Best Credit Cards for Bad Credit, Average Credit, Good Credit and Excellent Credit
If you grew up in an egalitarian society with a loving family, you’ve probably been told over and over to reach for the stars and set your sights high. You can achieve anything if you believe in yourself! Well guess what, that’s all a bunch of B.S. – at least when it comes to credit cards. It doesn’t matter how swell of a guy or sweet of a gal you are, there’s one major thing holding you back from the credit card of your dreams: your credit score. So, instead of getting your hopes up and then having them dashed into a billion little pieces, let’s be realistic. Set the bar low, if necessary. Go get your free credit score and then come back and we’ll show you the credit cards that are in your league whether you have bad credit, average credit, good credit or excellent credit.
Bad Credit – 500 to 580
A FICO score between 500 and 580 is in the range of bad credit. (Anything lower is worse than bad and you really have no business getting a loan or revolving credit account until you repair your credit.) Your primary goals as a cardholder with bad credit are to:
- Avoid damaging your credit further.
- Begin building up good credit.
- Avoid getting destroyed by fees, penalties and high interest rates.
A cursory search for credit cards for people with bad credit will turn up a plethora of “prepaid” credit cards. However, these are essentially the worst of both worlds of credit and debit. High fees, restrictive rules (you have to pay money in to get a credit line) and you’ll be walking on thin ice the entire time. A better route is to choose a secured credit card, which is slightly different, but in very important ways. For one, secured credit cards aren’t prepaid, rather, they require you to put up a cash collateral. This is different than prepaying because you’re not depleting the balance of your collateral, you’re borrowing against it. They only take that money if you default. This eliminates the risk for banks and puts you on a leash short enough that you won’t likely hurt yourself but you’ll still have enough freedom to begin building up some credit. The downside: high up front costs to get your collateralized credit line going.
Recommended bad credit credit cards:
- New Millennium Bank Secured Gold Visa® / MasterCard®
- Bank of America Secured Visa
- Centennial Secured MasterCard
Average Credit – 580 to 620
When you get into the 580 to 620 range, you’re getting close, but you’re not quite there. You’ll likely be able to qualify for something a little bit better than a secured credit card, but don’t expect any lavish rewards or ridiculous credit limits yet. Those with average credit typically have good overall track records, but have missed payment here or there or don’t have a very long credit history. Many students fall into the average credit range, and just about any credit card with the word “student” in it will be within the reach of a consumer with average credit.
However, if you fall on the upper end of the average range, there are some rewards cards within your reach – but you’ll get a much higher interest rate than if you had better credit.
Cards for users with average credit include:
- Discover® More(SM) Card
- Capital One Classic Platinum
- BankAmericard Basic Visa
Good Credit – 620 to 720
They say that the average credit score in America is around 692, which means most consumers have allegedly good credit. If this were any time but now, then good credit would earn you very flexible credit card terms, ample rewards and a nice selection of credit cards with no annual fees. But as it were, the American credit card industry is going through some tumultuous changes, and the rewards aren’t quite as bountiful for the time being. Still, you do have a wide range of choices when it comes to credit cards. Getting one that benefits you is a matter of matching your spending style to the card’s features.
Here at MYC, we’ve reviewed a couple popular cards that are perfect for those with good credit. Read more about:
- Escape by Discover Card Review
- Credit Card Review: Biodegradable Discover More (really!)
- Credit Card Review: Chase Freedom (I have this card and really like it.)
- AMEX Gold Card Review
Excellent Credit – 720 and Up
The difference in magnitude between good and excellent credit isn’t that significant once you get in the upper 600s/lower 700s. But a combination of excellent credit and a history for high rolling and big spending can land you in the luxury credit card territory, where the credit limits are head-swimmingly high and the perks are ridiculously lavish. Examples: Personal and professional concierges at your beck and call 24/7 (it’s like having a personal assistant for your life), free hotel stays, free chaffeured rides to the airport, travel insurance and discounts for private jets. Of course, such royal treatment doesn’t come cheap – these cards come with annual fees in the triple to quadruple digits. And getting your mitts on the most elusive luxury cards, such as the legendary Black American Express Centurion Card, requires an epic series of quests, invitations and other qualifications that have consigned the vetting process for the world’s most exclusive credit cards to the realm of urban mythology.
With that being said, we would list a few of the top luxury credit cards here – but it would be useless. When you are rich and famous enough for one of these cards, they’ll find you.
Got another recommendation for a good credit card for bad, average, good and excellent credit scores? Tell us about it in the comments.
Related posts: