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For example, one of Select's best credit cards for bad credit, the OpenSky® Secured Visa® Credit Card, has a $35 annual fee though there are no annual fee options.Ĭredit scores are calculated differently depending on the credit scoring model used. If you're approved for credit, odds are you'll receive less favorable terms, such as high interest rates or annual fees, compared to applicants with good credit. If you are approved, you'll get less favorable loan terms And if you want to earn rewards or receive luxury travel perks, it'll be near impossible to find a card that accepts bad credit. If you want to get out of debt with a balance transfer card, you'll need good or excellent credit. It's less likely you'll be approved for credit cards or loansĪ bad credit score can reduce your approval chances for credit cards and loans, making it difficult to accomplish many goals. You'll have limited credit card choices.If you are approved, you'll get less favorable loan terms.It's less likely you'll be approved for credit cards or loans.Here are three disadvantages to having a bad or fair credit score: If you're looking at a VantageScore credit score, a very poor score is between 300 to 499 poor falls between 500 to 600 and a fair score is between 601 to 660. On the FICO scoring model, a bad score is in the range of 300 to 579, and fair is in the range of 580 to 669. Card issuers look at more factors than just your credit score, including income and monthly housing payments.Ī bad or fair credit score can have a big impact on your overall financial life, influencing the type of loans and products you'll be approved for. Terms apply.Īnd if you want to finance new purchases or get out of debt with a balance transfer card, such as the Chase Freedom Unlimited®, you'll also need good or excellent credit.Įven if your credit score falls within the excellent range, that is not a guarantee you'll be approved for a credit card requiring excellent credit. But you'll need good or excellent credit to be approved for the Amex Gold, which Select named the best rewards card of 2020. supermarkets (on up to $25,000 per year in purchases, then 1X). And if you have an excellent credit score, you can maximize approval odds.įor instance, if you're looking to earn generous rewards on groceries and dining out, the American Express® Gold Card offers 4X Membership Rewards® points when you dine at restaurants and shop at U.S. If you want to benefit from competitive rewards, annual statement credits, luxury travel perks, 0% APR periods and more, you'll need at least a good credit score. Many of the best credit cards require good or excellent credit. A perfect credit score of 850 is hard to get, but an excellent credit score is more achievable.

For FICO, it falls between the range of 800 to 850, and for VantageScore, it's between 781 to 850. "Excellent" is the highest tier of credit scores you can have.

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