Best Credit Cards for 18 year old in November 2022
Annual
Fee: $36 the first year. Billed $3 per month thereafter Regular APR: 20.45% Variable Сredit score No Credit History to Fair (0-669)
Issuer name:
Merrick Bank
Details:
The Merrick Bank Double Your Line® Secured Mastercard® is a good card for people looking to build or rebuild credit.
The card has an annual fee of $36 for the first year (billed $3 per month thereafter).
The APR for purchases is 20.45% (Variable).
Double your $200 credit line by making at least your minimum payment on time each month for the first 7 months your account is open.
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Pros:
- Double your credit limit
- Free monthly FICO Score access
Cons:
- Annual Fee
- Foreign Transaction
Benefits:
- $0 Fraud Liability;
- Double Your Line®;
- Reports to 3 Major Credit Bureaus.
View all Double Your Line® Secured Mastercard® details
Apply now
On Merrick Bank‘s site
Card detail
Annual Fee:
$25 for the first year; after that $35.00 annually
Regular APR:
22.24% Variable
Сredit score
No Credit History to Poor (0-579)
- Details
- Pros & Cons
- Benefits
Issuer name:
Synovus Bank
Details:
The Synovus Bank First Latitude Platinum Mastercard® Secured Credit Card is a full-feature Platinum Mastercard® with a credit line based on a security deposit rather than on a credit score.
The First Latitude Platinum Mastercard® Secured charges an annual fee of $25 for first year; after that $35 annually. The APR for Purchases is 22.24% (27.24% for cash advances). These APRs will vary with the market based on the Prime Rate.
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Pros:
- Available to people with limited credit history
Cons:
- Foreign Transaction Fee
- Balance transfers are not available
Benefits:
- Choose a Credit Line Secured by Your Fully Refundable Deposit - from $100 to $2,000;
- Reports Monthly to All 3 Consumer Credit Bureaus to Establish Credit History;
- Quick and Easy Online Application.
View all First Latitude Platinum Mastercard® Secured details
Apply now
On Synovus Bank‘s site
Card detail
WebBank Petal® 2 “Cash Back, No Fees” Visa® best for Beginner, No history
Regular APR:
15.99% - 29.99% Variable
Сredit score
No Credit History to Excellent (0-799)
Rewards Rate:
- 1% - 1.5%:
- Cash Back after making 12 on-time monthly payments.
- 2% - 10%:
- Cash Back from select merchants.
- Details
- Pros & Cons
- Benefits
Issuer name:
WebBank
Details:
The Petal 2 Card has no fees of any kind and is designed to help you build credit.
The credit limit is from $500 - $10,000.
Grow your credit score with responsible spending and on-time payments.
Get 1% cash back right away. Earn up to 1.5% when you pay on time. Plus 2% - 10% bonus cash back at select merchants.
Freeze your card at any time to protect your account. And rest easy knowing your data is safe and encrypted.
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Pros:
- No annual fee
- No returned payment fee
- No foreign transaction fee
- You can apply even if you have no credit history
- No late fees
Cons:
- No signup bonus
- Cash advances are not permitted
- Those who filed for bankruptcy may be rejected
- Balance transfers are not allowed
- No intro APR offer
Benefits:
- No foreign transaction fee;
- Petal 2 reports to all 3 major credit bureaus;
- Qualify with average credit.
View all Petal® 2 “Cash Back, No Fees” Visa® details
Apply now
On WebBank‘s site
Card detail
Regular APR:
12.99% Variable
Сredit score
No Credit History to Fair (0-669)
- Details
- Pros & Cons
- Benefits
Issuer name:
Synovus Bank
Details:
The First Progress Platinum Prestige Mastercard® Secured Credit Card is a secured credit card for people with a limited credit history.
The First Progress Platinum Prestige Mastercard® doesn’t earn a welcome bonus.
The First Progress Platinum Prestige Mastercard® comes with an annual fee of $49. The card's APR: 12.99% (Variable for purchases), 21.99% (Variable for cash advances).
First Progress reports to all three major credit agencies, so even if you have bad credit, you’ll be able to improve on your credit standing provided you use your card responsibly.
