Credit scores are an important part of life and can affect your ability to own or lease property, buy cars and get credit. Financial institutions use this number to decide whether to lend you money and how much to charge you.
If you’ve been turned down for a credit card because you’re worried about your bad credit score, don’t worry. It’s true that a higher credit score means you’re eligible for better credit cards, but a lower credit score doesn’t necessarily mean that all credit cards are out of reach.
Let’s take a closer look at what affects your credit score and what you need to qualify for the different types of credit cards.
What credit rating do credit cards need?
It depends on the map. Some credit cards are made specifically for people with bad credit. It’s helpful to check your credit history and understand what this number means before looking at a specific card. The two main scoring models are FICO and VantageScore.
FICO rates them from poor to excellent:
- Difference: 300 to 579
- General: 580 to 669
- Good: 670 to 739
- Very good: 740 to 799
- Exception: 800 to 850
VantageScores has a similar ranking system:
- Very poor: 300 to 499
- Difference: 500 to 600
- General: 601 to 660
- Good: 661 to 780
- Excellent: 780 to 850
There is a credit card for almost every credit class. But cards offered to consumers with lower scores typically offer fewer perks and higher APRs.
Regular or regular credit card
With a Fair FICO credit score between 580 and 669, there are plenty of solid credit cards for people with good credit to choose from.
- The Capital One Platinum Credit Card is a credit card with no annual fee. Cardholders can make monthly repayments on time for six months after opening the account and automatically get a higher credit limit. Unfortunately, Capital One Platinum does not offer any rewards or significant perks to cardholders, but to Consumers with fair/average credit.
- The Capital One QuicksilverOne Cash Rewards Credit Card offers a solid rewards program with an annual fee of just $39. Cardholders earn unlimited 1.5% cash back on all purchases every day. This is a great option for those who are trying to build their credit score while earning cash rewards.
How to Improve Your Score for Better Cards
If you want to improve your credit score, you need to take two main steps. First, pay off your credit card bills and any other loans on time each month.
Next, if you have credit card debt, pay it off as much as you can. Your score will increase if you use less credit. Just make sure you don’t close any credit cards you’re paying off, as this will reduce your available balance and hurt your credit score by increasing your loan utilization ratio.
Another key to improving your credit score is eliminating negative spending habits that lead to credit card debt, consumer savings expert Andrea Woroch said in a previous interview. “Identifying and eliminating triggers that lead to impulse purchases is key to keeping your credit score in tip-top shape,” Woroch said.
Woroch recommends that those struggling with impulse buys should delete deal apps from their phones and unsubscribe from store newsletters to eliminate the temptation to overspend.
Which credit card can I get if I have a good or very good credit rating?
If your FICO score is greater than 670, you are in the “good credit” category. With a score like this, you can apply for almost any credit card on the market.
The Blue Cash Preferred® Card from American Express is a good example. This lets you earn 6% cash back on US supermarkets and select US streaming services (up to $6,000 in annual purchases, then 1%). You’ll also get 3% back at US gas stations and when you ride in taxis, ride-sharing, parking lots, trains, tolls and buses. After you spend $3,000 in your first six months, get 1% cash back on other purchases plus a $250 credit.
Discover it® Cash Back is another powerful card. It gives you 5% cash back on rewards tiers, which rotate quarterly after activation (up to $1,500 in total quarterly spend, then 1%), and 1% cash back on general purchases.