Best Gas Credit Cards for No Credit
If you don’t have credit established, you might find it just as challenging as someone with bad credit when it comes to getting approved for credit cards. Unfortunately, the only way to establish credit is to get credit, which can seem like a hopeless circle of confusion. However, there are credit cards designed for those who are just starting out and need to build a credit history. Many of these credit cards happen to be gas credit cards, which are typically more willing to approve people with no credit or bad credit. If you don’t have any credit yet, here are some gas credit cards you should consider.
Best Gas Credit Card for No Credit
The Chevron and Texaco Credit Card is available in three different versions, but if you don’t have any credit established, you’ll likely get the store card. The Chevron and Texaco store card works just like any other credit card, but you can only use it at Chevron and Texaco gas stations. You get .03 cents per gallon in fuel credits when you use your card, and there is no annual fee. The APR is 27.24% variable APR. As a new cardholder, you can also earn a bonus of .10 cents per gallon in fuel credits for your first 60 days.
Advantages of the Chevron and Texaco Credit Card
- Fuel credits
- New cardholder bonus
Disadvantages of the Chevron and Texaco Credit Card
- Only for use at Chevron and Texaco
- High APR
For gas credit cards, the Chevron and Texaco card is ideal if you happen to fill up at either of these brands of gas stations. However, because it’s a store card, it won’t do you much good if you don’t live near a Chevron or Texaco. This card is known to be flexible when it comes to no credit or poor credit and can be helpful in building your credit rating.
This card is also a great gas credit card option if you have bad credit. You get 1% cash back for gas and grocery store purchases and the annual fee of $0 to $99, is based on your credit worthiness. The APR is 15.65%-24.15% (variable).
- 1% cash back for gas and groceries
- Potential high annual fee
- Potential high APR
Although this card is typically easier to qualify for and can help you build your credit rating, you could end up with a high APR and a high annual fee, depending on your credit. The upside is that you earn 1% cash back for gas and grocery store purchases.
Best Gas Credit Cards for Students
Students are often the largest group of people without credit, so many card issuers offer student credit cards to help you get started.
This card is one of Discover’s newer student credit cards and because you can earn 2% cash back on gas and restaurants, up to $1,000 in purchases each quarter, it’s a solid choice for a gas card as well. You also earn 1% cash back on all other purchases, and you get $20 cash back each school year that your GPA is 3.0 or higher. For new cardholders, Discover will match the cash back you earn at the end of your first year. This card also includes free access to your FICO score for managing and building your credit rating. There is a 0% introductory APR for purchases for the first 6 months. After that, variable APR of 13.24%-23.24% variable APR will apply. There is no annual fee for this card.
Advantages of Discover it chrome for Students
- No annual fee or foreign transaction fee
- 2% cash back for gas
- Bonus for good grades
- Bonus cash match after the first year
- 0% intro APR for 6 months
Disadvantages of Discover it chrome for Students
- Potential high APR
- Could be more difficult to qualify for
The Discover it chrome for Students is one of the best rewards cards available for people who don’t have any credit. However, it can be difficult to qualify for, and you could end up with a high APR, depending on your credit worthiness. Otherwise, for students who are building credit, this is one of the most valuable cards to start with.
Although not specifically a gas card, the Journey Student Rewards from Capital One is a decent card to start building your credit with and earn rewards. You get 1% cash back on all purchases, which includes gas. You get an additional 0.25% cash reward on the cash back you earn each month when you make your payment on time. This card has no annual fee or foreign transaction fee.
Advantages of Journey Student Rewards from Capital One
- No annual fee of foreign transaction fee
- 1% cash back plus .25% bonus when you pay
Disadvantages of Journey Student Rewards from Capital One
- Low rewards
You might prefer this card if you are a student and want to earn cash back on gas and all other purchases. You can earn a total of 1.25% cash back for each dollar you spend, which isn’t the highest rate, but it’s slightly more than the usual 1% you get from the “other” category. Plus, there aren’t any annual fees or foreign transaction fees, which can help save money.
Building When You Don’t Have Credit
When you are just starting out, you don’t have a lot of choices for building your credit rating. Sometimes, you can ask someone to add you on one of their cards as an authorized user, or you could ask your parents to cosign on a credit card. However, you can start building your credit rating yourself with cards designed for people with no credit and if you follow these tips:
- Monitor your credit reports and your credit score
- Make all monthly payments on time
- Pay in full each month instead of carrying a balance
- When your credit increases, apply for cards with better rewards and lower APRs
- Make sure any loans or credit report to the credit bureaus
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