Best Credit Cards for People with No Credit History

Comparing the best credit cards for no credit

Below are some of the best credit cards for beginners with no credit history or knowledge whatsoever. They range from starter cards that help a person build credit to full-on rewards cards that require a little more knowledge when spending. Evaluate each to determine which may be the best cards for no credit for your wallet:

A closer look at the best credit cards for those with no credit history

We will have a deeper dive into each of the cards in the following format:

Discover it Secured Credit Card

Rewards rate: Earn 2% cash back at gas stations and restaurants on up to $1,000 in purchases per quarter. 1% cash back on all other purchases.

Annual fee: None.

Intro APR: None.

Regular APR: 28.24% variable APR

Signup bonus: Cashback Match for the first year.

Our verdict: The best credit card for someone with no credit due to a poor credit history is likely a secured credit card. This is because it requires you to put funds down before you can borrow, as with the Discover It Secured Credit Card. However, this specific card also gives holders 2% cash back at gas stations and restaurants on up to $1,000 per quarter, or $4,000 per year.

Pros:

• No credit score is needed to apply for this card
• No annual fee associated with the card
• Cashback Match can be used to get serious rewards if this card is used consistently

Cons:

• No introductory APR offer
• Relatively low rewards earnings

Apply now: Discover it Secured Credit Card

Capital One Platinum Secured Credit Card

Rewards rate: None.

Annual fee: None.

Intro APR: None.

Regular APR: 30.49% Variable APR.

Signup bonus: None.

Our verdict: For those seeking the best starter card for credit building, the Capital One Platinum Secured Credit Card is an excellent choice. As the best credit card for no credit score, the Platinum Secured Credit Card offers no rewards or introductory APR but is excellent for building a history with credit.

Pros:

• No credit history required to apply for the card
• The secured credit card will help a person improve their credit over time
• No annual fee associated with the card

Cons:

• No introductory APR offer
• No sign-up bonus

Apply now: Capital One Platinum Secured Credit Card

Petal 2 Visa Credit Card

Rewards rate: Up to 1.5% cash back on eligible purchases after making 12 on-time monthly payments. 1% cash back on eligible purchases right away.

Annual fee: None.

Intro APR: None.

Regular APR: 18.24% to 32.24% Variable APR

Signup bonus: None.

Our verdict: The Petal 2 Visa Credit Card is unique on this list of best credit cards for no credit score as it is slightly more difficult to be approved for, yet offers far more rewards. With positive credit habits built up, i.e. on-time payments over a full year, the rewards category is increased, which helps encourage anyone building credit to be consistent.

Pros:

• Increase in earnings rate encourages positive spending habits
• No annual fee associated with the card
• The ability to earn 2-10% at some merchants

Cons:

• $300-$10,000 credit limits only
• You must have at least a fair credit score, which can be doable without a credit history

Apply now: Petal 2 Visa Credit Card

Blue Cash Everyday Card from American Express

Rewards rate: Earn 3% cash back at U.S. supermarkets, 3% cash back on U.S. online retail purchases, 3% cash back on gas, and 1% cash back on all other purchases.

Annual fee: None.

Intro APR: 0% intro APR on purchases and balance transfers for 15 months from account opening.

Regular APR: 19.24% to 29.99%

Signup bonus: Earn $200 back after you spend $2,000 in purchases on your card within the first 6 months.

Our verdict: Perhaps the hardest card to qualify for with limited to no credit, the Blue Cash Everyday Card works exactly how it sounds: as an everyday spend card. This is likely one of the best credit cards for students with no credit who have a co-signer on the account. This can give 3% cash back in multiple common spend categories in addition to 1% on all other purchases.

Pros:

• The welcome bonus is relatively easy to get
• Multiple rewards earnings categories are perfect for those with variable expenses
• Long introductory APR period

Cons:

• This is a more difficult starter card to get with limited credit history

Apply now: Blue Cash Everyday® Card from American Express

Capital One Quicksilver Secured Cash Rewards Credit Card

Rewards rate: Earn unlimited 5% cash back on hotels and rental cars booked through Capital One Travel and an unlimited 1.5% cash back on all other purchases.

