Top 10 No Annual Fee Credit Cards for Bad Credit
No annual fee credit cards for bad credit are designed to help individuals with less-than-perfect credit scores rebuild their financial standing without the burden of annual charges. These cards are particularly beneficial for those who want to improve their credit without incurring extra costs.
Advertisement
While these credit cards typically come with higher interest rates and lower credit limits, they offer a valuable opportunity for credit repair. Cardholders can demonstrate responsible credit usage by making timely payments and keeping their balance low relative to their credit limit. Over time, this responsible behavior can contribute positively to one's credit score. Additionally, some of these cards may offer basic rewards or cash-back incentives, although these are generally less generous than those provided by premium credit cards. It's important to carefully review the terms and conditions to understand any additional fees or requirements, such as security deposits for secured cards, which can also serve as a stepping stone to better credit.
Capital One Platinum Credit CardView AllCapital One Platinum Credit Card - No annual fee, average credit, credit limit increases.
Discover it® Secured Credit CardView AllDiscover it® Secured Credit Card - No annual fee, cashback, credit-building secured card.
OpenSky® Secured Visa® Credit CardView AllOpenSky® Secured Visa® Credit Card - No credit check required, refundable deposit, builds credit history.
Credit One Bank® Platinum Visa® for Rebuilding CreditView AllCredit One Bank® Platinum Visa® for Rebuilding Credit - Credit-building card with cashback rewards and flexible payments.
Green Dot Primor® Visa® Gold Secured Credit CardView AllGreen Dot Primor® Visa® Gold Secured Credit Card - Secured card, no credit check, reports to major bureaus.
Citi® Secured Mastercard®View AllCiti® Secured Mastercard® - Credit-building card with security deposit, no annual fee.
Secured Sable ONE Credit CardView AllSecured Sable ONE Credit Card - Secured credit card with no credit check and rewards.
Petal® 1 "No Annual Fee" Visa® Credit Card;First Progress Platinum Prestige Mastercard® Secured Credit Card;Chime Credit Builder Visa® Credit Card.View AllPetal® 1 "No Annual Fee" Visa® Credit Card;First Progress Platinum Prestige Mastercard® Secured Credit Card;Chime Credit Builder Visa® Credit Card. - Petal 1 Visa: No annual fee, cash back rewards. First Progress Mastercard: Secured, low APR. Chime Credit Builder Visa: No fees, build credit.
First Progress Platinum Prestige Mastercard® Secured Credit CardView AllFirst Progress Platinum Prestige Mastercard® Secured Credit Card - Secured card, builds credit, no credit history required.
Top 10 No Annual Fee Credit Cards for Bad Credit
1.
Capital One Platinum Credit Card
The Capital One Platinum Credit Card is a straightforward, no-annual-fee credit card designed for individuals looking to build or improve their credit. It offers a modest credit limit with potential for increases after demonstrating responsible usage. The card lacks rewards programs but provides essential features like fraud coverage, online account management, and access to CreditWise, a free credit monitoring tool. Ideal for those focused on credit-building, it combines simplicity with essential financial tools.
Pros
No annual fee- Credit-building tool
- Fraud coverage
- Access to CreditWise
- Auto rental insurance.
Cons
High APR- No rewards program
- Foreign transaction fees
- Limited benefits
- No intro APR offers.
2.
Discover it® Secured Credit Card
The Discover it® Secured Credit Card is a credit-building tool that requires a refundable security deposit, with deposits starting at $200. It offers 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases each quarter, and 1% on all other purchases. Cardholders can benefit from no annual fee, free access to their FICO® Credit Score, and Discover's Cashback Match®, which matches all cash back earned in the first year.
Pros
- Builds credit
- No annual fee
- Cashback rewards
- Free FICO score
- 2x Cashback match first year.
Cons
-
Requires security deposit
- High APR
- Limited credit limit
- No travel rewards
- Limited international acceptance.
3.
OpenSky® Secured Visa® Credit Card
The OpenSky® Secured Visa® Credit Card is designed for individuals looking to build or rebuild their credit. It requires a refundable security deposit, which determines the credit limit. With no credit check required for approval, it offers an accessible option for those with poor or limited credit histories. Cardholders benefit from regular reporting to major credit bureaus, which can help improve credit scores over time. The card also features a modest annual fee but does not offer rewards.
Pros
-
No credit check required
-
Reports to all three major bureaus
-
Low annual fee
-
Flexible credit limits
-
Easy application process.
Cons
- **
No rewards program
-
High APR
-
No upgrade path
-
Requires a security deposit
-
Limited additional benefits.
