Best Credit Cards for Building Credit in 2024

 # Best Credit Cards fo

r Building Credit in 2024

Building and maintaining good credit is

essential for financial stability, whether you're planning to buy a home, finance a car, or qualify for a loan with lower interest rates. One of the most effective ways to build credit is by using credit cards responsibly. In 2024, several credit cards are designed specifically to help people improve their credit scores. These cards typically come with lower credit limits and fewer perks, but they offer the opportunity to establish or rebuild your credit profile.

In this article, we'll explore the **best credit cards for building credit in 2024** and explain what makes each of them a valuable tool for those looking to strengthen their financial future.

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## 1. **Capital One Platinum Credit

Card**

The **Capital One Platinum Credit Card** is a top pick for individuals with **fair credit** or those just starting to build their credit history. It comes with **no annual fee**, which is a significant advantage for someone focused on improving their credit without incurring extra costs.

- **Annual Fee**: $0

- **APR**: 30.49% variable

- **Credit Limit**: Starts low but can increase after five months of responsible use

- **Key Benefits**: Automatic credit limit increases, free credit monitoring through CreditWise

The card doesn’t offer rewards, but its main selling point is the ability to build credit with responsible use. Capital One also provides **credit-building tools**, including free access to your credit score and helpful financial advice. After five on-time payments, Capital One may increase your credit limit, which can positively impact your credit score by improving your **credit utilization ratio**.

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## 2. **Discover it® Secured Credit Card**

For those with **poor credit** or no credit history, a secured credit card like the **Discover it® Secured Credit Card** is an excellent choice. Secured cards require a refundable security deposit, which serves as collateral and typically becomes your credit limit. The Discover it® Secured Card stands out for offering **cashback rewards**, a rarity in the secured card market.

- **Annual Fee**: $0

- **APR**: 27.74% variable

- **Credit Limit**: Based on the refundable deposit (starting at $200)

- **Key Benefits**: 2% cash back at gas stations and restaurants (on up to $1,000 in combined purchases per quarter) and 1% on all other purchases, free FICO score tracking

One u

nique feature of the Discover it® Secured Card is that they will review your account after **seven months** to determine if you're eligible to graduate to an **unsecured** card, which means your security deposit will be returned. This card is ideal for people who want to build credit while earning cash back on everyday purchases.

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## 3. **Petal® 1 “No Annual Fee” Visa® Credit Card**

The **Petal® 1 Visa® Credit Card** is designed for people with **little to no credit history** who want to avoid traditional credit-building cards that come with hidden fees. Unlike most credit cards, Petal doesn’t rely solely on your credit score to determine eligibility. Instead, they use a **cash flow-based underwriting model**, which can be a game-changer for those without established credit.

- **Annual Fee**: $0

- **APR**: 25.24% - 34.74% variable

- **Credit Limit**: $300 - $5,000

- **Key Benefits**: No fees (including late payment fees), cash back at select merchants, credit limit increases with responsible use

Petal® 1 also offers cash back at participating merchants, although it doesn’t have a set rewards program like traditional credit cards. What

sets Petal apart is its use of **alternative credit data**—if you don’t have a traditional credit history, Petal evaluates your income, savings, and spending habits to determine eligibility, making it a great option for newcomers to the credit world.

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## 4. **Chime Credit Builder Visa® Credit Card**

The **Chime Credit Builder Visa® Credit Card** is a no-fee, secured credit card that works a little differently than traditional secured cards. It’s a solid choice for individuals looking for **flexibility and control** over their credit-building process. To qualify for this card, you’ll need to open a **Chime Spending Account** and make a deposit into your Credit Builder account, which will be used to determine your spending limit.

- **Annual Fee**: $0

- **APR**: None (you won’t pay interest as you can only spend what you have in your account)

- **Credit Limit**: Based on the amount in your Chime Spending Account

- **Key Benefits**: No credit check required to apply, no interest charges, no late fees or annual fees, and reports to all three major credit bureaus

Chime’s unique approach makes it stand out—there’s no hard credit check when you apply, and you can only spend the amount you've already deposited. This prevents overspending and ensures you’re building credit without racking up debt. Chime also reports to all three major credit bureaus, making it an excellent tool for improving your credit score.

