Category: Credit Cards for Fair Credit

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The Best Walmart Credit Card

As the world’s largest retailer, you might visit Walmart for your everyday shopping and groceries. If that’s the case, each shopping trip can be even more rewarding with the best Walmart credit card. Whether you shop online or in-person, find out which credit card is the best for you.

When you shop at Walmart, be sure your credit card or rewards debit card always earns at least 1% (1 point) per dollar spent. All the cards on this list earn at least 1% on each Walmart purchase, and you can qualify for at least one of these cards when your credit score is higher than 550.

Walmart Credit Card vs Walmart Mastercard

Let’s start with Walmart’s own two credit cards.

Walmart offers two co-branded consumer credit cards through Synchrony Bank:

  • Walmart Credit Card
  • Walmart Mastercard

You can apply for either card online or at any Walmart store.  Both cards have the same 3-2-1 purchase rewards program, but the Walmart Credit Credit only works at Walmart stores; it’s a store charge card.

Best Walmart credit card

Between these two cards, Walletpath recommends the Walmart Mastercard because it is a full-fledged credit card that is accepted by any merchant in the world that accepts Mastercard. However, you generally need a credit score of 660 or higher to be approved. If your score is between 550 or the mid-600s, you may have to apply for the Walmart Credit Card instead.

Neither card charges an annual fee. Both cards will improve your credit score with on-time payments.

Earn Up to 3% on All Walmart Purchases

No matter which co-brand Walmart credit card you go with, you will enjoy the 3-2-1 rewards program that is rewarded with a cash statement credit:

  • 3% back on all Walmart.com purchases (includes Walmart Pickup and Site-to-Store)
  • 2% back on Murphy USA & Walmart gas purchases
  • 1% back for in-store Walmart purchases and anywhere else

Remember, only the Walmart Mastercard can be used for non-Walmart purchases.

The Walmart credit cards earn the highest rewards for online purchases. This higher reward rate is most likely Walmart’s way of taking the online retail fight to Amazon. Since Walmart now lets you buy your groceries and non-groceries online, you can get 3% back by shopping ahead of time and then driving to Walmart to pick it up.

Citi Double Cash

If you want a flat rate cash rewards card that earns 2% on every single purchase, regardless of where you shop, the Citi Double Cash is one of the best. The reason why is because most cash back credit cards only earn 1% or 1.5%; you get an extra 1% on every dollar by paying your bill on-time.

Citi Double Cash

If you shop online at Walmart.com, the co-brand Walmart credit cards will still earn an extra 1%. Otherwise, the Double Cash pays the same on Walmart gas purchases and an extra 1% on in-store purchases.

When you primarily shop in-store, the Double Cash is a better option if you qualify. Online forums indicate you typically need “excellent” credit of 700 or above to qualify for the Citi Double Cash. You can usually qualify for the Walmart Mastercard with “good” credit (660 or above) and the Walmart Credit Card (Walmart purchases only) is issued to applicants with a credit score of 550 or higher.

Chase Freedom

If you want a card with more flexibility but can still earn bonus points at Walmart, take a look at the Chase Freedom.

The Freedom is a cash back rewards card that earns 1% on all purchases but has a 5% rotating bonus category. In 2017, consumers earned 5% on the first $1,500 spent at Walmart in the 4th quarter.

Chase Freedom

The 2018 Chase Freedom bonus categories make it even better to earn bonus rewards at Walmart. In the first quarter 2018, you can get 5% cash back when you pay with a digital wallet (i.e. Chase Pay, Apple Pay, Samsung Pay).

If Chase offers 5% back at Walmart to close 2018, that’s two-quarters of 5% cash back at Walmart! No other credit card can make the same claim.

Two Reasons to Consider the Chase Freedom

There are two reasons the Chase Freedom can be the best Walmart credit card for you.

Firstly, you can redeem your rewards points for statement credits (like the Walmart co-brand credit cards) or you can also redeem them for gift cards or even award travel. As a part of the Chase Trifecta, it’s even possible to transfer your points directly to your favorite airline or hotel if you prefer travel rewards to cash back.

Secondly, the Chase Freedom earns bonus rewards points on non-Walmart purchases too. If you primarily shop in-person at Walmart, you will only earn 1% with Walmart’s own credit cards–the same reward rate as the Freedom in non-bonus months.

