rewards for their business spending.

Best Credit Card for Business Rewards

Chase Ink Business Preferred℠ Credit Card

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on Chase’s secure website

Chase Ink Business Preferred℠ Credit Card

Annual fee
$95 For First Year
$95 Ongoing
Rewards
up to 3x points
APR
16.99%-21.99%

Variable

Credit required
excellent-credit

Excellent

Also Consider Also Consider

Spark® Cash for Business from Capital One®

For business owners who want straightforward cash back rewards, the Spark® Cash for Business from Capital One® may be the best option. It comes with unlimited 2% cash back. Plus, you can earn a $500 intro bonus when you spend at least $4,500 in your first three months. The Spark® Cash makes a lot of sense for business owners who want to give their employees credit cards because they don’t charge to make employees authorized users.

The card does have a $59 annual fee (waived the first year), but any business owner who spends more than $1,000 per month will outearn the Spark® Cash Select, which only earns 1.5% back.

Blue BusinessSM Plus Credit Card from American Express

The Blue BusinessSM Plus Credit Card allows small business owners to borrow money at a 0% rate for 15 months. If you’re an entrepreneur getting started, or you need additional capital to fund growth, this is a great option for you. Plus, the card has the advantage of being a charge card/credit card hybrid. As a business owner, you can spend beyond your credit limit as long as you pay back the overage at the end of the month.

Best Credit Card for Business Borrowing

The Blue Business(SM) Plus Credit Card from American Express

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on Bank Of America’s secure website

The Blue Business(SM) Plus Credit Card from American Express

Annual fee
$0 For First Year
$0 Ongoing
Rewards
up to 2x points
APR
12.24%-20.24%

Variable

Credit required
fair-credit

Average

Also Consider Also Consider

Chase Ink Business CashSM Card

The Chase Ink Business CashSM Card offers 12 months of interest-free financing for business owners. It’s not as long as the intro borrowing period from the Blue BusinessSM Plus Credit Card from American Express, but it is another great option. Right now, you’ll earn a $300 intro bonus when you spend $3,000 in your first three months with the Chase Ink Business CashSM Card. Plus, you’ll enjoy Chase’s famous travel insurance protections on a card with no annual fee. The only drawback to this card is the high everyday borrowing rates and the fees (including a 3% foreign transaction fee and late payment and returned payment fees).

Learn More

A credit card allows you to build a credit score without paying interest or fees, but you shouldn’t open a credit card if you don’t understand how to use it. In our in-depth study of credit card debt, we found that 73.2% of U.S. adults have a credit card, and 58% of them had credit card debt in the last year. That means that a lot of people pay credit card interest each year.

We want everyone to enjoy the benefits of credit card use, but you cannot enjoy the benefits unless you understand the credit card risks. A credit card is a short-term loan. To avoid paying interest on your credit card, you need to pay back the credit card balance on time and in full every month. When you’re prepared to take on that responsibility, open up a credit card.

If you’ve struggled with debt, consider setting guardrails in place for your credit card use. You could use debit cards for all purchases except a small monthly bill (like internet service). This will help you increase your credit score without pushing you to overspend. Some people use services like Debitize to deduct credit card expenses from their checking account as they spend. Both strategies can prevent you from going into debt.

Over time, you may learn about opportunities to borrow money at 0% interest rates, or to earn cash back rewards. However, when you first open a credit card, your primary goal should be building your credit score.

The best type of credit card depends on your credit history and your goals. Many people love credit card rewards. You can earn big sign-up bonuses, or up to 2% cash back on all your purchases when you use credit cards.

Of course, the best credit cards aren’t always the cards that offer the biggest rewards. If you’re trying to pay off debt, you’ll want to look at 0% balance transfer credit cards. People who are new to credit or need to rebuild credit should consider secured credit cards.

Most credit cards have high interest rates. That makes them less attractive for borrowing money in the long term. These days, you can find 0% purchase offers for up to 21 months. Consider 0% purchase cards for times when you have a cash flow emergency or when you want to pay off a larger purchase over time.