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Pros:
- Low APR for Purchases
- No Minimum Credit Score Required
- Reports to Three Major Credit Bureaus
- Suitable Range of Credit Limit
Cons:
- High Annual Fee
- High Transaction Fees on Cash Advance
- High Penalty Fees
- No Bonuses or Rewards
- Foreign Transaction Fees
- Unavailability of Card for Certain Geographies in the US
Benefits:
- Accepted Nationwide;
- No Minimum Credit Score;
- No Credit History Required.
View all First Progress Platinum Prestige Mastercard® Secured details
Apply now
On First Progress’s site
Card detail
Applied Bank® Secured Visa® Gold Preferred® Credit Card best for 18 year old
Сredit score
No Credit History to Poor (0-579)
- Details
- Pros & Cons
- Benefits
Issuer name:
Applied Bank®
Details:
The Applied Bank® Secured Visa® features a fixed-rate 9.99% APR on purchases.
The Applied Bank® Gold Preferred® Secured Visa® Card charges several fees in addition to the $48 annual fee. Fees include an up to $38 late payment fee, an up to $38 returned payment fee, a $30 stop payment fee, a $12.95 fee for each optional payment, a $30 fee for additional or replacement cards a $50 reinstatement fee, and a 3% foreign transaction fee.
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Pros:
- Extremely low regular APR
- No penalty rate
- Guaranteed approval
- Increase your credit limit
Cons:
- No rewards system
- A lot of fees
- Can’t upgrade to an unsecured credit card
- No grace period
Benefits:
- Reports to All Three National Credit Bureaus;
- Zero Fraud Liability;
- Refundable Security Deposit;
- Global acceptance;
- Emergency card replacement and cash disbursement.
View all Secured Visa® Gold Preferred® Credit Card details
Apply now
On Applied Bank®‘s site
Card detail
Annual Fee:
$36 for first year. Billed $3 per month thereafter
Regular APR:
20.45% Variable
Сredit score
No Credit History to Poor (0-579)
- Details
- Pros & Cons
- Benefits
Issuer name:
Merrick Bank
Details:
The Merrick Bank Secured Mastercard® credit card is a card designed for building or rebuilding credit. The cardholder’s initial credit line will be equal to the amount of their security deposit, which can be between $200 and $3,000.
The Annual Fee is $36 the first year. Billed $3 dollars per month thereafter.
The Card's APR: 20.45% Variable for purchases.
The Secured Mastercard® credit card reports to all three major credit bureaus.
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Pros:
- Up to $3000 credit limit
- Reports to three major credit bureaus
- You don’t need a bank account to apply
- Access to FICO score
- Low APR
Cons:
- No rewards or intro offers
- $200 minimum deposit
- Extra fees
- $36 annual fee
Benefits:
- Monthly Reporting to the 3 Major Credit Bureaus;
- $0 Fraud Liability;
- Low interest;
- FICO® Score for Free Each Month.
View all Secured Mastercard® details
Apply now
On Merrick Bank‘s site
Card detail
Regular APR:
16.99% Variable
Сredit score
No Credit History to Fair (0-669)
- Details
- Pros & Cons
- Benefits
Issuer name:
Synovus Bank
Details:
The First Progress Platinum Select MasterCard® Secured is designed to help cardholders build credit with no credit check or minimum credit score required to apply.
The First Progress Platinum Select MasterCard® Secured doesn’t come with any welcome offers, sign-up bonuses or reward rates.
The card's APR: 16.99% (Variable for Purchases), 22.99% (Variable for Cash Advances).
The First Progress Platinum Select MasterCard® has an annual fee of $39. Plus, the card has a foreign transaction fee of 3%.
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Pros:
- No credit history required
- No Minimum Credit Score needed
- Low Annual Percentage Rates
Cons:
- Annual Fee
- Foreign Transaction Fee
Benefits:
- Accepted Nationwide;
- No Minimum Credit Score;
- No Credit History Required.
View all First Progress Platinum Select Mastercard® Secured details
Apply now
On First Progress’s site
Card detail
WebBank Petal® 1 "No Annual Fee" Visa® best for For bad credit
Regular APR:
22.99% - 32.49% Variable
Сredit score
No Credit History to Good (0-739)
Rewards Rate:
- 2% - 10%:
- Cash Back at select merchants.
- Details
- Pros & Cons
- Benefits
Issuer name:
WebBank
Details:
The Petal® 1 "No Annual Fee" Visa® Card earns 2% - 10% Cash Back from select merchants.
