Are you on the hunt for a credit card but have a 639 credit score? Fear not, because we're here to provide you with the best options and tips for making the most out of your credit situation. In this article, we'll walk you through the available credit cards for a 639 credit score, their features, fees, and how to maximize your benefits. So, buckle up and let's dive into the world of credit cards!
Credit Cards For 639 Credit Score Table of Contents
Understanding Your 639 Credit Score
Having a 639 credit score puts you in the "fair credit" category. Lenders typically consider scores between 580 and 669 as fair, so you're on the higher end of this range. Although you might not qualify for the best rewards credit cards, you still have options for building and improving your credit profile.
Types of Credit Cards for a 639 Credit Score
When you have a 639 credit score, your focus should be on cards that help you build credit and offer fair terms. Here are three options to consider:
- Secured Credit Cards: These cards require a security deposit, which is usually equal to your credit limit. They're designed to help build credit by reporting your on-time payments to the credit bureaus. Generally, these cards have lower fees and offer a higher approval rate.
- Store Cards: Many retailers offer store credit cards with easier approval than traditional credit cards. These cards can only be used at specific stores but can help you establish a credit history. Keep in mind that interest rates are often higher on store cards.
- Subprime Credit Cards: These cards are specifically designed for people with lower credit scores. They often have higher fees and interest rates, but they can help you rebuild your credit when used responsibly.
Best Credit Cards for a 639 Credit Score
Several cards stand out as good fits for those with a 639 credit score. Here's an overview of each one, including benefits and drawbacks:
- Capital One Platinum Secured: This secured card offers a refundable security deposit of $49, $99, or $200, depending on your creditworthiness. You'll receive an initial credit limit of $200, which can increase after making consistent on-time payments. There's no annual fee.
- Discover it Secured: With no annual fee and the potential to earn 2% cashback on up to $1,000 each quarter in gas stations and restaurants, this secured card packs solid value. Discover also offers a matching cashback bonus at the end of your first year.
- Fingerhut Credit Account: This store card caters to those with less-than-stellar credit. It has no annual fee, flexible payment options, and gives you the ability to build your credit while shopping at Fingerhut.com or their catalog.
What to Watch Out for with Credit Cards in This Credit Range
While there are options available for people with a 639 credit score, it's important to watch out for potential pitfalls:
- High interest rates: Some of these cards may have interest rates over 20%, making it crucial to pay off your balance in full each month to avoid hefty interest charges.
- Annual fees: Some cards may charge annual fees, so be sure to consider if the benefits outweigh the costs.
- Other fees: Keep an eye out for application, maintenance, or other hidden fees.
Credit Cards For 639 Credit Score Example:
Let's say you've applied and been approved for a Capital One Platinum Secured credit card. You put down a $99 deposit and receive a $200 credit limit. You make purchases totaling $150 and pay off the balance in full each month. In six months, Capital One reviews your account and decides to increase your credit limit to $500. As long as you continue to use the card responsibly, your credit score will likely improve, opening the door to more attractive credit card offers.
Armed with this knowledge, you're now ready to take on the world of credit cards for a 639 credit score. Remember, it's crucial to use your new card wisely by making on-time payments and not carrying a balance. With patience and persistence, you'll be on your way to improving your credit score and unlocking more financial opportunities. Don't forget to share this helpful guide with friends and family, and explore more guides on Flik Eco to empower your financial journey!