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## 5. **OpenSky® Secured Visa® Credit Card**

The **OpenSky® Secured Visa® Credit Card** is one of the few credit cards that does not require a **credit check** when applying, making it an ideal option for those with **bad credit** or no credit history. This secured card allows you to establish credit with a **low deposit** while avoiding credit inquiries that could negatively impact your score.

- **Annual Fee**: $35

- **APR**: 22.64% variable

- **Credit Limit**: Based on the refundable deposit (starting at $200)

- **Key Benefits**: No credit check, refundable security deposit, reports to all three

major credit bureaus

OpenSky®’s emphasis on accessibility makes it a top choice for individuals rebuilding their credit. The card requires a refundable security deposit, which becomes your credi

t limit, and reports to all three major credit bureaus, helping you build your credit over time. The card doesn’t offer rewards, but it serves its purpose as a **straightforward credit-building tool**.

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## 6. **Bank of America® Customized Cash Rewards Secured Credit Card**

The **Bank of America® Customized Cash Rewards Secured Credit Card** is a secured card that offers an impressive **cash back program**, allowing users to build credit while earning rewards on everyday purchases. This makes it an ideal option for those who want both credit-building features and the ability to accumulate cashback.

- **Annual Fee**: $0

- **APR**: 27.74% variable

- **Credit Limit**: $300 - $4,900 (based on your refundable deposit)

- **Key Benefits**: 3% cash back on a category of your choice (gas, online shopping, dining, travel, drugstores, or home improvement), 2% cash back at grocery stores and wholesale clubs (on up to $2,500 in combined choice and grocery/wholesale club purchases each quarter), 1% on all other purchases

This card stands out for its **customizable rewards structure**, allowing users to choose where they earn the most cash back. While it’s a secured card, it offers similar rewards to unsecured cards, making it a fantastic choice for those who want to earn while building credit.

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## 7. **Tommy Hilfiger Platinum Mastercard® Credit Card**

For consumers interested in brand-specific rewards, the **Tommy Hilfiger Platinum Mastercard®** is a great option for building credit while enjoying exclusive rewards for shopping with Tommy Hilfiger. It’s designed for frequent shoppers looking to establish a credit history and enjoy brand-related perks.

- **Annual Fee**: $0

- **APR**: Variable

- **Credit Limit**: Dependent on credit approval

- **Key Benefits**: Earn points on Tommy Hilfiger purchases, exclusive discounts and access to special events, credit-building features

While it’s a niche option, this card is ideal for fans of Tommy Hilfiger who are just starting to build credit and want to earn rewards from their spending. Plus, the card helps establish credit as it reports to all three credit bureaus.

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## 8. **Secured Sable ONE Credit Card**

The **Secured Sable ONE Credit Card** is a newcomer in the credit-building space that offers several features designed to make the process simple and rewarding. Like other secured cards, it requires a deposit, but Sable offers a **path to graduation** to an unsecured card in as little as four months with responsible use.

- **Annual Fee**: $0

- **APR**: 10.99% - 20.49% variable

- **Credit Limit**: Based on refundable deposit

- **Key Benefits**: 1% cash back on all purchases, path to unsecured status within four months, reports to all three major credit bureaus

The Sable ONE card is an excellent choice for those looking for an accelerated route to building credit and earning rewards at the same time. With no annual fee and a shorter timeline for unlocking

an unsecured card, this card is ideal for responsible users.

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## Conclusion

Building credit in 2024 is more accessible than ever, thanks to a variety of credit cards designed to help individuals establish or improve their credit profiles. Whether you prefer a **secured card** with a refundable deposit or an **unsecured card** that doesn’t require a credit check, there are options to suit every financial situation.

Each of the cards listed here offers unique features that can help you build credit responsibly while potentially earning rewards. As you consider the best card for you, be sure to review the terms, fees, and benefits to ensure