Best first credit card for beginners

  • Meghan Hunter

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    Starting out with credit can be tricky because some of the best miles and points credit cards are reserved for those with an excellent credit score. But it is possible to get a great rewards card even if you are at the beginning of this journey. 

    We’ve compiled a list of the best first credit cards for a variety of situations. Whether you have a good credit score but are new to cards, have no credit history or have a limited credit history, there will be a card for you.

    In fact, one of my first credit cards was the Chase Freedom, which I got with only one year of credit history. To this day it is still one of the top rewards cards in my wallet.

    Best credit cards for beginners

    The information for the Chase Freedom and the Citi Double Cash Card has been collected independently by Million Mile Secrets. The card details on this page have not been reviewed or provided by the card issuer.

    Ready to apply for your first credit card? You’ve got options — even with a limited credit history. (Photo by snejana moos/Shutterstock)

    Citi® Double Cash Card

    Simplest cash-back earning structure

    Currently, the Citi Double Cash comes with no bonus, but the card has offered one in the past. This is still one of the best cash-back cards on the market.

    The Citi Double Cash earns the easiest reward to use — cash. You won’t have to worry about award seats or blackout dates, and you don’t need to pay attention to complicated rotating bonus categories, either.

    The card offers a total of up to 2% cash back. You’ll receive 1% when you make a purchase, and 1% when you pay your bill. For example, if you use your card to buy a $500 couch, you would earn $5 cash back for swiping your card at the store. When you pay off your $500 balance, you’d earn another $5 cash back.

    Chase Freedom

    Best for rotating bonus categories

    A good option for folks with a limited credit history is the Chase Freedom.

    The Chase Freedom has no annual fee and a welcome bonus of $200 (20,000 Chase Ultimate Rewards points) after you spend $500 on purchases in the first three months of account opening.

    Keep in mind, the Chase Freedom charges foreign transaction fees, so it’s not a good card to use overseas.

    One of my favorite things about this card is that it earns Chase Ultimate Rewards points. Because of the flexibility of these points, as your credit card portfolio grows, you can pool these points with another eligible Chase card, like the Chase Sapphire Preferred, Chase Sapphire Reserve or Chase Ink Business Preferred Credit Card. Doing so will further increase the value of your points because you could then either transfer points directly to Chase travel partners or redeem them at a higher value through the Chase travel portal for airfare, hotels, car rentals and more. 

    Just note that, as with most Chase cards, if you’ve opened five or more credit cards from any bank in the past 24 months (excluding certain small business cards and Chase business cards), it’s unlikely you’ll be approved for the Chase Freedom.

    Here’s our review of the Chase Freedom.

    Chase Freedom Unlimited

    Best for everyday purchases

    Folks looking for a simpler cash-back card without having to keep track of rotating bonus categories should consider the Chase Freedom Unlimited.

    The card also has no annual fee, and a $200 bonus after you spend $500 on purchases in your first three months from account opening. Additionally, you’ll get 1.5% cash back (1.5X Chase Ultimate Rewards points per $1) on purchases with no limit.

    Because the Chase Freedom Unlimited adds foreign transaction fees, it’s not a good choice for international travel.

    According to reports online, this card has roughly the same approval criteria as the Chase Freedom. Readers suggest you have a good chance of being approved with a credit score of at least ~680.

    Keep in mind, this card is also subject to the Chase 5/24 rule. You’ll find our review of the Chase Freedom Unlimited here.

    Capital One Quicksilver Card 

    Best for no foreign transaction fees

    For those who meet Capital One’s definition of excellent credit, the Capital One Quicksilver card is another good cash-back credit card to consider, with a very straightforward earning rate. You’ll have a decent chance of approval if you have more than three years of credit history, no bankruptcies and haven’t been late more than 60 days on any loan in the past year.

    This is another card with no annual fee. It has a welcome bonus of a one-time $200 cash bonus after you spend $500 on purchases in the first three months of opening your account.

    The card also offers the following benefits:

    It’s very easy and convenient to redeem cash back with the Capital One Quicksilver. You can request it in the form of a check or statement credit at any time, with no minimums. Here’s our review of the Capital One Quicksilver.

    Taking your credit card strategy to the next level

    If you’re willing to dive headfirst into earning and redeeming credit card rewards, we’d be remiss if we didn’t include both the Chase Sapphire Preferred and Capital One Venture cards.

    Capital One Venture Rewards Credit Card

    Best for simple travel rewards

    With the Capital One Venture card, you can earn 75,000 miles when you spend $4,000 on purchases within three months from account opening.

    This is a great travel credit card. The miles are easy to use and I love that it reimburses you with a statement credit for Global Entry or TSA PreCheck. I’ve saved so much time at airports with this perk.

    • 2 Venture miles per $1 you spend on all purchases
    • Statement credit for Global Entry or TSA PreCheck (up to $100)
    • No foreign transaction fees

    This card has a $95 annual fee.

    Here’s our Capital One Venture Rewards credit card review.

    Chase Sapphire Preferred

    Best for excellent credit

    The Chase Sapphire Preferred is the #1 card we recommend for anyone starting out the miles and points hobby. According to reports online and from readers, you’ll have the best chance of approval if your credit score is ~720 or more. If you already have a good credit score (perhaps because you’ve had student loans, car loans, or a mortgage) but are new to credit cards, this is an excellent pick.

    The card also comes with a sign-up bonus of 100,000 bonus points after you spend $4,000 in the first three months from account opening. That’s worth $1,410 and potentially much more when you transfer your points to airline and hotel partners like Southwest, United Airlines and Hyatt.

    The card has a $95 annual fee. You’ll find our full review of the Chase Sapphire Preferred here.

    You can redeem the points you earn from the Chase Sapphire Preferred card for stays at terrific hotels like the Park Hyatt Sanya Sunny Bay Resort in China. (Photo by Tatiana Dyuvbanova/Shutterstock)

    Tips for those new to credit cards

    It’s important to remember to always pay your credit cards in full and on time. This will help build a good credit score and make it easier for you to get approved for other types of credit, such as a mortgage or car loan. Having a good credit score can also get you a lower interest rate when you do borrow money, saving you thousands of dollars over the life of that loan.

    You can use sites like MyBankrate to check your credit.  Just remember each bank has different approval criteria. While a bank does look at more than just your credit score, that score is generally a good indicator of your chances of approval.

    For folks who are just getting started, we recommend getting one or two cards and taking it slow until you feel comfortable. Make sure you can meet the minimum spending requirements so you don’t miss out on the bonus. We have some tricks that will make it easy.

    Bottom line

    If you’re just starting out with credit, have a limited credit history or already have good credit but are new to credit cards, there’s a rewards card that’ll fit your spending habits and travel or savings goals.

    Do you have a favorite card that’s not on this list? Let us know in the comments below!

    Editorial Note: We're the Million Mile Secrets team. And we're proud of our content, opinions and analysis, and of our reader's comments. These haven’t been reviewed, approved or endorsed by any of the airlines, hotels, or credit card issuers which we often write about. And that’s just how we like it! :)
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