How to choose a card to build credit
A starter card is a tool for building a credit history, not for borrowing. The best one is cheap to hold and reports your on-time payments everywhere.
The checklist
- Reports to all three credit bureausEquifax, Experian and TransUnion. A card that reports to only one builds only part of your history.
- No annual feeYou're paying in full every month, so the only cost should be zero.
- A refundable depositWith a secured card your deposit is your limit, and you get it back when you close or upgrade.
- A path to graduateLook for a review after 6 to 12 months that can move you to an unsecured card and return the deposit.
- Free score trackingNice to have, so you can watch the score build.
- Ignore the APR, but know itYou'll pay in full, so the rate shouldn't matter. If it does start to matter, stop using the card.
We don't list specific accounts yet. Use the checklist on any account you're considering. How we make money.
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