Best Starter Credit Cards for No Credit of February 2023

If you're under 21, credit card issuers must look at your own income or assets. Can’t meet these requirements? You can still build credit with no income by getting a co-signer or becoming an authorized user on someone else’s credit card.

One of the easiest ways to build credit with no credit history is with a credit card. You can get a credit card without credit, but your options are mostly limited to alternative credit cards and secured credit cards. Credit cards outside of these options typically require good credit (FICO scores of 690 or higher), and some will accept only excellent credit (720 or higher). Understand that “no credit” doesn’t mean that you have “good credit.” And “no credit” is not worse than “bad credit,” though, you may experience similar obstacles in getting a credit card application approved. No credit means that you don’t have a credit score at the moment. You’re “credit invisible” for the time being until a lender approves you for credit and gives you the chance to prove you can manage credit responsibly.

The best credit cards for new or limited credit histories include the Discover it® Secured Credit Card and the Capital One Platinum Secured Credit Card credit card. They have all of the ideal features you want in a starter credit card such as being light on certain fees and reporting to all three credit bureaus (TransUnion, Equifax and Experian). Be aware that both of these cards require a security deposit. If you want to avoid a security deposit, the $0*-annual-fee Jasper Mastercard® is a good alternative. Students can look to other credit card options that offer features better-suited for their lifestyle.

You cannot get a credit card without a credit limit. Federal law prohibits credit card issuers from offering credit cards without a credit limit. They have to evaluate your ability to pay and offer credit accordingly. Otherwise, it would be like someone writing you a blank check. Credit limits are speed bumps that force you to slow down when you might be spending more than you can afford. Credit limits are determined by your issuer, and they take into account factors like your credit scores, payment history, income, credit utilization and large expenses.

Newcomers to the U.S. may not qualify for a credit card through the traditional underwriting process. That’s because traditional credit cards tend to require a U.S. credit history and a U.S. Social Security number, neither of which is likely for new immigrants. But newcomers to the U.S. might be eligible for alternative credit cards that evaluate creditworthiness using nontraditional underwriting standard such as income, employment and/or bank account information. The best credit card for immigrants in the U.S. will have a low or no annual fee, no credit history requirement and a grace period for the Social Security number requirement.

No credit check credit cards are hard to come by, but there are some out there, like the OpenSky® Secured Visa® Credit Card. These cards are better suited for applicants with bad credit who don’t want to further ding their credit score with a “hard inquiry” on their credit report. The drawback to these credit cards is that they generally charge annual fees. There’s no point in paying an annual fee for a credit card if you have no credit because there are plenty of other starter cards for no credit that don’t charge it. (Many credit cards offer a preapproval process that doesn’t involve an hard pull, though once you officially apply, your credit report will be pulled.)

It’s not necessarily bad to get denied a credit card due to insufficient credit history. It just means you have some work to do to establish a credit history. One option that can help you: secured credit cards for no credit. These cards typically require that you put down a security deposit of several hundred dollars, though some options are cheaper or more flexible than others. If that’s not in your budget, you might consider becoming an authorized user on someone else’s credit card or getting a co-signer. When those options aren’t available, you can still build credit if you can’t get a credit card by having your rent payments or other bills reported to credit bureaus. If you’ve been denied a credit card, you’ll want to wait about six months until your next application.

You can open a credit card online, or in person at a bank branch. Even if it’s your first time submitting a credit card application, the requirements are the same for everyone. When you apply for a credit card, you have to list your income, Social Security number, housing expenses, occupation, phone number, address and other details. When you apply online, the decision process typically takes a few seconds, unless the issuer requires further review.

The fastest and easiest way to build credit when you have none is with a credit card. A credit card issuer reports your payments to the credit bureaus about once in the ballpark of a month or longer, depending on the issuer. Once you activate your card and start using it, you’ll be on the path to building credit. By practicing healthy habits, you can have a positive impact on your credit score over time.

The ideal starter card has no annual fee, a path to a better credit card with the same issuer and a report to all three credit bureaus (TransUnion, Equifax and Experian). The best credit cards for establishing credit vary depending on the applicant. Generally, the Discover it® Secured Credit Card and the Capital One Platinum Secured Credit Card are among the best starter cards for most because they meet most of these requirements. For domestic students, the Discover it® Student chrome is a low-maintenance credit card that’s easy to manage for beginners. Some international students will fare better with the Deserve® EDU Mastercard for Students, which skips the Social Security number requirement for some applicants. Other U.S. newcomers will need a different credit card depending on whether they have a credit history and a Social Security number. The best alternative options for new immigrants may include the Jasper Mastercard® or American Express credit cards that allow applicants to transfer their credit histories over from qualifying countries.

Some store credit cards can help you build credit, but it’s not always clear which ones accept no credit or limited credit. Retail credit cards typically offer lower credit limits, and many are "closed-loop" products, meaning you can use them only at one specific store or chain, or within only that retailer's brand. But still, even if you use such a card sparingly, it can help you build credit until you can qualify for better options. The best store credit cards also offer discounts and rewards you can use within the brand, and if your card is “open-loop," it can be used outside of that specific retailer, too.

The best Discover credit card for those without a credit history is the Discover it® Secured Credit Card. It has a $0 annual fee and reports payments to all three credit bureaus: TransUnion, Equifax and Experian. It also offers a path to upgrade to an unsecured credit card, which is optimal for maintaining the length of your credit history, a factor in your credit scores. As a plus, the card also earns rewards — a rare find among secured credit cards. Cardholders get 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases each quarter and 1% on everything else.

American Express doesn’t offer many credit card options for those without a credit history. The exception is for newcomers to the U.S. from Australia, Canada, India, Mexico and the United Kingdom. Through a partnership with Nova Credit, an international credit-reporting startup, immigrants and expats in the U.S. may be able translate credit reports from these countries when applying for American Express consumer credit cards. For beginners, the best AmEx card would be the $0-annual-fee American Express Cash Magnet® Card because it pays a straightforward 1.5% cash-back rate on all purchases, making it easy to manage when you’re just getting started.

The best Capital One credit card for those with no credit is the Capital One Platinum Secured Credit Card. It has a $0 annual fee and reports payments to all three credit bureaus: TransUnion, Equifax and Experian. It may also offer more flexibility on the security deposit. Qualifying applicants can get a $200 credit line with a deposit of $49, $99 or $200, depending on creditworthiness. And if you can’t pay the full deposit upfront, the issuer allows installments of at least $20 as long as you finish paying it off within 35 days of approval. Cardholders who make their first five payments on time may also qualify for access to a higher credit limit with no additional deposit required.

The credit history requirement is a key obstacle students may encounter when applying for a credit card. It’s not usually possible to apply for a student credit card with no credit check, but these cards may not require you to have credit to qualify.

There isn’t a Chase credit card for those with no credit history. Chase doesn’t offer any secured credit cards, and its other cards require you to have some established credit.

The best secured credit cards for those with no credit are the $0-annual-fee Discover it® Secured Credit Card and the $0-annual-fee Capital One Platinum Secured Credit Card. The Discover it® Secured Credit Card offers a path to upgrade to an unsecured credit card with Discover. It also offers 2% cash back on up to $1,000 in combined spending per quarter at restaurants and gas stations, and 1% on all other purchases. It has a $200 minimum deposit. The Capital One Platinum Secured Credit Card may have a more flexible deposit. Some qualifying applicants can get a $200 credit line with a deposit of $49 or $99. And if you make your first five payments on time, you can potentially get access to a higher credit limit without having to put extra money down for a deposit.