The Best Credit Cards for Bad Credit in 2018
Credit cards are an important thing to have. They not only give you a line of credit, they also show on your credit report, which means that a good card has the power to help raise your credit. Finding the right card can be tricky, though. Are you looking to help build your credit? Are you in it for the rewards? Do you want the highest credit limit, the lowest interest rates, or are you looking for a happy medium?
No matter what you need from a card, there is one out there that can help you. The trick is just finding the right one. That’s why we’ve complied this handy list of the best new credit cards to hit the market in 2016 and tell you about the uses and perks of each one.
Best Rewards Card: Chase Sapphire Preferred Card
This card is a loaded rewards card. It’s good for travel, it’s good for bonus points, and it has a pretty good signing bonus. Tie it to your Ultimate Rewards account and you’ll get even more bang for your buck. The Chase Sapphire Preferred Card lets you make the most of your bonuses, allowing you to use your rewards a cent at a time.
2016 new cardholders can get 50,000 Ultimate Rewards points just for signing, which can get you $625 in Travel Rewards when you spend $4,000 on purchases in the first three months of opening your account.
Double rewards on travel and dining help you get the most out of the things for which you use your card, and your rewards can count for credit on your statement, not just for travel. Other highlights include:
- 1:1 ratio for use at hotel and airline partners when you use their loyalty programs
- 1.25 – 2.5% rewards rates
- Rewards usable on credit card statements
Best Secured Credit Card: Discover It Secured Credit Card
Secured cards work wonders for those with bad or no credit history. They’re not great for overall use, but they allow those with less than perfect credit to get a card by putting down a deposit to help cover issuer’s losses should you default on your payments.
The Discover It Secured Credit Card works with you actively to help you with everything a secured card should do. There is no penalty for the first time you pay late, and it will give you access to your FICO score on each monthly statement.
Other highlights include:
- No expiration and no minimum redemption amount for rewards
- The card reports to all three credit bureaus
- After 12 months, you are automatically evaluated on a monthly basis to see if qualify for a regular, unsecured card
Best Credit Card for Air Miles: Capital One Venture Rewards Card
If you’re a frequent flyer, the Capital One Venture Rewards Card will get you up and in the air faster than any non-loyalty card out there. Start with a signing bonus of 40,000 miles when you spend $3,000 on purchases in the first three months of opening an account.
After that, you get double miles per dollar on every purchase every day. Where the Capital One Venture Rewards Card does better than many of its competitors is that isn’t just tied to partner airlines and hotels. You can use it for any airline and any hotel, with no blackout dates.
Miles don’t expire and there is no limit to how many you can earn, so you don’t have to worry about losing your rewards. What is better, if you decide to use your card abroad there are no foreign transaction fees.
Check out some of the other highlights of the card:
- No annual fee for the first year
- No limit on travel locations
Best Student Credit Card: Discover it for Students
There’s a reason the Discover it cards appear in more than one place – they are great at specializing to help cardholders get the most out of their cards. The student card doubles down, helping students new to the credit card game build their credit history while still maximizing benefits. It even provides some incentive to study.
The card rewards student for good grades by getting cardholders $20 cash back each year for a GPA of 3.0 or higher, and it is perfectly usable on a study abroad trip with no foreign transaction fees.
Compared to other student cards, it keeps interest relatively low, with no APR on purchases for the first six months, and APR as low as 13.24% after that. And, if you ever misplace the card, you can prevent new activity on the card instantly with the Freeze It feature available online and on the Discover mobile app.
Additional highlights:
- No annual fee or overlimit fee
- No fee on first late payment
- Earn 5% cashback on categories like gas, food, and Amazon purchases
- FICO score on your monthly statement to track your credit
Best Credit Card for Balance Transfer: Chase Slate
If you are looking to ditch your current card, the Chase Slate card will help you bring your balance over. Named the best balance transfer option by MONEY Magazine for three years running, the Chase Slate card offers a $0 introductory balance fee for transfers made in the first 60 days of account opening.
On top of that, the card will also get you 0% APR for the first 15 months on any balance transferred, and no annual fee. You’ll even get to see your FICO Score free to see if your balance transfer is impacting your credit. Add onto that no penalty on your APR for paying late, and the Chase Slate card is enough to make anyone transfer over.
The Slate card does not come loaded with the same rewards as other Chase cards – you won’t get any points for your daily spending. If you’re looking for an easy, affordable tool to pay down other balances, though, the Slate card really outshines all others.