You have at least some handle on the basics of credit cards and personal finance. That’s an excellent step in the right direction.
Now it’s time to focus in on building your credit score so that you can qualify for better loan terms, insurance rates and credit card offers in the future. Incidentally, an excellent way to build that credit score is through responsibly using a credit card.
Assuming your finances and budget are firmly in order, it’s time to think about a credit card that fits well in your lifestyle. For instance, if you have at least fair credit and a steady income, you can likely qualify for a solid rewards card. Or, if you’re working to raise your credit out of the “poor” range, consider a secured card or credit builder product.
The suggestions below put a high value on simplicity. Credit cards take time to master and, in the beginning, learning how to responsibly use them is the primary goal. Any rewards are a nice bonus, but aren’t the highlight. Therefore, we’ve preferenced simple rewards structures over the highest possible earning.
The goals at this point in your journey is to put a credit card to work for you to build your credit and experience, keep a tight lock on your budget and pay your bills in time every cycle.
Top cash-back card
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Top travel rewards card
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Top for gas and groceries
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This card’s rewards system isn’t necessarily simple, but it is fairly passive. You’ll earn 5% cash back in your top spending category each billing cycle, up to $500 spent. You don’t have to decide ahead of time what that category will be. Citi will do that for you based on your purchases. That means that you can earn $25 cash back on just that top spending category each quarter. Plus, you earn 1% cash back in on those purchases after hitting the cap as well as on all your other purchases)
Top low interest card
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(*To qualify for the welcome bonus, you must open and fund a new Rewards Checking Plus account through Upgrade and make 3 qualifying debit card transactions from your Rewards Checking Plus account within 60 days of the date the Rewards Checking Plus account is opened. If you have previously opened a checking account through Upgrade or do not open a Rewards Checking Plus account as part of this application process, you are not eligible for this welcome bonus offer. Your Upgrade Card and Rewards Checking Plus account must be open and in good standing to receive a bonus. To qualify, debit card transactions must have settled and exclude ATM transactions. Please refer to the applicable Upgrade Visa(R) Debit Card Agreement and Disclosures for more information. Welcome bonus offers cannot be combined, substituted, or applied retroactively. The bonus will be applied to your Rewards Checking Plus account as a one-time payout credit within 60 days after meeting the conditions. This one-time bonus is available through this Upgrade Card offer and may not be available for other Upgrade Card offers.)
