How LendingTree Rates Credit Cards?
Our experts rate credit cards based on several factors including card benefits, bonus offers and independent research. Credit card issuers do not influence or have a say in our card ratings. Read our credit card methodology here.If you’re looking for a card to help you build credit while earning cash back rewards, the Credit One Bank American Express Card is a good option. That’s because — along with accepting applicants with fair/good/excellent credit — the card offers unlimited 1% cash back rewards on all purchases. Plus, it provides access to some valuable benefits, like purchase protection and Amex Offers.
Unlike many credit-building cards, the Credit One Bank American Express Card doesn’t require a security deposit — but it does charge a $39 annual fee.
How much does it cost to own? If you spend $3,600 on the card in a year, you’ll earn $36 back. If you subtract that amount from the $39 annual fee — the card will essentially cost you $3 versus $1.95 for the average credit-building card.Intro Purchase APR
N/A
Regular Purchase APR
29.74% Variable
Intro BT APR
N/A
Regular BT APR
N/A
Annual Fee
$39
Cash Advance Fee
Either $5 or 8% of the amount of each Cash Advance, whichever is greater.
Foreign Transaction Fee
Either $1 or 3% of each purchase in U.S. dollars, whichever is greater
Balance Transfer Fee
N/A
No security deposit required
Some of the best cards for building credit are secured credit cards — which typically require an upfront, refundable security deposit of at least $200. This deposit will serve as your line of credit.
By contrast, the Credit One Bank American Express Card provides a minimum credit line of $300 without charging a security deposit.
Reports to major credit bureaus
Since this card reports your account activity to the three major credit bureaus — Equifax, Experian and TransUnion — you can build positive credit history by using it responsibly. This includes paying your bill on time each month and only using 30% or less of your line of credit.
Earns cash back on every purchase
The Credit One Bank American Express Card lets you earn unlimited 1% cash back rewards on all purchases. Compared to other cards available to those with fair credit, this is a good cash back rate.
There are cards available — like the Wells Fargo Active Cash® Card — that offer a flat rate of up to 2% cash back on every purchase. Just know, this card will require good/excellent credit for approval.
Purchase protection
The Credit One Bank American Express Card provides retail protection, which is rare for a credit-building card. This benefit provides coverage if an eligible item is damaged or stolen within the first 90 days of purchase. You can be reimbursed up to $1,000 per loss, up to a total of $50,000 per card member every 12 months.
Free credit score access
The Credit One Bank American Express Card gives you free access to your credit score — which allows you to see how your score changes over time.
Plus, you can view a summary of your credit report each month. This can help you keep track of your existing debt and identify any errors in your report.
Access to special offers through American Express
Because this card is issued by American Express, you’ll get access to exclusive offers and savings for dining, retail, travel and more. This includes presale tickets for concerts and sporting events and special discounts at participating merchants.
Mediocre earning rate
Although this is one of the few credit cards available to those with fair credit that offers rewards, it is still possible to find one with a slightly higher earning rate. For example, the Capital One QuicksilverOne Cash Rewards Credit Card lets you earn 1.5% Cash Back on every purchase, every day; 5% Cash Back on hotels and rental cars booked through Capital One Travel (terms apply).
No sign-up bonus
While most cash back cards let you earn a lump sum of rewards upfront when you sign up and spend a specified amount on the card within a given timeframe, the Credit One Bank American Express Card doesn’t. This can significantly cut into your earning potential during the first year of card membership.
Annual fee
This card charges a $39 annual fee. To earn enough rewards to cover that amount, you’ll need to make at least $3,900 in purchases on your card each year.
If you don’t want to commit to paying an annual fee, you should know that there are several $0-annual-fee cards that offer higher cash back rates than the Credit One Bank American Express Card.
High interest rate
If you plan to carry a balance on your card from month to month, be aware that the Credit One Bank American Express Card comes with a high APR of 29.74% Variable. Still, that’s pretty on par for credit cards designed for those with fair credit.
If you have good to excellent credit, there are a number of no-annual-fee cash back cards that offer 0% intro APRs on purchases for a year or longer. Once the intro period ends, they also offer lower starting APRs than the Credit One Bank American Express Card. For example, the Capital One Quicksilver Cash Rewards Credit Card, (which may be an option if you have good/excellent credit), offers a 0% intro on purchases for 15 months. After that, a 19.99% - 29.99% (Variable) APR applies.
Penalty fees
This card has a late payment fee of up to $39 and a returned payment fee of up to $39. If you’re interested in a card that doesn’t charge these fees, you may be better off with the Petal® 2 Cash Back, No Fees Visa® Credit Card.
That said, when trying to build credit, it’s extremely important to pay your bill on time every month. In fact, your payment history is the most important factor determining your credit score. As such, having late payments on your credit report can have a significant negative impact on your credit score.
Doesn't have guaranteed reviews for credit line increases
The Credit One Bank American Express Card has a low starting credit line of $300 with no guaranteed account reviews to increase your line of credit.
