Forbes compared more than 100 of the top offers on the market to come up with this ranking of the best credit cards for college graduates. Factors considered include rewards rates, welcome bonuses, annual fees and cardholder perks. Considering college graduates are more likely to have a limited credit history, we gave preference to cards that are geared to consumers with limited credit histories as well as those with credit building tools.
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Best Credit Cards For Recent College Graduates In 2020 (Review)
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College graduates are often stuck between a rock and a hard place when it comes to building credit. Outside of student loans, they may not have any lines of credit entirely in their name. As a result, getting approved for credit cards and loans can be difficult at first, which makes it even harder for them to build their credit so they can reach milestones such as buying a first home.
Applying for a credit card is an excellent step in the credit-building process, partly because some credit cards are geared to college graduates who are starting to build credit for the first time. Some credit cards for college graduates even offer credit-building and monitoring tools or let cardholders earn rewards that can be redeemed for cash back, gift cards, travel and more.
If you’re a recent college graduate who is thinking of signing up for a credit card, you should take the time to learn more about the top offers and how to use them to your advantage. Forbes Advisor compared dozens of top credit cards to come up with the absolute best offers for college graduates, which you can browse through below.
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- Citi Rewards+℠ Card: Best Overall For Recent College Graduates
- CitiBusiness® / AAdvantage® Platinum Select® World Mastercard®: Best Secured Credit Card Option
- Wells Fargo Platinum card: Best for College Students
- Official NASCAR® Credit Card from Credit One Bank®: Best for Rewards and 0% APR
Featured Card
Best Secured Credit Card Option
CitiBusiness® / AAdvantage® Platinum Select® World Mastercard®
Welcome Bonus
Earn 70,000 American Airlines AAdvantage® bonus miles
Annual Fee
$99, waived for first 12 months
Regular APR
15.99% - 24.99% (Variable) APR on purchases
Credit Score
Good/Excellent (No Credit History)
Best Secured Credit Card Option
CitiBusiness® / AAdvantage® Platinum Select® World Mastercard®
On Citibank's Secure
Website
- Designed for businesses
- Limited Time Offer: Earn 70,000 American Airlines AAdvantage® bonus miles after spending $4,000 in purchases within the first 4 months of account opening.
- First checked bag is free on domestic American Airlines itineraries to reduce travel costs and boost your bottom line.
- 25% savings on American Airlines inflight Wi-Fi when you use your card
- Enjoy preferred boarding on American Airlines flights
- Earn 2 AAdvantage® miles per $1 spent on eligible American Airlines purchases
- Earn 2 AAdvantage® miles per $1 spent on purchases at telecommunications merchants, cable and satellite providers, car rental merchants and at gas stations.
- Earn 1 AAdvantage® mile per $1 spent on other purchases
- No Foreign Transaction Fees
Earn 70,000 American Airlines AAdvantage® bonus miles after spending $4,000 in purchases within the first 4 months of account opening
Credit Score ranges are based on FICO® credit scoring. This is just one scoring method and a credit card issuer may use another method when considering your application. These are provided as guidelines only and approval is not guaranteed.
Featured Card
Best for College Students
Wells Fargo Platinum card
Welcome Bonus
$10.5
Annual Fee
$200
Regular APR
16.99%-26.49% (Variable)
Credit Score
Excellent/Good (750 - 850)
Best for College Students
Wells Fargo Platinum card
On Wells Fargo's
Secure Website
On Wells Fargo's Secure
Website
Frequent business travelers who are loyal to Marriott Bonvoy hotel brands will love this card's generous perks and rewards.
Pros
- Earn a $150 statement credit after you spend $1,000 or more in purchases with your new Card within the first 3 months of Card Membership.
- Unlimited 1.5% Cash Back on your purchases.
Cons
- Earn a $150 statement credit after you spend $1,000 or more in purchases with your new Card within the first 3 months of Card Membership.
- Unlimited 1.5% Cash Back on your purchases.
- Pay down balances instead of interest with Wells Fargo’s longest intro APR
- $0 Annual Fee
- Get up to $600 protection on your cell phone (subject to $25 deductible) against covered damage or theft when you pay your monthly cellular telephone bill with your Wells Fargo Platinum card
- Easy access to your FICO® Credit Score with Wells Fargo Online®
- Zero Liability protection for promptly reported unauthorized transactions
- Convenient tools to help create a budget and manage your spending with My Money Map
- Select “Apply Now” to learn more about the product features, terms and conditions
$10.5
Credit Score ranges are based on FICO® credit scoring. This is just one scoring method and a credit card issuer may use another method when considering your application. These are provided as guidelines only and approval is not guaranteed.
Featured Card
Best for Rewards and 0% APR
Official NASCAR® Credit Card from Credit One Bank®
Welcome Bonus
60,000 Bonus points
Annual Fee
$0 - $99
Regular APR
17.99% to 23.99% Variable
Credit Score
Bad Credit (0 - 649)
Best for Rewards and 0% APR
Official NASCAR® Credit Card from Credit One Bank®
On Credit One Bank's
Secure Website
On Credit One Bank's Secure
Website
Offering a rare mix of high rewards rates and redemption flexibility this card is dream for frequent spenders on travel and dining .Test is it visible on CC widget
Pros
- Earn 2X Points on travel and dining
- Transfer points to travel partners at 1:1 rate
- Lots of travel and shopping protections
Cons
- $95 annual fee, not waived in first year
- No intro APR offer
- Must redeem for travel expenses or point transfers to get the best value.