The Petal® 1 Card has no annual fee. The card's APR for purchases: 22.99% to 32.49% (Variable).
The Petal® 1 "No Annual Fee" Visa® Card does not charge an annual fee or fee for foreign transactions.
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Pros:
- No Annual Fee
- No Foreign Transaction Fee
Cons:
- No welcome bonus
- No intro APR period
Benefits:
- 2 - 10% Cash Back;
- Zero liability fraud protection;
- $300 - $5,000 credit limits.
View all Petal® 1 "No Annual Fee" Visa® details
Apply now
On WebBank‘s site
Card detail
Regular APR:
19.99% Variable
Сredit score
No Credit History to Poor (0-579)
Rewards Rate:
- 1% Cash Back rewards for each $1 spent using your Surge Mastercard.
- Details
- Pros & Cons
- Benefits
Issuer name:
Celtic Bank
Details:
The Surge Secured Mastercard® is a credit card designed for people with poor credit or none at all. The card earns 1% Cash Back rewards.
The card's APR: 19.99% (Variable).
The Surge Secured Mastercard® has an annual fee of $69. There’s also an additional one-time card fee of $30 (if applicable). Plus, the card has a foreign transaction fee of 3%.
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Pros:
- Cash Back rewards
- Free automatic account reviews for credit limit increases
Cons:
- Annual Fee
- Foreign Transaction Fee
- No welcome bonus
- No Intro APR offer
Benefits:
- 1% Cash Back Rewards;
- Potential Credit Limit Increase;
- Report to All 3 Major Credit Bureaus.
View all Surge Secured Mastercard® details
Apply now
On Celtic Bank‘s site
Card detail
Celtic Bank Deserve EDU best for Cash Back, Without SSN, Student
Regular APR:
22.49% Variable
Сredit score
No Credit History to Excellent (0-799)
Rewards Rate:
- 1% Cash Back on all purchases with your Deserve EDU Mastercard. Once approved, you'll automatically start earning Cash Back on all purchases.
- Details
- Pros & Cons
- Benefits
Issuer name:
Celtic Bank
Details:
The Deserve EDU Card makes it easy for students to start building credit.
The Card's APR is 22.49% (Variable APR). The late payment is up to $25, while the returned payment is up to $37. Balance transfers and cash advances are not available.
Students who make purchases totaling $500 within the first three statement cycles of card membership qualify to have their Amazon Prime Student subscription reimbursed (a $59 value).
Students spend a significant amount on school supplies, textbooks and gear each year, and the Deserve EDU Mastercard can earn Cash Back on all of these purchases.
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Pros:
- No prior credit history required
- No SSN Required
- No Annual Fee
- No
- Transactions Fees
- No Co-Signer/ Deposit Required
Cons:
- Relatively High APR
- Fairly Low Rewards
- Only for Students
Benefits:
- Cellphone Protection;
- Collision Damage Waiver;
- Concierge Service;
- No International Transaction Fees;
- Priority Pass™ Membership;
- Mastercard Benefits;
- No Social Security Number required for international students to apply.
View all Deserve EDU details
Apply now
On Celtic Bank‘s site
Card detail
Capital Bank OpenSky® Secured Visa® best for 18 year old
Regular APR:
17.39% Variable
Сredit score
No Credit History to Good (0-739)
- Details
- Pros & Cons
- Benefits
Issuer name:
Capital Bank
Details:
With Secured Visa® Credit Card your credit limit is defined by your refundable deposit, as low as $200 and up to $3000*. You’re the one who decides what’s best for you.
Use your card to make purchases like gas or groceries, or for recurring bills like your phone, without changing your total monthly budget. Equifax®, Experian® and TransUnion® get reports every month — that's important to help you quickly improve your credit score.
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Pros:
- No credit check required
- Does not require a bank account
- Reports to three major credit bureaus
- Low minimum cash deposit
Cons:
- High annual fee
- High Foreign Transaction Fee
- No Rewards
- No Signup Bonus
Benefits:
- No credit check necessary to apply;
- Reports to three major credit bureaus;
- Build credit quickly;
- Doesn't require a bank account.
