Rebuilding your credit can feel like an uphill battle, especially if you’ve faced financial setbacks like missed payments, high credit utilization, or bankruptcy. A low credit score—typically below 670 on the FICO scale—can limit your access to favorable loans, higher credit limits, and better interest rates. However, the right credit card, used responsibly, can be a powerful tool to repair your credit and set you on a path to financial stability. In 2025, several credit cards stand out for their accessibility, low fees, and features designed to help consumers rebuild their credit. This article explores the six best credit cards for rebuilding your credit, offering detailed insights into their benefits, drawbacks, and strategies for maximizing their potential.
Why Credit Cards Matter for Rebuilding Credit
Before diving into the top picks, it’s worth understanding why credit cards are effective for rebuilding credit. Your credit score is influenced by several factors, with payment history (35%) and credit utilization (30%) being the most significant. By using a credit card responsibly—making on-time payments and keeping your balance low—you can positively impact these key areas. Many cards designed for credit rebuilding report activity to the three major credit bureaus (Experian, Equifax, and TransUnion), ensuring your good habits are reflected in your credit report. Secured cards, which require a refundable deposit, and unsecured cards with lenient approval criteria are particularly suited for those with poor or limited credit histories.
The cards below were selected based on their accessibility, low or no fees, rewards potential, and tools for credit improvement, such as free credit score tracking or upgrade paths to unsecured cards. Let’s explore the six best options for 2025.
1. Discover it® Secured Credit Card
Overview
The Discover it® Secured Credit Card is widely regarded as one of the best secured cards for rebuilding credit due to its combination of no annual fee, cash back rewards, and a clear path to an unsecured card. It requires a refundable security deposit starting at $200, which becomes your credit limit.
Key Features
- No Annual Fee: Unlike many secured cards, there’s no yearly cost to maintain this card.
- Cash Back Rewards: Earn 2% cash back at gas stations and restaurants on up to $1,000 in combined purchases each quarter (then 1%), and 1% on all other purchases. Discover matches all cash back earned in the first year, doubling your rewards.
- Credit Bureau Reporting: Activity is reported to all three major credit bureaus.
- Upgrade Path: After seven months, Discover begins automatic monthly reviews to determine eligibility for upgrading to an unsecured card, with the deposit refunded upon approval.
- Free Credit Score Access: Cardholders get free access to their FICO score through Discover’s Credit Scorecard.
Why It’s Great for Rebuilding Credit
The Discover it® Secured Credit Card stands out for its rewards program, which is rare among secured cards. The cash back match at the end of the first year can be a significant bonus, encouraging responsible use. The automatic review process for upgrading to an unsecured card is a major draw, as it provides a clear timeline for transitioning to a traditional credit card without needing a new application. By making small, manageable purchases and paying the balance in full each month, you can build a positive payment history and keep utilization low.
Drawbacks
- Requires a minimum $200 security deposit, which may be a barrier for some.
- Rewards are less competitive after the first-year cash back match.
- No welcome bonus beyond the cash back match.
Who Should Get It
This card is ideal for those who can afford the security deposit and want to earn rewards while rebuilding credit. It’s especially suitable for individuals who value a clear upgrade path and free credit monitoring tools.
2. Capital One Platinum Secured Credit Card
Overview
The Capital One Platinum Secured Credit Card is a top choice for its low deposit requirements and potential for credit limit increases. It’s designed for consumers with bad or no credit, offering a straightforward way to build credit without excessive fees.
Key Features
- Low Security Deposit: Requires a refundable deposit as low as $49 for a $200 credit limit, depending on your credit profile.
- No Annual Fee: Keeps costs minimal for budget-conscious users.
- Automatic Credit Line Reviews: After six months of responsible use, you may qualify for a higher credit limit without an additional deposit.
- CreditWise Monitoring: Free access to your credit score and report through Capital One’s CreditWise tool.
- Reports to All Bureaus: Ensures your payment history is recorded by Experian, Equifax, and TransUnion.
Why It’s Great for Rebuilding Credit
The low deposit requirement makes this card accessible to those with limited funds, a critical factor for individuals rebuilding credit after financial hardship. The potential for a credit limit increase after six months can help lower your credit utilization ratio, boosting your score. Capital One’s CreditWise tool allows you to track your progress, providing motivation and insight into your credit-building journey.
