Fair Credit

Capital One keeps disrupting the banking industry's status quo. They absorbed the American assets of online savings bank ING Direct, then leveraged that portfolio to acquire a selection of credit cards for fair credit from HSBC. Instead of putting the squeeze on Americans with average credit, Capita... >> Read More

Capital One keeps disrupting the banking industry's status quo. They absorbed the American assets of online savings bank ING Direct, then leveraged that portfolio to acquire a selection of credit cards for fair credit from HSBC. Instead of putting the squeeze on Americans with average credit, Capital One offers the same cash rewards it reserves for its best customers. You'll just have to pay a small fee to get this cash back card into your wallet.

Earning cash back with no restrictions or surprises

Capital One Cash offers one of the simplest rebate programs among all credit card issuers. All purchases on the card earns a 1 percent cash rebate. With no earnings caps, you can push as many purchases as possible through this card to maximize your rebate. Keep your account in good standing, and Capital One will top up your annual rebate amount to 1.5 percent with a 50 percent bonus award on the cash back you earn every year after 12 billing cycles.


Track rebates online, request automatic statement credits
Capital One Cash builds on the bank's successful "No Hassles" reward engine, letting you track and redeem your earnings online. You can exchange your reward cash for a statement credit with no minimum and no redemption fee. That's a big deal when a few extra dollars will make a difference in your monthly budget. If you're likely to forget about your rebate, you can put your rewards on auto-pilot. Just request automatic statement credits whenever your rebate balance hits $25.

Extra cash back for building strong credit habits

In most of Capital One's ads, Jimmy Fallon explains the Cash card's 50 percent annual bonus as a loyalty reward. For consumers with average credit, a whole year of on-time payments becomes a cause for celebration. Most cash back credit cards void your outstanding rebate if you miss a monthly minimum payment. Capital One's no different. However, the lump sum bonus you earn on your account's anniversary can motivate you to stay current with your bills throughout the year.


How Capital One Cash Rewards compares to other cash back cards
Most cash back credit cards carry annual fees and interest rates much higher than their no-frills cousins. Capital One's fees and finance charges fall to the higher end of the spectrum, but still cost less than many "plain vanilla" credit cards for average credit. In fact, with no foreign transaction fee, this card makes a great travel companion for Americans who occasionally visit overseas destinations.

Although American Express and Chase both offer cash back cards that offer slightly larger rebates, only applicants with excellent credit can qualify for those accounts. Capital One uses its own consumer credit database and risk assessment systems to complement the information it gleans from your credit report. Your credit limit might not be as large as you may expect, but Capital One's convenient online payment system lets you clear your balance quickly. >> Hide

Who uses this card?

The best cash back card for consumers rebuilding credit. With a reasonable annual fee, Capital One Cash Rewards Credit Card for Average Credit makes cash back rebates accessible for many consumers who might get rejected by the bank's competitors. Spend more than $4,000 on the card per year, and the ... >> Read More

The best cash back card for consumers rebuilding credit. With a reasonable annual fee, Capital One Cash Rewards Credit Card for Average Credit makes cash back rebates accessible for many consumers who might get rejected by the bank's competitors. Spend more than $4,000 on the card per year, and the account essentially pays for itself. It almost never makes sense to carry a balance on any cash back credit card, since a single month's finance charge can wipe out an entire year's rebate. However, if you treat this card like an extension of your checking account, you can enjoy cash rebates on all purchases.

Should you switch to Capital One Cash Rewards?
If you're ready to graduate from a credit card for fair credit, consider taking advantage of Capital One's cash back rewards. >> Hide

Capital One makes so many versions of its Platinum Card, it's hard to tell them apart. The bank uses "Classic Platinum" branding for its fair credit credit cards that carry a modest annual fee and still offer a low introductory purchase APR. This credit card doesn't include a balance transfer deal o... >> Read More

Capital One makes so many versions of its Platinum Card, it's hard to tell them apart. The bank uses "Classic Platinum" branding for its fair credit credit cards that carry a modest annual fee and still offer a low introductory purchase APR. This credit card doesn't include a balance transfer deal or access to any rewards, but it can save you money if you're looking to spread out payments on a major purchase.


Classic Platinum's introductory purchase offer rare for average credit

Although Capital One uses a dynamic system to generate credit card offers, most of the deals on its Classic Platinum card include a zero introductory APR period of up to a year. After that, the rate jumps closer to the 20 percent APR we usually see with credit cards for average credit. At an annual fee under $40 for most applicants, that's a decent deal if you're trying to save money on a big purchase without the benefit of an excellent credit score.


Capital One's offer can come in handy if you want to finance a new computer or some furniture when you already hold an account with GE, Barclaycard, or the other handful of lenders that handle store cards. That high double digit "go-to rate" should motivate you to pay off your balance before the teaser period ends. And, instead of opening yet another limited retail account, you can use your new account to build a relationship with Capital One that can help you earn one of the company's rewards credit cards.