View all OpenSky® Secured Visa® details
Apply now
On Capital Bank‘s site
Card detail
Journey Student Rewards from Capital One best for Without SSN
Regular APR:
28.49% Variable
Сredit score
Fair (580-669)
Rewards Rate:
- 1% Cash Back on all your purchases. Pay on time to boost your Cash Back to a total of 1.25% for that month.
Balance Transfer APR:
28.49% Variable
- Details
- Pros & Cons
- Benefits
Issuer name:
Capital One
Details:
Build credit history with Journey Student Credit Card. Earn 1% Cash Back on all your purchases. Pay on time to boost your Cash Back to a total of 1.25% for that month.
The Journey Student Card has no annual fee or foreign transaction fees. The Card's APR: 28.49% Variable.
Pros:
- Rewards program with bonus points
- No annual fee
- Automatic credit limit increase reviews
- No foreign transaction fees
- Reports to three major credit bureaus
Cons:
- High APR
- No bonus categories
Benefits:
- 1% Cash Back on every purchase;
- 1.25% extra Cash Back;
- No Foreign Transaction Fees;
- ATM Location Services;
- Emergency Card Replacement;
- Travel rewards cards;
- Fraud Coverage.
Card detail
Capital One Platinum Credit Card best for Without SSN
Regular APR:
28.49% Variable
Сredit score
Fair (580-669)
Balance Transfer APR:
28.49% Variable
- Details
- Pros & Cons
- Benefits
Issuer name:
Capital One
Details:
Get the credit you need with Platinum Mastercard® from Capital One.
Enjoy unlimited access to your credit score and tools to help you monitor your credit profile with CreditWise from Capital One.
You're also covered by $0 Fraud Liability if your card is ever lost or stolen.
Pros:
- Chance to get a higher credit limit
- No annual fee
- No foreign transaction fees
- Platinum Mastercard benefits
- No Penalty APR for late payments
- Get approval with a fair credit score
Cons:
- High Regular APR
- No rewards
- No sign-up bonus
- You don’t get to enjoy a reduced introductory rate
Benefits:
- No Foreign Transaction Fees;
- $0 Fraud Liability;
- ATM Location Services;
- Emergency Card Replacement;
- Autopay;
- 24/7 Customer Service.
Card detail
Capital One QuicksilverOne Cash Rewards Credit Card best for Fair credit
Regular APR:
28.49% Variable
Сredit score
Fair to Good (580-739)
Rewards Rate:
- 1.5% Cash Back on every purchase.
Balance Transfer APR:
28.49% Variable
- Details
- Pros & Cons
- Benefits
Issuer name:
Capital One
Details:
The QuicksilverOne Credit Card from Capital One gives you 1.5% Cash Back on every purchase. The Card has an annual fee of $39.
The QuicksilverOne Card has an APR of 28.49% Variable.
Pros:
- Unlimited high rewards rate
- Average credit score required
- Automatically considered for a higher credit line after 6 months
- No foreign transaction fees
Cons:
- Annual fee
- High APR
- No bonus rewards categories
Benefits:
- 1.5% Cash Back;
- No Foreign Transaction Fees;
- Autopay;
- $0 Fraud Liability;
- Card Lock;
- ATM Location Services.
Card detail
Capital One Platinum Secured Credit Card best for Single mom, Without SSN
Regular APR:
28.49% Variable
Сredit score
No Credit History to Poor (0-579)
Balance Transfer APR:
28.49% Variable
- Details
- Pros & Cons
- Benefits
Issuer name:
Capital One
Details:
The Secured Mastercard® from Capital One is for people who want to improve their credit scores. The Card has no annual fee. It requires a security deposit when you’re approved.
The card's APR is 28.49% (Variable).
You’ll get access to CreditWise® from Capital One, which will automatically alert you to changes on your TransUnion or Experian credit reports.
The Secured Mastercard from Capital One comes with a surprising number of travel perks, including no foreign transaction fees, travel accident insurance, 24-hour travel assistance services and secondary auto rental coverage.
Cardholders will also receive extended warranty coverage for items purchased that already come with a manufacturer’s warranty.