The best way to maximize credit card rewards is to take advantage of sign-up bonuses. Credit cards offer bonus rewards worth 10%-30% cash back when you meet a spending threshold. But you need to be careful with this type of strategy.

Deal chasers can end up in serious credit card debt, and they pay more in interest and fees than they earn in rewards. You also may end up paying multiple annual fees on cards you never use.

Low-interest credit cards can be an important part of your financial plan, but you have to be careful when you use them. If you qualify for a 0% APR credit card, consider using that promotional interest rate strategically. Some people use 0% APR rates to even out cash flow for a big purchase. For example, if you need materials for a remodel or new appliances, a 0% loan makes sense. Whenever you borrow on credit cards (even at a 0% rate), you need a plan to pay off the debt before the end of the intro rate. Borrowing money at double-digit rates always hurts. Part of your plan to eliminate debt should involve making more than the minimum payments on your credit card debt, even when the interest rate is at 0%.

Many people keep low-interest credit cards around for emergencies. This is an effective strategy when you’re just getting started or if you have unpredictable income. However, a low-interest credit card does not replace an emergency fund. Everyone can work to save a $1,000 checking account buffer as soon as possible. In time, you may want to save as much as six months of income in cash.

Balance transfers are one of the more complex credit card features. If you have credit card debt or personal loans, you can transfer the balance of an existing debt onto a new credit card. Why would you want to do that? Some credit cards offer 0% introductory interest rates for balance transfers. This means that you can save money on interest payments while you pay down debt.

In our popular guide to becoming debt free, we outline specific ways you can use a balance transfer. Our guidelines help you save money and improve your financial peace of mind.

If you want to use a balance transfer to pay off debt faster, these are the things you should know:

  1. You need to transfer the balance immediately. Balance transfer offers last anywhere from 30 to 90 days after you open a credit card. Take advantage of the 0% interest right away.
  2. You may pay a balance transfer fee. In general, you will pay a 3%-4% balance transfer fee. That means you’ll pay $300-$400 to transfer $10,000 of credit card debt.
  3. You can transfer debt more than once. Most people spend years getting into credit card debt. That means it could take years to get out of debt. You don’t need to pay painfully high interest rates if you can’t eliminate all your debt by the end of the promo period. Instead, make a plan to transfer your debt at the end of the introductory offer. For example, you can use a 15-month balance transfer followed by a 21-month balance transfer to eliminate your credit card debt in less than four years.
  4. Use this calculator to compare personal loans to balance transfers to see which will save you more money.

Credit cards are the best tool for building (or rebuilding) a credit score. They are the only credit option that allows you to build a credit score without paying interest or fees. We’ve seen people build credit scores in the 700s range with just a single credit card.

If you want to build your credit score using just credit cards, follow this strategy. First, identify the type of credit card you should use. Most people open a student credit card or a secured credit card for their first credit account. Look to prequalify for a credit card if possible. Since you want to keep your first credit card open forever, you’ll want to avoid predatory lenders with high fees and unclear contracts. We explain the red flags below.

Once you have a credit card, you’ll want to keep your credit card utilization low. People with the best credit scores typically have utilization rates below 15%. What does that mean? If you have a $200 credit limit, then aim to spend less than $30 per month on your credit card. That doesn’t mean carry a $30 balance from month to month. It means never spend more than $30 on your credit card at one time.

You’ll also need to pay your credit card bill on time and in full every month. This is the easiest way to build your credit score. Keep tabs on your credit score using Credit Karma or a tool offered by your bank. Don’t apply for new credit cards until you have average or good credit.

If you have no credit history, or items in collections, banks will consider you a poor credit risk. That means you won’t get the best credit card perks, and you’ll have high interest. However, people with poor credit shouldn’t be subject to unclear contracts or high fees without merit.