Annual fee: None.

Intro APR: None.

Regular APR: 19.99% to 29.99% Variable APR

Signup bonus: None.

Our verdict: This secured credit card offered by Capital One is among the best due to the travel benefits that come from using the card. Therefore, the Quicksilver Secured Cash Rewards card should be used by avid travelers who have large expense categories where they can earn as they travel.

Pros:

• Excellent rewards options for those who are avid travelers
• No annual fee with the card

Cons:

• It is a secured credit card which may be challenging for some
• High APR
• No signup bonus

Apply now: Capital One Quicksilver Secured Cash Rewards

Discover It Student Chrome

Rewards rate: Earn 2% cash back at gas stations and restaurants on up to $1,000 in purchases per quarter. 1% cash back on all other purchases.

Annual fee: None.

Intro APR: 0% intro APR for 6 months on purchases

Regular APR: 17.99% to 26.99% Variable APR

Signup bonus: None.

Our verdict: For students who are looking to get into the world of credit, the Discover It Student Chrome card is an excellent starting point. Serving as the best credit card to apply for with no credit while you are still in school, this card will give 2% cash back on key purchases such as food or gas, which are common expenses for students. It also comes with cash back match in the first year, meaning Discover will match and give you the total amount you earn in rewards in that first year.

Pros:

• Cashback match for the first year on all rewards earnings
• No annual fee with the card
• Excellent starter card for students with no credit history

Cons:

• Short introductory APR period isn’t ideal for those consolidating debt
• No sign-up bonus

Apply now: Discover It Student Chrome

BankAmericard Secured Credit Card

Rewards rate: None.

Annual fee: None.

Intro APR: None.

Regular APR: 24.99% Variable APR.

Signup bonus: None.

Our verdict: Finally, the BankAmericard Secured credit card is another excellent credit builder card for those who don’t have a history with credit. There may not be any earnings categories or a sign-up bonus, but there is also no annual fee, meaning there is no cost to own this starter card. This makes it excellent for students or new credit holders alike.

Pros:

• Excellent starter card for students in school who want to learn how to handle credit
• No annual fee associated with the card means little costs

Cons:

• No rewards earnings rates
• No sign-up bonus
• No introductory APR period

Apply now: BankAmericard Secured Credit Card

How to compare credit cards for no credit

Given that a person looking at the best credit card for no credit history likely has never used a credit card before, comparing the different types can be a challenge. The first step is to always examine your own expenses to see which are the largest categories. Then, you can tailor those expenses to match a certain credit card you are considering adding to your wallet.

In the event your expenses are all over the place and no single category stands out, start by considering the costs of the best credit cards for beginners with no credit. Factors such as the annual fee, if applicable, the APR rate, the welcome bonus, and any hidden fees should all be looked at when making your decision.

How to make the most of your starter credit card

When just getting started with a credit card for the first time, it can be tempting to immediately throw all your expenses onto the card and worry about them later. However, having a credit card is a great opportunity to start building credit in a healthy way. Focus on using 10-30% of your credit line only during a billing cycle, and then paying that balance off completely, rather than carrying it into the next cycle. This will help you build credit while also ensuring you don’t need to pay interest.

Methodology

In looking at the best credit cards for people with no credit, a number of key factors were used to develop the methodology. These include:

• Whether or not a history with credit was required to secure the card
• The all-in cost of owning the card, including the APR, annual fee, hidden fees, and more
• Any potential rewards that come from owning the card
• The future ability to build credit using the card itself
• The history of the card issuer and whether or not they were reputable
• How difficult it was to manage the card for a beginner with no credit knowledge

The product information provided here is based on research conducted up to a specific date and may have changed. For the latest and most accurate information, we recommend you to visit the respective card’s website before proceeding.