Pros:
- Low initial deposit amount of $49, $99, or $200
- You can increase the credit line up to $1000
- No annual fee
- Automatic credit line reviews
- Credit building
Cons:
- High APR
- Low credit limit
- No rewards program
Benefits:
- $0 Fraud Liability;
- Refundable Deposit;
- Capital One CreditWise;
- Eno®, your Capital One assistant;
- Virtual Card Numbers from Eno;
- Emergency Card Replacement;
- ATM Location Services;
- MasterRental Coverage;
- 24/7 Customer Service.
Card detail
Short Review of Best Credit Cards For 18 Year Old Applicants
Merrick Bank Double Your Line® Secured Credit Card 3.98 | 20.45% Variable | Apply now On Merrick Bank‘s site | ||
First Latitude Platinum Mastercard® Secured Credit Card 1.19 | 22.24% Variable | Apply now On Synovus Bank‘s site | ||
WebBank Petal® 2 “Cash Back, No Fees” Visa® 3.8 | Beginner, No history | 15.99% - 29.99% Variable | Apply now On WebBank‘s site | |
First Progress Platinum Prestige Mastercard® Secured Credit Card 3.8 | 12.99% Variable | Apply now On First Progress’s site | ||
Applied Bank® Secured Visa® Gold Preferred® Credit Card 4.23 | 18 year old | 9.99% Fixed | Apply now On Applied Bank®‘s site | |
Merrick Bank Secured Credit Card 3.2 | 20.45% Variable | Apply now On Merrick Bank‘s site | ||
First Progress Platinum Select Mastercard® Secured Credit Card 3.5 | 16.99% Variable | Apply now On First Progress’s site | ||
WebBank Petal® 1 "No Annual Fee" Visa® 4.34 | For bad credit | 22.99% - 32.49% Variable | Apply now On WebBank‘s site | |
Celtic Bank Surge Secured Mastercard® 3.3 | 19.99% Variable | Apply now On Celtic Bank‘s site | ||
Celtic Bank Deserve EDU 3.5 | Cash Back, Without SSN, Student | 22.49% Variable | Apply now On Celtic Bank‘s site | |
Capital Bank OpenSky® Secured Visa® 3.82 | 18 year old | 17.39% Variable | Apply now On Capital Bank‘s site | |
Journey Student Rewards from Capital One 3.79 | Without SSN | 28.49% Variable | Learn more | |
Capital One Platinum Credit Card 2.91 | Without SSN | 28.49% Variable | Learn more | |
Capital One QuicksilverOne Cash Rewards Credit Card 3.64 | Fair credit | 28.49% Variable | Learn more | |
Capital One Platinum Secured Credit Card 2.44 | Single mom, Without SSN | 28.49% Variable | Learn more |
Card's description:
WebBank Petal® 2 “Cash Back, No Fees” Visa®
Petal® 2 “Cash Back, No Fees” Visa® is an ideal option for all those who want to avoid fees as they build credit with responsible behavior. It charges no fees whatsoever — no annual fee, no foreign transaction fee, no late fee, and no fee of any other kind. You’ll earn 1% cash back on all purchases right off the bat — which will increase to a healthy 1.5% after 12 on-time monthly payments. Although it lacks some standard benefits like a sign-up bonus or a 0% intro APR offer, its no-fees-of-any-kind promise and 1 - 1.5% cash back on all purchases make up for it to a large extent.
Read more about WebBank Petal® 2 “Cash Back, No Fees” Visa®
Applied Bank® Secured Visa® Gold Preferred® Credit Card
The Applied Bank® Secured Visa® Gold Preferred® Credit Card credit card is designed for people with no credit history or bad credit. The bank doesn’t run a credit check, nor do they have any minimum credit score required for approval. Applied Bank won’t hike your APR if you miss a payment, though you’ll have to pay a late payment fee. You must also pay an annual fee of $48, which is rather steep compared to similar secured cards. Unlike most other credit cards, this one doesn’t offer a grace period, so you’ll be paying interest on your purchases from the day you make them.
Read more about Applied Bank® Secured Visa® Gold Preferred® Credit Card
Capital Bank OpenSky® Secured Visa®
The OpenSky® Secured Visa® credit card reports to all three credit bureaus, which is the key to improving your credit history, along with responsible credit behavior. The highlights of this secured card include no credit check requirement for approval and the maximum credit limit of $3,000. For these reasons, the card is worth it for those who don’t want a hard credit inquiry and would like to improve credit via an increased credit limit. On the downside, you’ll pay a $35 annual fee and a 3% foreign transaction fee.