When we read credit card contracts, we’ve noticed that even secured credit cards come with complex fine print that includes:

  • Annual fees automatically added to bills.
  • No opportunity to transfer to an unsecured credit card.
  • User fees.
  • Interest begins accruing immediately (no grace period).

If you’ve got bad credit or no credit, banks like Credit One, First Premier, First Progress, and Continental Finance will target you with fee traps. Most or all products offered by these banks failed MagnifyMoney’s transparency score. If you have a card by one of these banks, shut it down. You don’t need these fee traps. Instead, open a secured credit card from a reputable bank or credit union that is willing to work with you.

Please note: If you’ve undergone bankruptcy in the last year, you may not qualify for secured credit cards from reputable institutions. Rather than choosing a shady lender, wait for a year to open a new credit card.

If you have just a few derogatory marks on your credit, you will probably qualify for secured credit cards that will help you rebuild your credit score.

When you use a credit card responsibly, you’ll enjoy two major perks. First, credit cards help you build your credit. This means you’ll pay less for auto loans or mortgages. It means that landlords will be more likely to accept you as a tenant, and you won’t have to pay deposits for utility bills.

The second perk is protection against fraud. By law, you’ll never pay more than $50 for fraudulent charges on your credit card. However, most credit cards offer an even better perk. They offer $0 fraud liability. Plus, credit card companies monitor your credit card use to shut down fraudulent transactions as soon as they happen.

Debit cards don’t offer that kind of protection. According to the FTC, your bank can hold you responsible for 100% of the losses associated with your debit card if you fail to report the fraud within 60 days.

Debit card liability from FTC.gov.

Most rewards credit cards offer other protections and perks, too. Check your credit card’s guide to benefits to see if you have these amazing benefits:

Price protection – You bought a big ticket item and then found a cheaper price a week later. If your credit card offers price protection, you can get the price difference refunded to your card. Cards that offer this perk usually offer price protection that lasts 30-90 days.

Purchase protection – Protect your items from theft or accidental damage for up to 30-90 days. Credit cards that offer this insurance may require proof of loss or damage. The program also compensates loss only up to $1,000 in most cases. Still, this is a great asset that most people don’t understand.

Visibility to credit score – You need to know your credit score and how to improve your score. Most credit card companies now offer free credit-reporting tools to help you improve your credit health.

Free extended warranties – Never pay for an extended warranty again. Many credit cards will match manufacturer warranties.

Auto rental collision damage waiver – If you don’t have rental protection on your car insurance, you want to rent cars with a credit card that offers primary auto rental collision damage waivers. This benefit will easily save you $20 or more every day that you rent a vehicle.

Trip interruption/cancellation insurance – Was your trip interrupted or canceled due to events outside of your control? Your credit card may refund what your airline, train, or hotel will not.

Lost luggage insurance – Airlines won’t compensate you when they lose your luggage, but your credit card will. Credit cards that offer this perk usually limit loss to $3,000 per person.

Concierge level identity theft resolution services – If you become the victim of identity theft, the biggest cost to you is your time. Some credit cards will resolve all identity-theft-related issues for you.

Access to airport lounges – Some high-fee travel credit cards give you unlimited access to airport travel lounges.

Upgrades on hotel stays – Credit cards offer all kinds of hotel-related perks. You can get everything from free breakfast to discounted room upgrades to elite hotel membership status.

Free checked bags – Some airline cards offer free checked bags. Other cards will refund airline fees up to a set amount each year.

Concierge services – Need help booking tickets or hotels or reserving restaurants? Call the concierge service provided by your credit card. They will provide you with insights and the help you need to make your life easier.

The most common credit card fees are late payment fees. If you pay your bill late by even a day, most credit card companies will automatically assess a fine in excess of $20 (some are as high as $39).

The good news is if you have a history of on-time payments, most banks will waive the late payment fee if you call and ask them.