A credit card option for those with average credit and offering a low introductory purchase APR

Capital One doesn't let the rest of the banking industry tell it what to do. It complements credit scores with predictions from its own consumer database, enabling the bank to offer credit cards to borrowers who don't qualify for accounts at other major lenders. Capital One's credit limits tend to run on the small side, but its risk management kept the company stable during a period when other banks stopped lending to consumers with lower credit scores.


While we would classify this platinum card as "plain vanilla" or "no-frills," cardholders enjoy a handful of perks that can help the card pay for itself. Through Capital One's partnership with MasterCard, Classic Platinum transactions include access to extended warranty programs that rival more exclusive cards. Drivers have access to roadside assistance programs with MasterCard's toll-free service that includes up to four responses per year at no charge. Travel accident insurance and rental car coverage offer extra security away from home.


How Capital One Classic Platinum stacks up against other platinum cards

When American Express and Discover first popularized the "platinum" designation on credit cards, they reserved the word for their most elite customers. Today, every Discover Card is technically a platinum card, and many other banks have started using other branding phrases for their top-tier accounts.


A handful of lenders still offer platinum credit cards for excellent credit, like the Simmons First Visa Platinum with no annual fee and a single digit APR. However, if you're rebuilding your credit Capital One Classic Platinum may be worth a closer look. >> Hide

Who uses this card?

This card is best for consumers with average credit looking for a Plain Jane card to use to further build credit that don't mind paying an annual fee.

Should you switch to Capital One Classic Platinum?

Because Capital One Classic Platinum doesn't include a balance tra... >> Read More

This card is best for consumers with average credit looking for a Plain Jane card to use to further build credit that don't mind paying an annual fee.

Should you switch to Capital One Classic Platinum?

Because Capital One Classic Platinum doesn't include a balance transfer offer, it really only makes sense to switch to this card unless you're planning to finance a major expense using its 0 percent APR teaser rate. If you're just looking to build your credit, you might qualify for the bank's standard platinum card with no annual fee. >> Hide

Capital One uses "platinum" branding on many of its credit cards, even on accounts designed to rebuild credit. Compared to other credit cards for average credit, the Capital One Platinum offers MasterCard Platinum Benefits that include extended warranty program and fraud prevention benefits. With a ... >> Read More

Capital One uses "platinum" branding on many of its credit cards, even on accounts designed to rebuild credit. Compared to other credit cards for average credit, the Capital One Platinum offers MasterCard Platinum Benefits that include extended warranty program and fraud prevention benefits. With a $0 introductory annual fee for the first year; $19 after that and a high APR, you can use this card if you have limited credit history or to get back on track after some financial setbacks.

Why you might qualify for Capital One Platinum
When Richard Fairbank and Nigel Morris spun Capital One off into a standalone credit card issuer, they didn't bring the baggage of legacy systems and policies. Instead, they started building one of the banking industry's most powerful consumer databases. Their system can pretty accurately predict an applicant's risk by supplementing credit report information with its own projections.

Unless you've got other credit card delinquencies on your file, the system usually errs on the side of giving applicants a chance with a small credit limit.

Best credit card for average credit consumers
With those underwriting guidelines in mind, it's easier to understand how so many applicants qualify for the Capital One Platinum Card. On our credit card forum, we often hear from readers with FICO scores in the low 600s who receive special offers for this card.

The mailed offers varying slightly from the credit card deals the bank posts on its website.

In most cases, the bank offers an introductory $0 annual fee the first year of a relatively low annual fee. However, credit limits tend to be low (usually around $300). This is a card you'll use to qualify for a better Capital One account after about a year of solid performance, using your card responsibly.

How Capital One Platinum compares to other companies' platinum cards
It's hard to compare credit cards when "platinum" means so many different things at competing lenders. The Platinum Card from American Express comes with an annual fee at least 24 times higher than Capital One's, but includes a boatload of elite perks and privileges. Iberiabank Visa Platinum offers an interest rate almost less than half this card's APR.

What you're really getting with this account is the feel-good factor of handing your cashier a platinum card from a well-known, trusted brand. You're also building a relationship with one of the fastest-growing consumer lenders in the United States, featuring an innovative online account tracker that may help you learn to manage your account wisely.

Surprising bonus benefits from a no-frills credit card
Through a partnership with MasterCard, this Capital One account offers access to auto rental insurance, travel assistance, and travel accident insurance when you book your itinerary using your card. MasterCard will cover the cost of roadside assistance, even if you're near your own home.

In addition, Capital One and MasterCard will add a year to the warranty period for any item with a year or less of manufacturer's coverage. >> Hide

Who uses this card?

This card is best for consumers with average credit looking for a Plain Jane card to use to further build credit who never carry a balance.

Should you switch to Capital One Platinum?
Because this card doesn't offer any balance transfer deals, you'll probably only want to s... >> Read More

This card is best for consumers with average credit looking for a Plain Jane card to use to further build credit who never carry a balance.

Should you switch to Capital One Platinum?
Because this card doesn't offer any balance transfer deals, you'll probably only want to switch to Capital One Platinum if you're paying high annual fees on a different credit card for those with limited or fair credit. This is a strong contender if you've successfully managed a retail store or gas credit card over the past six months. >> Hide