Best Credit Cards for Fair Credit 2022
Below is a list of the best unsecured cards (with no deposit requirements) that those of you with bad credit should consider. Though these card do not require a security deposit (like secured credit cards), any annual fee will be billed in your first credit card statement.
Updated On 21 September 2021
Merrick Bank Double Your Line® Platinum Mastercard®
Who is this card for? - The Merrick Bank Double Your Line Mastercard for rebuilders who are looking for an unsecured credit card with decent limits and a track record of credit limit increases without the high fee cards that you are looking to ditch.
Requirements - You should have a credit score between 560 and above, no late payments for 2 years and very few hard inquiries during the last year. You should ideally have an income of at least $50,000 for 2 years.
Why we like this card? - We like this card because there is a possibility of getting no annual fee, a rather generous starting credit limit which will double if you make your first 7 payments on time. If you are a rebuilder who has finally managed to get your scores to the mid to high 600s and are in a fair credit territory, what you want are cards with no monthly fee and preferably no annual fees. What you also want is a card that gives you a decent credit limit and has a track record of credit limit increases. Merrick Bank fits the bill for those of you with fair credit.
Annual Fee: $0-$72
Regular APR: 19.7% - 28.7%
Starting Credit Limit: $550 - $1,250
Read our review of the Merrick Bank Double Your Line Platinum Visa
Mission Lane Visa Credit Card
Who is this card for? - Mission Lane is an unsecured credit card for those of you who have rebuilt your score to the mid 600s area (even though they accept applicants with scores from 550 and up). The reason it is ideal for those with fair credit is because it charges a very reasonable annual fee of $59, has no monthly fee and will increase your credit limit after you pay the first 6 minimum payments on time.
Requirements - Mission Lane Visa accepts applicants with credit scores from 550 to 700 or higher. The ideal sweet spot is mid 600 area. If you have no mortgage, your total debt cannot exceed $20,000. If you do have a mortgage, your total debt cannot exceed $80,000. You should ideally not have more than 2 hard inquiries during the last month and have no late payments during the last year.
Why we like this card? - We like this card for because it has a very reasonable annual fee with no monthly fee. Your credit limit will also increase (cardholders have reported doubling) after paying the first 6 minimum payments on time. Mission Lane Visa also has a track record of credit limit increases after the initial increase. The profile of this card is ideal for rebuilders who have built up their credit to the mid to high 600 area. This is the time when you want to ditch your high fee cards or secured cards and get a decent unsecured credit card with good limits.
Annual Fee: $59
Regular APR: 29.99%
Starting Credit Limit: $300 - $1,000
Read our review of the Mission Lane Visa
Capital One Platinum Card
Who Is this card for? - The Capital One Platinum Mastercards is one of the most well known go to card for those who have fair credit. Capital One as an issuer is known to approve folks in the fair credit or average credit (mid to high 600 score area) and many folks gravitate towards this card before they get rid of their high fee credit cards and secured credit cards.
Requirements - You need a credit score of at least 650 in all three bureaus and you also should have been paying on time for the last 2 years. Capital One pulls all three credit bureaus so you ideally not want to have too many hard inquiries during the last year.
Why We Like This Card - We like this card because it is an established card in the rebuilder community for those who have improved their credit scores to the mid to high 600 area. They charge no annual fee and will evaluate your account for a credit limit increase after 6 months.
Annual Fee: $0
Regular APR: 26.99%
Starting Credit Limit: $500 and up
Read our review of the Capital One Platinum Mastercard
Upgrade Visa Card with Cash Back Rewards
Who is Upgrade Visa for? - Upgrade Visa is a card that I think everyone should have because it acts like a personal line of credit card. It pays you 1.5% cash back on your "draw" so you can actually earn cash back whereas normal personal line of credit does not.
Requirements - Upgrade requires a credit score of at least 620 to apply. The sweet spot is 650 and above. They are quite strict on other areas and you may be asked to provide W2, past tax returns etc. You should have an income of at least $50,000 the last couple of years and must have paid on time for that period as well. You should not have any derogatory items in your credit report.
Why we like this card/ - We like the Upgrade Visa Card with Cash Rewards because it essentially is an emergency line of credit that gives you a 1.5% cash back. It also reports as an installment loan rather than a revolving credit so this serves as a great diversification of trade lines in your credit report.
Annual Fee - $0
Regular APR - 8.99% to 29.99%
Read our review of the Upgrade Visa Card with Cash Back Rewards
Upgrade Triple Cash Rewards Visa
Who Is it For? - I honestly think most folks should consider getting this card because it works like a personal line of credit. And it rewards you with 3% cash back on home improvement, auto and health related expenses. Most folks will find this card handy at some point.
Requirements - You need a credit score of at least 620 to apply, at least 2 years of W2 history.
What We Like - I like this card because it is really unique in that it works like a personal line of credit but gives you 3% cash back. It has no annual fee and it also reports as an installment loan in your credit report and not a revolving credit. That means you draw on your full limit without any impact on your credit utilization ratio.
Annual Fee - $0
Regular APR - 8.99% to 29.99%
Read our review of the Upgrade Triple Csah Rewards credit card
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