Read more about Capital Bank OpenSky® Secured Visa®
Journey Student Rewards from Capital One
With no annual fee, a bonus for paying on time, and a chance to increase your credit limit in as little as six months, Journey Student Credit Card from Capital One is an attractive option for students. You earn 1% cash back on all purchases, plus another 0.25% for any month when you pay the credit card bill on time. New cardholders also get to earn $5 a month for a year on select steaming subscriptions every time they pay on time. Throw into the mix monthly credit-bureau reporting and unlimited access to your credit score, and you get all the ingredients needed to improve your credit score.
Read more about Journey Student Rewards from Capital One
Capital One Platinum Credit Card
The Capital One Platinum Mastercard has no annual fee, no foreign transaction fees, gives you an opportunity to increase your credit limit in as little as six months with responsible behavior, and reports account information to all three major credit bureaus each month. Although it lacks some standard benefits, like cash back and a sign-up bonus, it has everything you need to build credit inexpensively or raise your credit limit quickly.
Read more about Capital One Platinum Credit Card
Capital One QuicksilverOne Cash Rewards Credit Card
If you’re a young adult looking to build credit and earn cash back rewards in the process, it doesn’t get simpler than the Capital One QuicksilverOne credit card, despite its $39 annual fee. It offers an unlimited 1.5% cash back reward on all purchases all year long and a chance to qualify for a higher credit limit after six months of account opening. Your rewards do not expire for the life of the account. There’s no cap on the cash back amount you can earn and no minimum redemption amount. Plus, you get plenty of redemption options to pick from.
Read more about Capital One QuicksilverOne Cash Rewards Credit Card
Capital One Platinum Secured Credit Card
Thanks to its small security deposit amount, reasonable fees, and promise to automatically review your credit limit after six months, the Secured Mastercard® from Capital One is a good option for all those looking to build credit. Unlike with most other secured credit cards, you may qualify for a credit limit that’s more than your deposit. And unlike a prepaid card, this card reports to all three major credit bureaus, allowing you to build credit with responsible behavior.
Read more about Capital One Platinum Secured Credit Card
Should I Get a Credit Card at 18?
When you are 18, building your credit score may not seem a priority. Yet, it can have a significant impact on your financial life. Your credit score determines whether you get approved for loans and the interest rates you pay. But that’s not all. Employers often run a credit check to get insight into a potential hire, and landlords use this three-digit number to decide who to rent to.
In short, the better your credit score, the easier life becomes.
A credit score, however, can’t be built in a day; it requires patience and discipline. So there’s an advantage in starting as early as possible — that is, at 18, the minimum age to be a primary cardholder for nearly all card issuers.
How to choose the best cards for 18-year-olds?
The process of selecting the right card is highly individual. A good starting point, however, is to consider your spending habits and look for cards with features matching them. Here’s a set of guidelines on things to consider when shopping for a credit card.
Annual Fee
This is the cost you pay to keep your account open. The last thing you may want while working on your credit is to take on extra costs. Some credit cards for young adults have no annual fee, and you may be better off with such a card. But if you settle for a card with an annual fee, make sure it allows you to earn enough rewards to justify it.
Sign-up Bonus Offer
Many cards offer a welcome bonus. That means new cardholders earn extra rewards, like cash back or points when they use it.
For example, the Discover it® Student Cash Back credit card automatically matches the cash back you earn at the end of the first year, dollar-for-dollar. Since this card offers a 5% cash back on up to $1500 total purchases in rotating bonus categories every quarter, maxing out this purchase limit every quarter alone will bring you home $600 in the first membership year! And that’s without the standard 1% reward you earn on all other purchases.
Rewards
As a young adult with little or no credit history, you’re likely to be ineligible for cards with lucrative reward offers. But something is better than nothing, and you can maximize your savings by looking for a card that perfectly matches your spending habits.
For example, students who plan to study abroad and travel during breaks or summer holidays may want to take a closer look at the Bank of America Travel Rewards Credit Card for Students. This no-annual-fee and no-foreign-transaction-fee card lets you earn an unlimited 1.5 points for every dollar you spend.
