Best Credit Cards to Help Rebuild Your Credit

Best Credit Cards to Help Rebuild Credit

Best Credit Cards for the Less-Than-Perfect

Cards (MP) In case your credit is less-than-perfect your options are pretty limited. You either work with secured credit cards, or you’ll pay higher fees. I wanted to scout out the best credit cards to rebuild credit for you. Now, if you’re reading MoneyPacers, you don’t choose credit cards based on funny ads or celebrity pitchman; you’re smarter than that. You want the real-gritty on credit cards from someone whose not paid to steer you to the banks business. I’m your man. So, regardless of your credit history, I’ve found the best credit cards to help you rebuild credit. But, before signing any credit card application compare the offers below for the card that’s best suits you.

Best Credit Cards to Rebuild Credit Reviews

1. Best Card to Rebuild Credit

Capital One Secured Mastercard

Best Credit Cards for Less-Than-Perfect Credit

The Capital One® Secured MasterCard® a great choice if you’re seeking to increase your credit score. It has no hidden charges and a low annual fee of $29. The ongoing APR is 22.9% (Variable), that’s just a little high, but even so, it’s one of my favorite secured credit cards. Besides being straightforward, the Capital One® Secured MasterCard® has a few other perks worth mentioning, like a low security deposit, flexible payment options and a line of credit that grows with you.

Like with other secured credit cards, the Capital One® Secured MasterCard® requests refundable security deposit. However, the card determines your limit amount dependent on your credit score. Your deposit can be $49, $99 or $200 for getting a starter credit line of $200, but you can increase this up to $3,000 by making more deposits. Moreover, if you can’t pay your security deposit up front Capital One will let you pay it in pieces, so long as you’ve paid off the full amount within 80 days of your approval. This is definitely a big benefit for anyone on a fixed income.

2. Best Card for Fair Credit

Barclaycard Rewards Mastercard

Best Credit Cards for Less-Than-Perfect Credit

If you happen to be in the market for a rewards card with no annual fee and have just “fair” credit (a credit score around 650 but sometimes as low as 600), you can be approved for Barclaycard Rewards Mastercard. The Barclays Rewards Card is for US residents who have fair credit. This MasterCard card has a great rewards program along with no annual fee. Using this card, you will earn 2 points for each dollar you spend on grocery, gas and utility purchases, and 1 point for every dollar you spend on other purchases. No annual fee. This is definitely significant advantage, considering you can earn up to 2 points per dollar on certain purchases! Points can be redeemed for a variety of things. You can use your points to redeem for gift cards, merchandise, cash back statement credit or statement credit for purchases made within the last 90 days. And when redeeming them for flights, you won’t need to worry about blackout dates of any kind. No limit to the amount of points you can earn. This lets you save points and then use them to pay for some big purchase or a trip, say such as a family vacation. Active card members also will take pleasure in free access to their FICO® Credit Score which you’ll check online in your Barclaycard account. Reports will also be sent to the three major credit bureaus each month to help you rebuild your credit score. No over-the-limit fee. If you go over your spending limit, you won’t have to pay any over-the-limit fee.

3. Best Balance Transfer Card for Good Credit

Chase Slate

Best Credit Cards for Less-Than-Perfect Credit

Anyone plagued by holiday overspending, or perhaps just seeking out an awesome way to make a large (or small) purchase and pay no interest for a while ought to take an in-depth look at this card. The Slate is intended for those in a credit bind. In case you are deep in debt, the Slate is there to help out. Upon signing, you’ll experience an 0% APR. It offers two introductory APR promotions based on your credit score. Those with fairly good credit will be granted 15 months of 0% purchase and balance transfer APR. By freezing interest, it’s possible to dump your debts into Slate and receive time to make payments without further ruining your credit score. A variable APR of 12.99%, 17.99%, or 22.99% kicks in after the introductory period ends.

You gain a big advantage once you transfer debt over to the Chase Slate, relative to other balance transfer options with 0% introductory periods. You pay no balance transfer fee if you transfer a balance during the first 60 days your account is open. Thereafter, the balance transfer fee for subsequent transactions is 3% of the amount transferred, with a minimum of $5. The 0% fee during the first 60 days is better than the 3-5% industry standard.

4. Best Cash Back Rewards for Good Credit

Discover

Best Credit Cards for the Less-Than-Perfect

The Discover “It” is a pretty solid 5% cash back card issued by Discover Financial, and is one of the top cash back credit cards available today. The rotating 5% cash back categories. Each quarter, Discover announces a different 5% cash back category. You can earn 5% cash back on $1,500 in purchases for each category. From January 1 – March 31, 2015 get 5% Cashback Bonus for gas and ground transportation. The ShopDiscover Portal is fantastic. When you have the Discover It, you get access to their online shopping portal which pays cash back for online purchases. Almost every major retailer is listed on ShopDiscover and the cash back amount is often higher than other online portals. When the 5% rotating category is online purchases, you can also go through the ShopDiscover portal and earn an additional 5-25% cash back on top of the 5% for using your Discover It card. It does have its virtues, mostly for online shopping and especially during the holiday season. You will earn great credit card rewards cash with this one.