4.
Credit One Bank® Platinum Visa® for Rebuilding Credit
The Credit One Bank® Platinum Visa® for Rebuilding Credit is designed for individuals aiming to improve their credit scores. It offers 1% cash back on eligible purchases, including gas, groceries, and internet, cable, and mobile phone services. With no security deposit required, it provides an accessible option for those with fair to poor credit. Cardholders benefit from free access to their Experian credit score and customizable notifications, aiding in better financial management. Annual fees and APR vary based on creditworthiness.
Pros
- No security deposit
-
Pre-qualification without credit impact
-
Rewards on eligible purchases
-
Free credit score tracking
-
Flexible payment options.
Cons
- Annual fee
-
High APR
-
Limited credit limit increases
-
Mixed customer service reviews
-
Foreign transaction fees.
5.
Green Dot Primor® Visa® Gold Secured Credit Card
The Green Dot Primor® Visa® Gold Secured Credit Card is designed to help individuals build or rebuild their credit history. With a low fixed APR, it requires a refundable security deposit ranging from $200 to $5,000, which determines the credit limit. The card reports to all three major credit bureaus, making it a solid option for those looking to improve their credit score. It does not require a minimum credit score for approval, but it does have an annual fee.
Pros
- No minimum credit score requirement
-
Reports to all three credit bureaus
-
Low fixed interest rate
-
Helps build/rebuild credit
-
Easy online application.
Cons
- Requires a security deposit
-
High annual fee
-
No rewards program
-
Limited benefits
-
High foreign transaction fees.
6.
Citi® Secured Mastercard®
The Citi® Secured Mastercard® is a credit-building tool designed for individuals with limited or no credit history. It requires a refundable security deposit, which sets the credit limit. This card offers access to FICO® score tracking and various Citi perks, including identity theft protection and 24/7 customer service. It reports to all three major credit bureaus, aiding in credit score improvement with responsible use. However, it doesn't offer rewards or cashback incentives.
Pros
-
Builds credit history
-
Low annual fee
-
Reports to all three credit bureaus
-
No penalty APR
-
Can graduate to unsecured card.
Cons
-
Requires security deposit
-
Limited rewards
-
High APR
-
No signup bonus
-
Limited additional benefits.
7.
Secured Sable ONE Credit Card
The Secured Sable ONE Credit Card is designed to help individuals build or rebuild their credit. With no credit check required, it offers accessible approval. Cardholders earn 2% cash back on select purchases and 1% on all others. The card requires a refundable security deposit, which sets the credit limit. Additionally, it reports to major credit bureaus, aiding in credit score improvement. Users benefit from zero annual fees and a straightforward, user-friendly application process.
Pros
- No annual fee
- Credit building
- Cashback rewards
- No credit check
- Easy application process.
Cons
- Security deposit required
- High APR
- Limited benefits
- Restricted to U.S. residents
- No upgrade path.
8.
Petal® 1 "No Annual Fee" Visa® Credit Card;First Progress Platinum Prestige Mastercard® Secured Credit Card;Chime Credit Builder Visa® Credit Card.
The **Petal® 1 "No Annual Fee" Visa® Credit Card** is designed for those with limited or no credit history, offering cash back rewards and no annual or foreign transaction fees. The **First Progress Platinum Prestige Mastercard® Secured Credit Card** requires a refundable security deposit, helping individuals build or rebuild credit with a low APR. The **Chime Credit Builder Visa® Credit Card** is a secured card linked to a Chime Spending Account, with no credit check, annual fee, or interest charges, aimed at improving credit scores.
Pros
- No annual fee
- No foreign transaction fees
- Cash back rewards
- Reports to major credit bureaus
- No deposit required.
Cons
- Requires Chime account
- No rewards program
- Limited acceptance
- May have spending limits
- No direct credit limit increase.
9.
First Progress Platinum Prestige Mastercard® Secured Credit Card
The First Progress Platinum Prestige Mastercard® Secured Credit Card is a secured credit card designed to help individuals build or rebuild their credit. It requires a refundable security deposit, which determines the credit limit. This card offers a low APR, but it does come with an annual fee. With responsible use, it reports to all three major credit bureaus, aiding in credit score improvement over time. No prior credit history or minimum score is needed for approval.
Pros
- No credit history required
-
Reports to all three credit bureaus
-
Low APR
-
No penalty APR
-
Security deposit is refundable.
Cons
- Annual fee
-
No rewards program
-
High foreign transaction fees
-
Requires a security deposit
-
Limited benefits and perks.