You have nothing to lose by using a flexible rewards card to keep all your points in one place. Not only will you earn potentially more rewards, they will also be more useful and practical.

Discover It Secured Credit Card

If you have poor credit (550 or higher), you have two good credit card options to earn at least 1% back at Walmart. When the Walmart Credit Card isn’t flexible enough, you need to take a look at the Discover It Secured Card.

This is one of the few secured credit cards that doesn’t charge an annual fee and also earns purchase rewards. You will earn:

  • 2% on restaurants and gas stations (first $1,000 in combined spending every quarter)
  • 1% for all remaining purchases

You sacrifice 3% cash back on all Walmart.com purchases, but you get a credit card that earns at least 1% anywhere you use it. Since you probably shop at more places than Walmart, this can be a better option.

Another reason to consider the Discover It Secured Card is that Discover will match your purchase rewards dollar-for-dollar at the end of the first year as a sign-up bonus. If you earn $100 in rewards, Discover will give you an additional $100 for free!

What is the Best Walmart Credit Card For You?

So you can easily choose the best card for you, let’s do a quick review of why you might like or dislike each of the recommendations.

  • Walmart Mastercard: Earn 3% on Walmart.com purchases, accepted anywhere, only need good credit
  • Citi Double Cash: Earn 2% on all Walmart and non-Walmart purchases, need excellent credit
  • Chase Freedom: Earn up to 5% at Walmart, rewards points can be redeemed for cash, gift cards, and travel
  • Walmart Credit Card: Only works at Walmart, good option if you have poor credit (550+)
  • Discover It Secured: Get up to 2% back on all purchases while you build credit

If you primarily shop online at Walmart, their own co-brand cards will give you the most cash back on a consistent basis. A flexible rewards card is better if you don’t want a monthly statement credit or want to earn bonus points for non-Walmart purchases too.

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The Best Credit Cards From USAA

USAA offers credit cards specifically to members of the armed forces and military, including all branches from Navy to American Legion members. Since 1922, USAA has shown their appreciation for those who serve our country by offering helpful financial products that range from auto and life insurance, to loans and credit cards. USAA has developed a full range of credit cards, with varying options and benefits. Here is a list of some of the most common USAA credit cards that you may consider.

USAA Cash Back Card

USAA is not really known for its great rewards credit cards. But, that does not mean that they don’t have any! They just might not be as great when you compare them with some of the other rewards cards that are out there. At first glance, the USAA Cash Rewards Visa card may look appealing, since they advertise a 1.25% cash back rate.

But, when you dig in and read the fine print, you will notice that there is an earning schedule that is dependent upon your yearly spending, and that 1.25% is reserved for those at the highest spending patterns. So, unless you spend more than $17,000 in a year, expect to get a lower rate of cash back. Oh, and we should mention that you only get the cash back rewards once a year, in January, then your spending begins to track all over again for the next year.

There are definitely better options when it comes to cash back Visa cards, but if you are committed to USAA and can justify the other benefits, then at least you are getting something back. There is no annual fee, which is a nice perk. Any reward is better than no reward!

Apply Now: USAA Cash Rewards® Visa®

USAA Rewards Card

Although this card is technically a rewards card, the rewards offered by the USAA Rewards World MasterCard are not exactly the stuff dreams are made of. But, again, any reward is better than none! So, here it is. You get a 1% cash back, flat rate on your purchases. There is no difference in the rewards earning, like the Visa rewards card. There are also no bonus categories to aim for. You do get a sign on bonus of 2,500 points (equivalent to $25 in rewards), which does help things a bit.

And, unlike the Visa rewards card, you can redeem your rewards any time you like, not just once per year. You also have the option of redeeming for cash, travel, merchandise and more. With no annual fee, you have nothing to lose with this card, but you may be able to do better with other rewards cards, like Discover it.

Apply Now: USAA Rewards™ World MasterCard®

USAA American Express Card 

Again, here you have a card with no annual fee, which makes it automatically hit the “attractive” list. With this USAA offer, however, the rewards are a bit more enticing. You can earn 1% on all purchases, with a 2% earning rate for the special categories of gas and groceries—the most common categories for most people. There is no limit or cap on the spending or the rewards that you can earn, other than your own credit limit. Like the MasterCard, the USAA American Express Rewards card offers a 2,500 sign up bonus, which does sweeten the pot a bit.