Drawbacks
- No rewards program, which may disappoint those seeking additional benefits.
- Higher APR (around 29.99% variable) if you carry a balance, so paying in full is essential.
- Limited perks compared to other secured cards like Discover’s.
Who Should Get It
This card is perfect for those who need a low-cost entry point into credit building and can’t afford a large security deposit. It’s also a good fit for individuals who prioritize credit limit increases over rewards.
3. OpenSky® Secured Visa® Credit Card
Overview
The OpenSky® Secured Visa® Credit Card is designed for those with severely damaged credit, as it requires no credit check for approval. This makes it an excellent option for individuals who’ve faced bankruptcy or other significant credit issues.
Key Features
- No Credit Check: Approval is based on income and identity, not credit history.
- Flexible Security Deposit: Requires a refundable deposit of $200 to $3,000, which sets your credit limit.
- No Annual Fee: Keeps costs low for cardholders.
- Reports to All Bureaus: Payment history is reported to Experian, Equifax, and TransUnion.
- Free FICO Score Access: Cardholders can monitor their credit score through the OpenSky mobile app.
Why It’s Great for Rebuilding Credit
The lack of a credit check makes the OpenSky card accessible to nearly anyone, including those with recent bankruptcies or very low credit scores. Its flexible deposit range allows you to choose a credit limit that suits your financial situation. By making on-time payments, cardholders can see significant credit score improvements—OpenSky reports that two-thirds of users increase their score by an average of 41 points in three months.
Drawbacks
- No rewards program, limiting its long-term value.
- No clear upgrade path to an unsecured card, unlike Discover or Capital One.
- Higher APR (around 25.64% variable), making it costly to carry a balance.
Who Should Get It
This card is best for those with poor credit who’ve been denied other cards due to their credit history. It’s also suitable for individuals who want a simple, no-frills card to focus on credit rebuilding.
4. Petal® 2 “Cash Back, No Fees” Visa® Credit Card
Overview
The Petal® 2 Visa® Credit Card is an unsecured card that caters to those with limited or fair credit, offering rewards and no fees. Issued by WebBank, it’s a unique option for rebuilding credit without a security deposit.
Key Features
- No Security Deposit: An unsecured card, eliminating the need for an upfront deposit.
- No Fees: No annual, late, or foreign transaction fees.
- Cash Back Rewards: Earn 1% cash back on eligible purchases, increasing to 1.25% after six on-time payments and 1.5% after 12 on-time payments. Up to 10% cash back at select merchants.
- Credit Bureau Reporting: Activity is reported to all three major bureaus.
- Pre-Approval Option: Check eligibility without a hard credit inquiry.
Why It’s Great for Rebuilding Credit
As an unsecured card, the Petal 2 eliminates the barrier of a security deposit, making it more accessible than secured cards. Its rewards structure incentivizes on-time payments, aligning with good credit habits. The pre-approval process minimizes the risk of a credit score ding from a denied application. Petal also considers banking history and income, which can help those with thin credit files qualify.
Drawbacks
- Requires fair credit or better for approval, which may exclude those with very poor credit.
- Rewards are modest compared to premium cards.
- Variable APR (17.99%–31.99%) can be high if you carry a balance.
Who Should Get It
This card is ideal for those with fair credit (around 580–669) who want an unsecured card with rewards and no fees. It’s also a good fit for individuals who prefer not to tie up funds in a security deposit.
5. Chime® Credit Builder Secured Visa® Credit Card
Overview
The Chime® Credit Builder Secured Visa® Credit Card is a unique secured card that doesn’t require a credit check or a fixed security deposit. Instead, it uses funds from a Chime Checking Account to secure your credit line.
Key Features
- No Credit Check: Approval is based on having a Chime Checking Account with qualifying direct deposits.
- No Annual Fee: Keeps costs low.
- Flexible Credit Line: Your credit limit is based on the amount you move to your Credit Builder account, with no minimum deposit.
- Reports to All Bureaus: Payment history is reported to Experian, Equifax, and TransUnion.
- No Interest Charges: Since you can only spend what’s in your Credit Builder account, there’s no risk of accruing interest.