In contrast, with the Capital One QuicksilverOne Cash Rewards Credit Card, Capital One will automatically begin reviewing your account at six months to see if you qualify for a higher credit line. Similarly, with the Merrick Bank Double Your Line® Mastercard®, Merrick Bank will review your account activity and automatically double your line of credit if you’ve made at least your minimum monthly payment on time each month.
Foreign transaction fees
If you use the Credit One Bank American Express Card to make purchases outside the U.S., you’ll be subject to foreign transaction fees of either $1 or 3% of each purchase in U.S. dollars, whichever is greater.
If you’re planning a trip abroad, you’d be better off taking a credit card that doesn’t charge foreign transaction fees.
If you want to earn a higher cash back rate from a card that may accept applicants with limited/fair credit, the Capital One QuicksilverOne Cash Rewards Credit Card is a good alternative. You’ll get 1.5% Cash Back on every purchase, every day; 5% Cash Back on hotels and rental cars booked through Capital One Travel (terms apply).
Similar to the Credit One Bank American Express Card, the Capital One QuicksilverOne Cash Rewards Credit Card doesn’t offer a sign-up bonus or intro APR offer on purchases or balance transfers. The card also charges a $39 annual fee and has an APR of 29.99% (Variable).
That said, Capital One will automatically begin reviewing your account to see if you qualify for a higher credit line in as little as six months. Plus, you’ll get free access to your credit score and other credit-monitoring tools — and as for foreign transaction fees, there are none.
If you have fair/good/excellent credit, the Citi Double Cash® Card may be a better fit. The card has a $0 annual fee and lets you earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. To earn cash back, pay at least the minimum due on time. Plus, for a limited time, earn 5% total cash back on hotel, car rentals and attractions booked on the Citi Travel℠ portal through 12/31/24.
In addition, earn $200 cash back after you spend $1,500 on purchases in the first 6 months of account opening. This bonus offer will be fulfilled as 20,000 ThankYou® Points, which can be redeemed for $200 cash back.
Like the Credit One Bank American Express® Card, the Citi Double Cash® Card doesn’t provide an interest-free period on purchases. It does, however, offer an intro APR of 0% intro APR for 18 months on Balance Transfers. After that, a 19.24% - 29.24% (Variable) applies.
And although it comes with a $0 annual fee, it does charge foreign transaction fees.
If you have good/excellent credit, the Wells Fargo Active Cash® Card is an even better alternative. This card lets you earn unlimited 2% cash rewards on purchases. Plus, you can earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months. Note, that’s a much lower spend threshold than what the Citi Double Cash® Card requires to earn the bonus.
The Wells Fargo Active Cash® Card also gets you a 0% intro APR for 15 months from account opening, then a 20.24%, 25.24%, or 29.99% Variable APR. There’s also a 0% intro APR for 15 months from account opening on qualifying balance transfers, then a 20.24%, 25.24%, or 29.99% Variable APR.
Like the Citi Double Cash® Card this card has a $0 annual fee, but charges foreign transaction fees.
| Credit Cards | Our Ratings | Annual Fee | Rewards Rate | Welcome Offer | |
|---|---|---|---|---|---|
Credit One Bank American Express Card*
Learn More
on Credit One Bank's secure site |
$39 | Unlimited 1% cash back rewards on all purchases | N/A |
Learn More
on Credit One Bank's secure site |
|
|
Capital One QuicksilverOne Cash Rewards Credit Card
 Apply Now
on Capital One's secure site Rates & Fees |
$39 | 1.5% Cash Back on every purchase, every day; 5% Cash Back on hotels and rental cars booked through Capital One Travel (terms apply) | N/A |
Apply Now
on Capital One's secure site Rates & Fees |
|
Citi Double Cash® Card
Apply Now
on Citibank's secure site Rates & Fees |
$0 | Earn 2% on every purchase with unlimited 1% cash back when you buy, plus an additional 1% as you pay for those purchases. To earn cash back, pay at least the minimum due on time. Plus, for a limited time, earn 5% total cash back on hotel, car rentals and attractions booked on the Citi Travel℠ portal through 12/31/24. | Earn $200 cash back after you spend $1,500 on purchases in the first 6 months of account opening. This bonus offer will be fulfilled as 20,000 ThankYou® Points, which can be redeemed for $200 cash back. |
Apply Now
on Citibank's secure site Rates & Fees |
|
Wells Fargo Active Cash® Card*
Learn More
on Wells Fargo's secure site |
$0 | Earn unlimited 2% cash rewards on purchases | Earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months |
Learn More
on Wells Fargo's secure site |
If you have fair credit, the Credit One Bank American Express Card is a good option to help build your credit while also providing rewards on every purchase you make. The Capital One QuicksilverOne Cash Rewards Credit Card works if you have fair credit and want higher cash back rates and automatic account review — but if you want a card with an even higher cash back rate, $0 annual fee and intro APR on balance transfers, the Citi Double Cash® Card is a better choice. And if your credit is in the good/excellent range, consider the Wells Fargo Active Cash® Card.
The information related to the Credit One Bank American Express Card has been independently collected by LendingTree and has not been reviewed or provided by the issuer of this card prior to publication.