Other common fees you should consider include:

  • Foreign transaction fees: You’ll pay 1%-3% on every transaction that you make overseas.
  • Returned payment fees: If the check for your payment bounces, you’ll pay a hefty fee in most cases.
  • Cash advance fees: Unless you want to pay $5-$10 to get cash out of an ATM, avoid cash advances.
  • Balance transfer fees: When you transfer a balance, you’ll generally pay 3%-4% of the total balance.
  • Penalty APR: Your interest rate may increase if you make a late payment.

The minimum payment calculation differs by credit card issuer. The most common is 1% of the principal balance plus any interest or fees that accrued in the month (or a set amount, like $25, if the minimum due is very low).

If you look on the back of you bill, your credit card company will provide information on how to pay off your debt in three years or less.

It’s better to make no payment than to make a payment less than your required minimum. If you have multiple credit cards, try to make the minimum payments on the greatest number of credit cards. Don’t pay late on one credit card one month, and then a different card the next month. This will just get you into a game of robbing Peter to pay Paul.

If you truly cannot make the minimum payments, choose which card should go into default. Strategic default will trash your credit score, but it’s better than starving or going homeless.

In the long run, you will need to increase your income and decrease your expenses, so that you can pay off all your debt.

If you use your credit card at an ATM to take out cash, a few things will happen. First, you would be charged a cash advance fee, which is usually about 3%. Second, interest would start accruing immediately, because most issuers do not have a cash advance grace period. And the cash advance interest rate is usually much higher than the purchase rate. Don’t be surprised to see interest rates as high as 24% (or higher).

We do not recommend closing credit cards because it can reduce your credit score. Closing unused credit cards does two things. First, it reduces your total available credit. That increases your utilization, which is bad for your score. Second, the age of your open credit cards helps your score. If you close old accounts, you can hurt your score over time.

However, we recommend closing credit cards from time to time. You may wish to close a credit card that has an annual fee. Before you close a credit card, try to call the bank and ask about a no-fee option.

You might also need to close a secured credit card if your lender will not return your deposit despite your credit score growth.

If you choose to close a credit card, follow these guidelines: Don’t close a credit card if you need a new loan in the next six months. Open a new credit card before you close an existing credit card.

Every credit card application requires a bank to make a hard credit inquiry. A hard credit inquiry will reduce your credit score about 5-10 points in most cases. In general, you only want to apply for one credit card at a time. You should also wait at least three months between applications in most cases.

If you’ve got no credit, bad credit, or fair credit, you may struggle to get approved for a credit card. Instead of applying for tons of credit cards at once, look to prequalify for a credit card. This will keep your credit score up.

NO! Carrying a balance will not help your credit score. This nasty rumor keeps good people trapped in bad debt. You do not need to pay interest to grow your credit score.

Although carrying a balance will not help your credit score, using your credit card will help your score. If you don’t use your credit card, your bank will not report usage to the three major credit bureaus. This won’t help your credit score grow.

As a rule of thumb, you should use your credit card at least once every month. Once you make a charge, you can pay off your bill.

The law requires that any payment amount beyond the minimum due must be applied to the highest APR balance first. Most credit card companies apply the minimum payment to the lowest APR balance first. As a customer, you want to eliminate high APR debt. That means you should make payments as big as possible. The extra amount will always go to the most expensive debt first.

If a bank denies your credit card application, they must explain why they denied your application. However, answers can be frustratingly vague. These are the most common reasons that your credit card application was denied.

  • Bad credit history: If you have items in collections, late payments, auto repossession, foreclosure, or bankruptcy on your credit report, you may not qualify for certain credit cards. A history of defaulting on credit cards makes it particularly difficult to get a decent credit card. However, you can recover from bad credit. These six steps can help you improve your credit score over time.
  • No credit history: You may also struggle to get a credit card if you have no credit history. If you’ve never had a loan or credit card, consider a secured credit card first. You may also have some luck opening up a store or gas station credit card.
  • No evidence of income: Credit card companies need to know that you can pay your bill. If you’re unemployed or your income is sporadic, the company may not extend a line of credit to you.
  • You’re too young: If you’re under 18, you won’t qualify for a credit card without a co-signer. Young adults 18-21 years old may struggle to obtain a credit card, too. We recommend secured credit cards or student credit cards for young adults.
  • You applied for a bunch of credit cards: Applying for multiple credit cards at once sends negative signals to banks. They see someone who is desperate for credit. That means, you have a higher risk of default. Apply for one credit card at a time. Ideally, you should wait at least three months between credit card applications.
Hannah Rounds
Hannah Rounds |