0% Intro APR
Credit cards with 0% intro APR on purchases and balance transfers can prove useful for someone with a big purchase coming up or a high credit card balance. The 0% intro offer, however, doesn’t last forever. Once it ends, the regular APR will apply, so aim to pay off the balance in full by then.
If you’re wondering how to pick a credit with a 0% APR, consider the length of the intro APR period. With some cards, it lasts only six months; with some others, it can last for more than a year.
For example, BankAmericard for Students offers a 0% introductory offer on both balance transfers and new purchases for the first 18 billing cycles to help you pay off purchases without interest and save money on credit card debt.
Automatic credit line review
As an 18-year-old, you may not qualify for a high-limit credit card. However, with responsible credit behavior you can, slowly but surely, increase your credit limit. In fact, some student credit cards automatically review your credit line in as little as six months.
Paying your first five card payments on time may help you get a credit line increase. Doing so can help you improve your credit utilization ratio — the percentage of total available credit that you are utilizing.
The credit utilization ratio is a key credit scoring factor, and keeping it under 30% of the available credit limit can help boost your score.
Reports to all three major credit bureaus
When your aim is to build credit, one question you should be asking yourself before signing up is — will this credit card help me build my credit? Opt for a card that reports your credit usage to all three major credit bureaus — Equifax, Experian, and TransUnion. Not all secured credit cards do this.
How to Get a Credit Card for the First Time?
As an 18-year-old, you can get your first credit card in any of the following three ways:
1. Open a Credit Card in Your Name
If you earn enough to afford monthly bill payments or can get someone to co-sign your application, consider getting a credit card in your name. The best type of starter credit card for young adults is a student credit card, assuming you are studying in college. Student credit cards usually have lower fees and rates and better rewards than other starter credit cards for first-time applicants.
But if you don’t qualify for a student credit card, that’s okay. Any credit card will do, as long as its annual fee is low and you use it responsibly.
2. Become an Authorized User on someone else’s card
If you have a thin credit file, becoming an authorized user on a friend’s or parent’s credit card can help you build credit. This strategy works best when the primary user has a long record of paying credit card bills on time because then you can benefit from the age of their account.
Keep in mind that not all credit card issuers report authorized users to the credit bureau. Picking a card that doesn’t will defeat the whole purpose because your credit score gets generated from the information present in your credit reports. So ensure the issuer reports authorized users to all three major credit bureaus before becoming one.
3. Get a Secured Credit Card
If you neither qualify for an unsecured card — a card that doesn’t require a deposit for approval — nor have a co-signer, consider getting a secured credit card. As the name suggests, such cards require a deposit, which becomes your line of credit.
Generally, the minimum deposit for most secured cards is $200 and the maximum $3,000.
You may want to put as much money on a secured card as possible since the more you deposit, the higher your line of credit. A higher credit limit, in turn, makes it relatively easier to maintain a good credit utilization rate — 30% or lower. Before you apply, double-check that the credit card company reports to at least one credit bureau, if not all three.
How to build credit being 18 years old?
The secret to building credit at 18 is pretty simple. Get a credit card in your name and use it responsibly.
Here are some tips to help you use your credit card wisely:
- Payment history: When it comes to paying credit card bills, timing is everything. Payment history is the most important factor in your credit score, and even one missed payment can bring your score down.
- Credit Utilization Rate: Also known as credit utilization ratio, it is the percentage of total available credit that you are currently using. Aim for a credit utilization ratio of 30% or lower. If you’re just starting out and have a low credit limit, use your card for small purchases, like an Uber ride, to keep credit utilization in check and pay the full statement balance on the due date.
The credit age and history, credit mix and account types, and credit inquiries all impact your credit score, but not as much as maintaining a good credit card utilization ratio and paying your card balance in full every month.
FAQ
Can you get a credit card at 18 if unemployed?
You don’t need a job to get approval, but you do require an income. The list could include allowances, personal income, scholarships, and grants. If you don’t have a job but receive income from one or more of these sources, mention the same on your credit card application.
How old do you have to be to open a credit card?
You have to be at least 18 years old to get a credit card in your name, but you can get yourself added as an authorized user to another person’s account earlier. You will likely need proof of income or a co-signer to open an account in your name.
Does credit build before 18?
As a minor, you can be added as an authorized user to someone else’s credit card. There’s no legal minimum age for adding a minor as an authorized user as such, but each issuer may have different guidelines.