Chase Freedom

Best Credit Cards for Less-Than-Perfect Credit

Generally known as “the king of cash back cards, Not only will you redeem points for statement credits (“true” cash back), you may also use your Ultimate Rewards points for almost anything like gift cards, products, and even travel. To enjoy the absolute most out of your points, however, you’ll need one of Chase’s premium cards much like the Chase Sapphire Preferred® or Ink® business cards. More on that below. The credit card offers 5% back on bonus categories that change every quarter and 1% on any other item, with no annual fee. It’s perfect as a first main card or as a complementary card to a more lucrative Chase rewards card. In short, I recommend it as the best cash back credit card out there today. Chase Freedom starts off with a $100 bonus after you spend $500 in the first 3 months Plus there’s another $25 bonus once you add your first authorized card user and make a purchase in the first 3 months.

5. Best Cash Back Rewards for Good Credit (Runner Up)

Capital One Quicksilver Cash Rewards Credit Card

Best Credit Cards for Less-Than-Perfect Credit

Just like the Chase Freedom card, Quicksilver encompasses a $100 bonus after spending $500 in the first 3 months, equal to an effective 20% cash back on the first $500 you spend. And $500 is pretty easy to earn over the course of 3 months if you’re spending like the typical consumer, especially when you pay your utility bills (and even your mortgage) with your card. Beyond the generous intro bonus, you’ll earn an unlimited 1.5% cash back on every purchase. There are actually no rotating categories or sign ups needed to earn the cash back, it just automatically accrues. Plus you can take advantage of the lengthy 0% intro APR on purchases and balance transfers to save some money on interest fees (note that there is a 3% balance transfer fee). Talking about fees, this card has no annual fee and no foreign transaction fees. Overall, Capital One Quicksilver Cash Rewards is a sound cash back card with a 0% intro APR period that will earn you strong rewards and rivals any cards offered only to people having excellent credit.

6. Best Travel Cards for Good Credit

Chase Sapphire Preferred

Best Credit Cards for Less-Than-Perfect Credit

The Chase Sapphire Preferred® card is merely the most beneficial in terms of accumulating and using points to earn free travel. Not only do you get 2x points on dining and travel, but those points help you get 2% off when redeemed for travel on the Ultimate Rewards website. With perhaps one of the fattest sign-up bonuses in the industry, your dream vacation is perhaps closer than you think. They’re only the main reasons why the Chase Sapphire Preferred® is consistently at the top of my best rewards credit card list.

7. Capital One Venture Rewards

Best Credit Cards for Less-Than-Perfect Credit

Forget the funny ads with Alec Baldwin and Jimmy Fallon, the Capital One Venture Rewards is one of the best brand travel rewards cards out there. With the Venture Rewards card, you get an above average and unlimited travel rewards rate of 2% towards on all net spending. It’s a straightforward and standout value in a field crowded with cards that demand monitoring rotating reward categories, counting miles, or tracking spending limits. Its only peer is the Barclaycard Arrival Plus World Elite MasterCard, which has a 2.2% travel rewards rate for a higher annual fee.

So, is it safe to have the Venture Rewards Credit Card from Capital One? Yes, if you charge less than $15,000 a year on your credit card. If your annual card purchases are higher, than the Arrival Plus World Elite, will get you higher rewards. It’s my primary card, and I love it. I’ve never had any problems using the card in the United States or internationally. Here’s the math:

Given that promotional offers can change without warning, let’s take a look on an ongoing basis excluding the rewards. The Venture Rewards card has a $59 annual fee and a 2% return while the Arrival Plus World Elite Mastercard costs $89 a year and has a 2.2% travel redemption return. At the $15,000 level, the distinction in the annual fees are made up by the difference in the travel rewards rates: ($89 – $59) / (0.022 – 0.02). Below $15k of spending, the Venture Rewards card’s lighter fee doesn’t eat up your rewards earnings. Above $15k, the higher rewards rate on the Arrival outweighs the higher annual fee.

8. Best Business Card for Good Credit

Capital One Spark Cash for Business

Best Credit Cards for Less-Than-Perfect Credit

If you need a business card with strong cash back rewards explore Capital One Spark Cash for Business. It begins by offering you a $250 bonus after spending $5,000 in the first 3 months. This is followed up using the highest cash back rewards rate I’ve seen for just about any major credit card – an unlimited 2% cash back on all purchases. As an added bonus, if you sign up for an employee card you’ll get a $50 bonus. Adding employee cards to your account card is an excellent way to help add more rewards on your account, particularly if your employees travel often for business or make big purchases for your company. Also there are no foreign transaction fees so if you use your card internationally you won’t be hit by surplus fees. The card comes with a $59 annual fee, however this fee is waived the first year.

Disclaimer: This content is not provided or commissioned by the above credit card issuers. Opinions expressed here are the author’s alone, not those of the credit card issuer, and have not been reviewed, approved or otherwise endorsed by the credit card issuers. This content was accurate at the time of this post, but card terms and conditions may change at any time. Some links on this site maybe compensated through credit card issuer Affiliate Programs.

Additional Resources:

Best Credit Cards for Rebuilding Your Credit Score

Don Briscoe
Follow me

Don Briscoe

Finance educator, advisor, and leading voice in the global financial literacy movement.Founder and editor of MoneyPacers.com.He lives and enjoys life with his family in New York.
Don Briscoe
Follow me

Leave a Reply

Your email address will not be published. Required fields are marked *