Hannah Rounds is a writer at MagnifyMoney. You can email Hannah at hannah@magnifymoney.com

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Minimize Rejection: Check if You’re Pre-qualified for a Credit Card

The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities.

Check if You're Pre-qualified for a Credit Card

Updated October 2, 2017

Are you avoiding a credit card application  because you’re afraid of being rejected? Want to see if you can be approved for a credit card without having an inquiry hit your credit score?

We may be able to help. Some large banks give you the chance to see if you are pre-qualified for cards before you officially apply. You give a bit of personal information (name, address, typically the last 4 digits of your social security), and they will tell you if you are pre-qualified. There is no harm to your credit score when using this service. This is the best way to see if you can get a credit card without hurting your score.

What does pre-qualified mean?

Pre-qualification typically utilizes a soft credit inquiry with a credit bureau (Experian, Equifax, TransUnion). A soft inquiry does not appear on your credit report, and will not harm your credit score.

Banks also create pre-qualified lists by buying marketing lists every month from a credit bureau. They buy the names of people who would meet their credit criteria and keep that list. When you see if you are pre-qualified, the bank is just checking to see if you are on their list.

A soft inquiry provides the bank with some basic credit information, including your score. Based upon the information in the credit bureau, the bank determines whether or not you have been pre-qualified for a credit card.

If you are not pre-qualified, that does not mean you will be rejected. When they pull a full credit report or get more information, you may still be approved. But, even if you are pre-qualified, you can still be rejected. So, why would you be rejected?

  • When you complete a formal credit card application, you provide additional personal information, including your employment and salary. If you are unemployed, or if your salary is too low relative to your debt – you could be rejected. There are other policy reasons that can be applied as well.
  • When a full credit bureau report is pulled, the bank gets more data. Some of that incremental data may result in a rejection.
  • Timing: your information may have changed. The bank may have pre-qualified you a week ago, but since then you have missed a payment. Final decisions are always made using the most up-to-date information.

Even with these caveats, checking to see if you are pre-qualified is a great way to shop for a credit card without hurting your score.

Where can I see if I have been pre-qualified?

Most (but not all) banks have pre-qualification tools. In addition, some websites (like CreditCards.com) have tools that let you check across multiple banks at once. Here is a current list of tools that are functioning:

Chase – Check for a pre-qualified offer. Find out in a few easy steps. Chase is one of the largest credit card issuers in the country.

CreditCards – CardMatch is a very good tool developed by CreditCards.com that can match you to offers from multiple credit card companies without impacting your credit score.

Bank of America

Citibank

Credit One – a credit card company targeting people with less than perfect credit

Discover

U.S. Bank

Below are credit card issuers that do not always have the pre-qualification tool live:

American Express – We have reports that this does not work for everyone. To find the pre-qualification page, click on “CARDS” in the menu bar. Then click on “View All Personal Charge & Credit Cards.” At the bottom of the page you will find a section called “Do More with American Express” – and you can click on “Pre-Qualified Credit Card Offers.”

Barclaycard – unfortunately Barclaycard has taken down their pre-qualification tool. We will keep looking to see if it comes back.

Consider A Personal Loan (No Hard Inquiry and Lower Rates)

If you need to borrow money, you may also want to consider a personal loan. A number of internet-only personal loan companies allow you to see if you are approved (including your interest rate and loan amount) without a hard inquiry on your credit report. Instead, they do a soft pull, which has no impact on your credit score. Personal loans also tend to have much lower interest rates than credit cards. If you need to borrow money, personal loans are usually a better option.