Why It’s Great for Rebuilding Credit
The Chime Credit Builder card is designed to mimic a charge card, allowing you to spend only what you’ve pre-funded, which eliminates the risk of debt. Its lack of a credit check and flexible deposit make it highly accessible. The card’s integration with a Chime Checking Account encourages responsible spending, and on-time payments are reported to all three bureaus, helping build your credit score.
Drawbacks
- Requires a Chime Checking Account with at least $200 in direct deposits in the past 31 days.
- No rewards program.
- Not ideal for those who prefer traditional credit cards with revolving credit lines.
Who Should Get It
This card is best for those who already use or are willing to open a Chime Checking Account. It’s particularly suited for individuals who want a low-risk way to build credit without worrying about interest or debt.
6. Capital One Quicksilver Secured Cash Rewards Credit Card
Overview
The Capital One Quicksilver Secured Cash Rewards Credit Card combines the benefits of a secured card with a straightforward rewards program, making it a strong choice for credit rebuilding.
Key Features
- No Annual Fee: No yearly cost to maintain the card.
- Cash Back Rewards: Earn 1.5% cash back on all purchases and 5% on hotels and rental cars booked through Capital One Travel.
- Low Security Deposit: Starts at $49 for a $200 credit limit, depending on your credit profile.
- Automatic Credit Line Reviews: Eligible for a higher credit limit after six months of responsible use.
- CreditWise Monitoring: Free access to your credit score and report.
Why It’s Great for Rebuilding Credit
This card offers a rare combination of rewards and credit-building features. The 1.5% cash back on all purchases is competitive for a secured card, and the potential for a credit limit increase can improve your credit utilization ratio. Capital One’s reporting to all three bureaus ensures your responsible use is reflected in your credit score. The CreditWise tool helps you track your progress, keeping you motivated.
Drawbacks
- Requires a security deposit, which may be a challenge for some.
- High APR (around 29.99% variable), so paying in full is crucial.
- Rewards are less robust than those of premium unsecured cards.
Who Should Get It
This card is ideal for those who want to earn cash back while rebuilding credit and can afford a security deposit. It’s a good fit for individuals who value simplicity and potential credit limit increases.
Strategies for Rebuilding Credit with These Cards
To maximize the benefits of these credit cards and rebuild your credit effectively, follow these strategies:
- Make On-Time Payments: Payment history is the most critical factor in your credit score. Set up autopay or calendar reminders to ensure you never miss a due date.
- Keep Credit Utilization Low: Aim to use less than 30% of your available credit, ideally below 10%. For example, on a $200 credit limit, keep your balance under $60.
- Pay Balances in Full: Avoid carrying a balance to prevent high interest charges, which can strain your finances and hinder credit rebuilding.
- Monitor Your Credit Score: Use the free credit score tools provided by these cards to track your progress and identify areas for improvement.
- Limit New Applications: Applying for multiple cards can result in hard inquiries, which may temporarily lower your score. Choose one or two cards and focus on using them responsibly.
- Plan for Upgrades: If you have a secured card, aim to qualify for an unsecured card by maintaining good credit habits. This can free up your deposit and open access to better cards.
Choosing the Right Card for You
Selecting the best credit card for rebuilding your credit depends on your financial situation and goals. Here’s a quick guide to help you decide:
- If you have very poor credit or recent bankruptcy: The OpenSky® Secured Visa® or Chime® Credit Builder Secured Visa® are excellent choices due to their lack of credit checks.
- If you want rewards: The Discover it® Secured or Capital One Quicksilver Secured Cash Rewards cards offer cash back, making credit building more rewarding.
- If you can’t afford a large deposit: The Capital One Platinum Secured or Chime Credit Builder cards have low or flexible deposit requirements.
- If you prefer an unsecured card: The Petal® 2 Visa® is a strong option for those with fair credit who want to avoid a deposit and fees.
Conclusion
Rebuilding your credit in 2025 is entirely achievable with the right credit card and responsible financial habits. The six cards highlighted—Discover it® Secured, Capital One Platinum Secured, OpenSky® Secured Visa®, Petal® 2 Visa®, Chime® Credit Builder Secured Visa®, and Capital One Quicksilver Secured Cash Rewards—offer accessible, low-cost options tailored to those with poor or limited credit. By making on-time payments, keeping your balance low, and monitoring your progress, you can steadily improve your credit score and unlock better financial opportunities. Choose the card that aligns with your budget and goals, and take the first step toward a stronger financial future today.