- Qualified applicants will receive exclusive benefits such as 1% cash back rewards on all purchases, no annual fee, and a competitive APR. Terms apply.
- Get double cash back rewards at the NASCAR Shop. Terms Apply.
- Find out if you Pre-Qualify without harming your credit score. It’s fast, easy, and secure.
- Zero Fraud Liability ensures that your account is protected against unauthorized charges.
- Accounts are automatically reviewed for credit line increase opportunities.
- Take advantage of free online access to your Experian credit score and credit report summary. Terms apply.
- CreditOneBank.com and the Credit One Bank mobile app makes it easy to access and manage all your account information and make payments whether you’re at home or on-the-go.
- Always know what’s happening with your account with custom email and text alerts to remind you about your payment due date, notify you when a payment posts, or warn you if your available credit runs low.
- If you are a Covered Borrower under the Military Lending Act, you may get a different offer
- See Rates & Fees
Earn 600000 bonus post after you spend $4000 on purchase in first 3 months on account opening
Credit Score ranges are based on FICO® credit scoring. This is just one scoring method and a credit card issuer may use another method when considering your application. These are provided as guidelines only and approval is not guaranteed.
Credit Card
Credit Card
Best For
Credit Score
Annual Fee
Welcome Bonus
Best Secured Credit Card Option
Good/Excellent
$99, waived for first 12 months
Earn 70,000 American Airlines AAdvantage® bonus miles
Best for Rewards and 0% APR
Bad Credit
$0 - $99
60,000 Bonus points
Methodology
How to Pick a Credit Card As a Recent College Graduate
It can be hard to know which credit card is best when you just earned your degree, but you should be able to figure out a solid plan if you think about your own unique situation and your goals. These tips can help you wind up with the ideal credit card for your needs.
- Check your credit score before you apply. You’ll want to know how your credit score looks before you apply for a rewards credit card. You may find that your credit is better than you think, which could help you qualify for the top rewards and travel credit cards. Likewise, you may find your score is low or average, which limits the number of cards you can qualify for. Either way, there’s only one way to find out where you stand, and that’s by checking. Fortunately, you can take a peek at your credit score for free.
- Decide if you want to earn rewards, and if so, which kind. Different cards offer different types of rewards ranging from airline miles to hotel points, cash back and flexible rewards points. Figure out the type of rewards you want to earn and redeem, and this can narrow your card options tremendously.
- Compare cards in terms of annual fees. Plenty of credit cards for college graduates don’t charge an annual fee, so you shouldn’t feel like you have to pay one. If you decide on a card that charges an annual fee, make sure the perks and rewards are well worth it to you.
- Ask yourself which perks you want the most. Also check for cards that have the benefits you care about, whether that means no foreign transaction fee, travel protections, extended warranties or some other benefit.
How to Pick a Credit Card to Use on Amazon Purchases
It’s easy to become overwhelmed by all the credit cards that let you earn rewards on Amazon. After all, there are so many rewards credit cards on the market today, and practically any cash back credit card can work for Amazon and all your other online shopping, but some cards are much better than others.
Regardless, these tips can help you pick the right card for your needs and goals.
- Decide on the type of rewards you want in the end. While some credit cards let you earn more rewards for Amazon purchases, they don’t necessarily let you cash in points for Amazon shopping directly. Make sure you understand which cards offer statement credits only, and which ones let you cash in rewards for travel, gift cards or purchases made directly on Amazon and other online stores. Also keep in mind that while some cards will allow you to redeem for gift cards, it’s not always the best redemption option. Keep in mind the value you can get for your points using different redemption methods.
- Compare Amazon earning rates and membership requirements. If you spend a ton of money on Amazon purchases each year, then picking the card with the highest Amazon earning rate can make a lot of sense. However, most require an Amazon.com membership, which starts at $119 per year. Make sure you’ll use Amazon Prime benefits like free shipping and movies before you pay for this membership.
- Look at other credit card bonus categories. Do you plan to make other purchases with your credit card? If so, you’ll want to make sure you can maximize any other bonus categories your new credit card offers, such as dining or travel.
- Compare fees, including annual fees. In addition to checking whether you need to pay for an Amazon Prime membership, you should also check for additional fees credit cards charge. These can include annual fees, late fees, over-the-limit fees and more.
- Take a close look at other cardholder perks you might benefit from. Also check whether any cards you’re considering come with additional perks you can benefit from. Examples include free employee cards for your business account, purchase protection against damage or theft, extended warranties and travel insurance protections like travel accident insurance and baggage delay coverage.
To view rates and fees of the Blue Cash Preferred® Card from American Express, please visit this page.
Other Credit Cards to be Considered
Forbes adheres to strict editorial integrity standards. To the best of our knowledge, all content is accurate as of the date posted, though offers contained herein may no longer be available. The opinions expressed are the author’s alone and have not been provided, approved, or otherwise endorsed by our partners.
First Published: Aug 13, 2020, 6:10am
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Credit Score ranges are based on FICO® credit scoring. This is just one scoring method and a credit card issuer may use another method when considering your application. These are provided as guidelines only and approval is not guaranteed.
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Earn 70,000 American Airlines AAdvantage® bonus miles after spending $4,000 in purchases within the first 4 months of account opening
$10.5
Earn 600000 bonus post after you spend $4000 on purchase in first 3 months on account opening