We recommend starting your personal loan shopping experience at LendingTree. By filling out one quick online form, dozens of lenders will compete for your business. LendingTree uses a soft credit pull, and within minutes you will be able to see how much you qualify for – and the interest rate – without any harm to your credit score. (Note: MagnifyMoney is owned by LendingTree)

LendingTree

LEARN MORE  

Not pre-qualified but still want to apply?

We still believe that people are too afraid of the impact of credit inquiries on their score. One inquiry will only take 5-10 points off your score.

If you pay your bills on time, do not have a ton of debt (less than $20,000) and want to apply for a new credit card, an inquiry should not scare you. The only way to know for certain if you can get approved is to do a full application.

How We Can Help

Don’t forget to follow us on Twitter @Magnify_Money and on Facebook.

*We’ll receive a referral fee if you click on the “Apply Now” buttons in this post. This does not impact our rankings or recommendations You can learn more about how our site is financed here.

Nick Clements
Nick Clements |

Nick Clements is a writer at MagnifyMoney. You can email Nick at nick@magnifymoney.com

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QuicksilverOne Review: Unlimited 1.5% Cash Back for Average Credit

The editorial content on this page is not provided by any financial institution and has not been reviewed, approved or otherwise endorsed by any of these entities.

For people with “average” or “fair” credit, Capital One offers QuicksilverOne Rewards. Every credit card issuer has a different definition of what “average” or “fair” credit means. Generally speaking, it means a FICO score between 580 and 669.

The QuicksilverOne Rewards card gives you an unlimited 1.5% cash back, which is a pretty sweet opportunity for consumers with less-than-perfect credit.

Just beware of the two catches: There’s a $39 annual fee and a high purchase APR.

QuicksilverOne® Rewards from Capital One

APPLY NOW Secured

on Capital One’s secure website

QuicksilverOne® Rewards from Capital One

Annual fee
$39 For First Year
$39 Ongoing
Cashback Rate
up to 1.5%
APR
24.99%

Variable

Credit required
fair-credit

Average

QuicksilverOne Card Overview

The QuicksilverOne Rewards program is low maintenance.

Unlike other programs with revolving categories and spending caps, this card doesn’t hold you to either. You will earn 1.5% cash back every time you swipe.

You can redeem cash back at any time for a check, account credit, or gift card. Cash back you earn never expires for the life of the account.

What We Like About This Card

No fuss.

We like that the cash back program terms are uncomplicated. There are no preset bonus categories that you have to adapt your spending to each month. You can also redeem cash back at any time without having to wait for the balance to reach a certain threshold.

Low credit score requirement.

The QuicksilverOne is one of the only cash back rewards cards around town for average credit. If you’re having trouble getting approved elsewhere, this is a card you need to seriously consider.

What We Don’t Like About This Card

The annual fee.

Since this card costs $39 per year, you need to spend at least $2,600 per year (or $217 per month) for the cash back to break even with the fee. Ideally, you’ll want to spend more than just the bare minimum for the rewards card to be worthwhile.

High APR.

This is a high interest rate. Avoid carrying a balance at all costs if you choose this card.

Who This Card Is Best For

Again, the QuicksilverOne is our top unlimited cash back pick for consumers who have trouble getting approved for other cash back cards.

According to Capital One, you may qualify for this card if:

  • You have defaulted on a loan in the past five years
  • You have limited credit history
  • You have had your own credit card or other credit for less than three years (this may include students, people new to the U.S., or authorized users on someone else’s credit card)

Keep in mind, these are just guidelines to give you a general sense of whether you’ll qualify. Your income, debt, and other credit limits are also factors used to make a decision.

Capital One has a nice feature where you can get preapproved online for offers without a hard credit inquiry. See if you prequalify for the QuicksilverOne card here.

Keep an eye out for the Quicksilver alternative while checking offers as well.

