Having a credit card is a common thing in modern life. Everyone has it and they use it to purchase their needs as their wish. If you are new in this sector and don’t have any credit history and you want to have a first-time credit card with no credit history.
For this reason, you need not worry that much and you can own it or have it. If you do not have much of a credit history yet, it is a little bit frustrating for you for shopping. So, you find a credit card.
Many people are going to start a new job or going to deal with financial functions, they should find a credit card for the first time. There are many starter credit cards. To have it, you have to apply for this. Form many companies, you can choose your required credit card.
If you want to apply, you have to provide some basic information about you like your name, address, phone number, etc. Most of the time, starter card is basically for students. And they do not have a credit history.
For starter credit cards, sometimes, they do not need a social security number. According to your age, they will require some information to qualify you. If you are under 21, they will ask for a co-signer. Also, if you are over 21, their expectation will be different.
If anyone has to own a first-time credit card with no credit history, they will have to know how they will have it and which is best for them. This article will help them.
What is Starter Credit Card?
A starter credit card is a credit card with low credit requirements and it builds your credit history for the future to the first-time cardholders. This is especially for the students and people; who do not have solid credit habits and no credit history.
How to Get Started with Your First Credit Card?
If you are interested to get your first credit card, you need to attain some questions regarding this. You need to what type of credit cards available for beginners and how they can get them. Have a look at the following tips:
1. Check Your Credit
Some credit cards will require your credit score for qualifying your application. There are 5 categories of credit ranges, these are
- Limited to no credit history
- Bad credit
- Fair credit
- Good credit
- Excellent credit
If you do not have a credit history, choose your range and if you have bad credit, you are also eligible for having a credit card. Check your credit history for free, even if you have no credit history.
2. Apply for a Credit Card
There are available options. You can apply online, in person, or via mail with the bank, credit union or store that offers its own credit card. Also, you have to provide some personal information like your legal name, birth date, residence, annual income, social security number, your monthly cost, and your bank account, etc.
You should apply for this card which is perfect for you and you are likely to be approved by them. That will not decrease your credit score.
3. Spend Responsibly and Pay on Time
After getting approved and receiving a credit card, it is ready to use. From the beginning, do not purchase many things, so that you cannot pay them off on time. After 30 days or so, a bill will be sent to you that you have purchased.
You can pay minimum payment also. But if you are able to pay the full then do it. Because it will relieve you from interest charges. Making payments on time will build your credit score.
The 5 Best First Time Credit Card With No Credit History
1. Discover it Cashes Back
This card is a very friendly and a good choice for first-timers. There is no need for being charged a late fee if you miss a payment due date. If you pay on time, discover will never increase your ARP. There are cashback rewards of about 5% on some categories like gas stations, restaurants, grocery stores, and online shopping also. You can also earn 1% cashback on all other purchases automatically. There is no annual fee for this card. It is the best choice for an everyday credit card.
- 5% cashback offers on some selective purchasing categories and 1% cashback for all other purchases.
- There is a strong introductory offer on purchasing and balance transfers also.
- Discover will match the cashback which you earn the first year.
- There is no annual fee.
- There is no purchase protection like return guarantee, extended product warranty, and price protection.
- No travel protection like auto rental insurance and flight accident insurance.
2. Deserve EDU Mastercard for Students
To apply for this card, you do not need a traditional credit history. It is the best option for the students because they can apply for it without social security number. It requires a lower late fee and it is a safe option for students and starters.
There are no charges for foreign transaction fees and perfect for international students and they can travel and study abroad. After graduation, this card will be valuable for students. Some opportunities like 1% cashback reward for users.
- There is no foreign transaction fee and students can go abroad for traveling and study.
- It requires no co-signers and no security deposit.
- Students will get free 1-year Amazon Prime membership.
- No annual fee.
- 1% Cashback for all purchases.
- For this card, a US bank account is needed.
- High regular APR.
- A balance transfers system is not allowed.
3. Secured Mastercard from Capital One
In this card, there is a regular reporting system for the 3 major credit bureaus. It is a widely accepted card. As It is a secured credit card, it requires a security deposit at the beginning. You can get back this deposit. Also, you can provide the minimum amount of security deposit according to your income. You can pay your deposit in installments.
After 6 months, you will be automatically considered for a higher credit line, for this, you need no additional deposit. They will monitor your account so that you can make your payment on time. You also can manage your account anything through online, by mail, or by phone.
- The deposit system of the card and higher credit line makes this card a valuable choice.
- There is no annual fee.
- Secured card with no credit history.
- Get back your deposit as a statement credit.
- You need a little bit high monthly income.
- There is no cashback reward.
4. Petal 2 “Cash Back, No Fees” Visa Credit Card
Without a credit history, it also allowed getting approval for all. It assesses your creditworthiness based on your income, expenses, savings, and debts. If you provide your payment on time, you will earn a 1.5% cashback offer. It is a unicorn among credit cards. You also get some decent rewards on all purchases.
- 1.5% cashback depending on your timely payment.
- You won’t be charged extra for late payments.
- There is no annual fee, no foreign transaction fees.
- It requires no deposit money.
- Use Petal’s mobile app to manage your payments easily.
- There is no credit limit increase system.
5. Chase Sapphire Preferred Card
On this card, there is a huge bonus after spending $4000 in the first three months. Travel rewards are also available. You can get travel offers, dining at the restaurant offers also. For this reason, it is considered one of the best premium travel reward credit cards on the market.
It provides a sign-up bonus also. This card is best for those who have much more interest in traveling because they can use their reward offer fully.
- You can earn 2X points per dollar spent on all travel and dining purchases.
- After opening this credit account, within 3 months you will receive a huge point as a signup bonus.
- You can use your reward point for travel reservations or transfer to airlines and hostels.
- It is a great card to increase your point.
- There is a high annual fee for this credit card.
- Fewer travel options and they do not offer tickets on several discount airlines.
A starter credit card makes a responsible habit of a starter. Most of the time, it forgives the mistakes of new cardholders. It is very important finding a credit card with the right combination of befits. The right use of your starter credit card helps you in the credit world. No credit card is valuable with the proper habit of using it. So, find a first-time credit card with no credit history and use it properly.