Apply Now: USAA Rewards™ American Express®

USAA Low APR Credit Card

For those who prefer credit cards with low APRs, mainly those who do not make it a habit to pay off their balance in full each month, the USAA Rate Advantage MasterCard may be a great choice. If you have great credit and can qualify for the lowest rate, you will enjoy a rate of 6.9% on all of your purchases and balance transfers, which is pretty low!

Those with not-so-stellar credit may pay up to 23.99%, so this card quickly becomes unattractive unless you are in the top bracket. No annual fee, but no sign on bonus either. And, no cash back rewards. Just a really low APR, worthy of bragging about.

Apply Now: USAA Rate Advantage MasterCard®

USAA Credit Card for Those With Low Credit Scores

Before you read about the USAA Secured Credit Card, you should know that this offer is reserved for military members and their families.

Helping those with low credit scores make things better is one thing that USAA is good at. If you need a credit boost and you can’t qualify for one of the major credit cards, then this might be a great place for you to start rebuilding. A secured credit card will require a security deposit, and, assuming you make your payments on time and behave like a good customer, you will be able to see your credit score rise in a short period of time.

Once you get your credit high enough, you can close this account, reclaim your security deposit, and apply for a traditional, non-secured credit card and move on. There is a minimum security deposit of $250, which earns interest while they hold your money. You do need to agree to a two-year term, but this is a reasonable amount of time to expect to rebuild your credit anyway. The annual fee for this card is a reasonable $35.

Conclusion

USAA has always been a well-respected and reputable bank, and one that offers solid offers to members of any military branch. They might not be the best offers on the market, but most of them offer special perks during times of deployment and assignment, making financial fitness easier for military members and their families while they serve their country. There are certainly better offers out there, but, depending on what you are looking for, USAA may have some attractive options.

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How Getting a Credit Card Can Improve your Credit Score

Is your credit score low? Or, at least lower than you would like it to be? Getting a credit card can actually help to improve your credit score, in some situations. Understanding the basics of how your credit score is calculated can help you to raise your score, by making improvements to the various factors.

How Your Credit Score is Calculated

There are basically two factors involved when it comes to calculating your credit score—how much you owe, and how long your credit history is. There are some complicated formulas that go into the figures, but, in a nutshell, these are the most important things. This is why it is so important to keep your credit under control, and why you should establish credit early so that you can have the chance to build up a great credit history.

Long credit histories give you credibility when you are looking to borrow money from any lender. Large amounts of debt make you look like a high risk. It’s all quite simple.

How a Secured Credit Card Can Help

A secured credit card may be just the solution when you are looking to improve your credit score. The Citibank Secured MasterCard can offer those with poor credit a way to dig out of the hole. Because you are not likely to be approved for a traditional credit card, the best way to start improving your credit is to put a deposit down on a secured card, like the one offered from Capital One, and show the bank that you are going to be reliable and make your payments on time every month.

After several months of doing so, you will see that your credit score starts to come up a bit, and, soon, you will be able to qualify for a traditional credit card and you can get your deposit back.

The Nitty Gritty on Secured Credit Cards

The Citibank Secured MasterCard offers cardholders a credit line of up to $3,000, with a security deposit that will vary depending on your credit history. Citibank will place your deposit in an interest earning account while you are a Secured MasterCard holder. You will pay an APR of prime plus 14.99% on purchases and balance transfers. An annual fee of $29 will be charged to you. In order to apply for the Citibank Secured MasterCard, you have to visit a bank branch, and all applications are not necessarily approved.

For Those With “Fair” Credit Scores

If you are trying to raise your credit and already have “fair” credit, then you may have more options available to you. The Barclaycard Rewards MasterCard and the Capital One Quicksilver One Cash Rewards Card both offer those with fair credit an opportunity to make improvements. While both have plenty of advantages, the Barclaycard Rewards card has no annual fee, making it more attractive to those trying to save a few bucks.