Quicksilver Rewards is the “big brother” of the QuicksilverOne card. It has no annual fee, and it’s for people with excellent credit. There’s no harm in checking to see if you prequalify for the Quicksilver card.

Is the QuicksilverOne card good for rebuilding credit?

Despite the lenient qualifying criteria, the QuicksilverOne card is not our top recommendation if you’re rebuilding credit, because of the annual fee.

Your focus should be keeping your credit utilization very low when rebuilding credit. You shouldn’t worry about having to earn enough cash back each month to cover a card’s annual fee.

Try a no-fee secured card like the Capital One Secured MasterCard or the Discover it Secured Credit Card instead.

QuicksilverOne Credit Card Benefits

QuicksilverOne offers:

  • Travel accident insurance and 24/7 roadside assistance. Travel insurance for death or loss of limbs. You can call in for help if your car breaks down.
  • Auto rental insurance. Insurance covers rental damage from collision or theft.
  • Extended warranty. Purchases made on your card will get an extended warranty.
  • Price protection. You can get reimbursed the difference if you find items you purchased on sale within 60 days.
  • Fraud coverage. Covered by $0 fraud liability if your card is lost or stolen.

Alternatives to the QuicksilverOne

QuicksilverOne doesn’t have much competition since it’s the best card for consumers with average credit. The following no-fee cash back cards officially require good to excellent credit but allow you to prequalify without a hard inquiry.

1.5% cash back, no fee

Chase Freedom Unlimited<sup>®</sup>

Annual fee

$0 For First Year

$0 Ongoing

Cashback Rate

-

APR

15.99%-24.74%

Variable

The Chase Freedom Unlimited card gives you an unlimited 1.5% cash back on all spending without category restrictions or caps. What’s great about Chase is it’s another credit card issuer that lets you prequalify for offers without a hard pull. Check out offers you may prequalify for here.

You can redeem cash back from your Chase Freedom Unlimited card at any time, and cash back never expires as long as you keep your account open. At times there is an intro APR deal or cash back bonus offer that add benefits to this card, and ongoing rates are sometimes lower than what you’d see on the QuicksilverOne.

Double cash back, no fee

Citi® Double Cash Card

Annual fee

$0 For First Year

$0 Ongoing

Cashback Rate

-

APR

14.49%-24.49%

Variable

The Citi Double Cash card is another good choice for low-maintenance cash back rewards. It gives double cash back on all purchases. You earn 1% cash back when you spend on the card and another 1% cash back when you pay off the bill.

This is a card that members report qualifying for with a credit score in the high 600s. Citi lets you shop for prequalified offers on the website as well. If you’re interested in this card, see if you can get prequalified here. In addition, there are changing intro APR deals for this card that allow you to save interest early on, and ongoing interest rates are sometimes lower than with the QuicksilverOne.

Bottom Line

The QuicksilverOne Rewards is a good rewards card for those with average credit. If you have had difficulty being approved for other higher cash back rewards cards, you may be approved for the QuicksilverOne Rewards, which offers unlimited 1.5% cash back. Be aware that this card comes with an annual fee and high APR, so make sure to do your research and see if this card is right for you.

FAQ

You should not keep a balance on this credit card to benefit from the cash back. The high APR is a large amount of interest to be paying on purchases. If the interest charges you experience on this card coupled with the annual fee surpass the cash back you earn, this card is pointless.

No. You’re free and clear to spend money on anything, and it’ll earn 1.5% cash back. This is the beauty of an unlimited cash back card. However, cash advances and balance transfers will not qualify for cash back.

No, cash back does not expire as long as your account remains open.

You can, but not with average credit. The QuicksilverOne card is the best unlimited cash back card there is specifically targeting people with fair credit. Another option you have is working to improve your credit first before applying for a credit card to qualify for a card that gives you more cash back.

Taylor Gordon
Taylor Gordon |

Taylor Gordon is a writer at MagnifyMoney. You can email Taylor at taylor@magnifymoney.com

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