The Nitty Gritty on “Fair” Credit Cards

Both the Barclaycard Rewards MasterCard and the Capital One Quicksilver Cash Rewards Card offer cash back rewards. The Barclaycard has no annual fee, while the Capital One card has a $39 annual fee. For the Barclaycard holders, you will earn one point for every dollar spent, with two points for purchases of gas, groceries and utilities. For the Capital One Quicksilver cardholders, there is an unlimited 1.5% cash back reward.

Barclaycard® Rewards MasterCard® holders can get instant access to FICO scores, as well, which can help to monitor the improvements to the credit score. The Barclaycard has a 24.99% APR, with no introductory rate. The Capital One Quicksilver card offers an introductory rate of 0% until December 2014.

Conclusion

Improving your credit is not an impossible task. It does take commitment and dedication, and you have to be very careful about how you spend your money and how you pay your debts. If you need to begin with a secured credit card, then the Citibank Secured Credit Card is a great way to go.

If you already have fair credit, the both the Barclaycard and the Capital One Quicksilver offer you an opportunity to raise your credit, but the 0% introductory APR and the higher rate of cash rewards offered by Capital One make this card stand out in the crowd.

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Easy Approval Credit Cards for Those with Bad to Fair Credit

You certainly do not have to have pristine credit in order to qualify for a credit card. There are easy approval credit cards for those with bad to fair credit. While great credit will definitely get you better perks, you can still get a card that will help you to rebuild your credit, and the card may even have some attractive benefits itself.

For those wishing to qualify for a traditional credit card (as opposed to having to go with the less-desirable secured credit card options), here are some options to consider.

If You Have Fair Credit

Generally speaking, if you have fair credit then you can qualify for a regular credit card. This is definitely the best option as you try to rebuild your credit, and this should be your first choice. A fair credit score often comes from more of a limited credit history than a history of not paying your bills (or a bad credit history). Cards aimed toward those with fair credit often have some perks associated with them, including no annual fees and even cash back rewards programs. The interest rate will generally be higher than for other cards with a target market of those with good to excellent credit, but you have to start somewhere! The Barclaycard Rewards for Average Credit has some of the best options for those with “fair” credit. You probably won’t qualify for this card if you have “bad” credit. Find out your credit score before you apply, so you know your odds. This card will allow you to earn 1% cash back on every dollar spent, and 2% cash back when your purchases qualify in the categories of groceries, gas and utilities.

NFL Extra Points Credit Card

Another great option for those trying to rebuild their credit is the NFL Extra Points Rewards card, also offered by Barclays, and available to those with limited credit histories. Even if you are not a die-hard NFL fan, this card has no annual fee and does offer some rewards (that you can redeem in the form of statement credit, if you’d prefer that instead of game tickets), and will allow you to beef up your credit history until you qualify for the big leagues yourself. Earn a great sign-on bonus, which will give your cash back rewards a nice boost.

If You Have Bad Credit

All is not lost if you have bad credit! You can always work toward improving your credit, and you should. There are even unsecured credit cards that you can get, often at a premium interest rate and higher fees, to help you get back on track. Of course, it should go without saying (but it won’t), that you have to truly be disciplined and committed to improving your credit—especially if the reason for your poor credit is unpaid credit card bills or bankruptcy due to credit card debt.

Secured Credit Cards

Another option for those with bad credit is the secured credit card. This type of credit card requires you to put down a security deposit that is held by the bank, to be used in the event that you do not pay your bills on time. Typically you can get about 150% of your deposit as your spending limit (for a $300 deposit, you would get a $450 spending limit).

One example of such a card is the US Bank Harley-Davidson Secured credit card, which has no annual fee and even offers some perks like 1% cash back on all purchases. Another great option is the Capital One Secured MasterCard, which does have a lower security deposit (ranging from $49-200, based on your credit-worthiness). This card is perfect for people who don’t have a lot of cash to use for a security deposit. It does come with an annual fee of $29, which is not terrible, especially for a secured credit card. If you make your payments responsibly, you’ll be able to move up to a traditional credit card fairly quickly.

For more options, check out our post on the Best Secured Credit Cards.

Are Unsecured Credit Cards a Good Choice?

There are numerous unsecured credit cards available for people with bad credit, but, in general, these cards may end up costing you more in the long run with higher annual fees, higher interest rates, and stiff penalties. If you have bad credit, you are probably better off choosing a respectable secured credit card and rebuilding your credit this way.