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Best Gas Credit Cards For Bad Credit

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Rewards credit cards can be insanely lucrative, both in terms of their ongoing rewards and the generous sign-up bonuses they offer. Unfortunately, the best credit cards on the market are only available to consumers with very good or excellent credit, which usually means a FICO score of 740 or higher.

But, you can get a rewards credit card if you have bad credit. You just need to adjust your expectations and be willing to consider a broad range of cards. Specifically, you may find that most rewards credit cards for bad credit are ones geared to specific purchases, such as gas.

What is a gas card?

Gas credit cards can help you rack up rewards when you fill up your tank, but you can also use them to build up your credit score so you can qualify for a better rewards credit card later on. Most gas credit cards offer rewards as a percentage of your spending just like any other cash back credit card, although credit cards for bad credit tend to have less lucrative rewards programs and more fees attached.

Keep in mind that, when we’re talking about gas cards for bad credit, there are two main types to consider. There are closed-loop gas cards that are only good for gas and other purchases with specific brands, such as Shell or Chevron. One thing to consider as you compare cards is the fact that closed-loop gas only credit cards tend to come with incredibly high interest rates. Take the ExxonMobil™ Smart Card, for example. This card gives you 25 cents back for each gallon of gas you buy for two months, then 6 cents back per gallon. However, you’ll pay a variable APR of 26.49 percent on purchases if you carry a balance.

There are also traditional credit cards that let consumers earn rewards on gas and other types of purchases. These cards tend to be more useful since you aren’t limited in terms of the gas stations you can fill up at, and since you can use them for all your regular purchases and not just gas.

How do gas cards work?

If you’re wondering how to get a gas card, you should know that the process is a piece of cake. Gas credit cards are easy to apply for online, although credit requirements can vary depending on the type of gas card you’re considering. The best gas credit cards that let you earn rewards are typically geared to consumers with good or excellent credit, while consumers with only fair credit (580 to 669) or poor credit (579 or below) may only be able to qualify for rewards credit cards for bad credit or a store brand gas card.

Some gas cards let you earn points or cash back for each dollar you spend on gas and other purchases, yet closed-loop gas cards that only work with a specific gas brand may offer a discount for each gallon of gas you buy instead.

At the end of the day, the benefits of picking up a gas card depend largely on the card you get approved for and their specific rewards program. Just remember that, like all credit cards, gas cards charge interest when you carry a balance, so you’ll want to pay your gas card bill in full each month you use it.

Building credit with a gas card

Building credit with a gas card is a smart move, just like it would be with any other type of credit card. Whether you use a gas-only credit card or a rewards credit card for bad credit, all of your credit movements and payments will be reported to the three credit bureaus—Experian, Equifax and TransUnion.

To make the most out of your gas card, you’ll want to use it for gas and other purchases you can pay off right away. Try not to carry a balance since your interest rate will likely be on the high side, and steer clear of racking up debt you can’t afford to repay.

Pros of building credit with a gas card

  • Some gas cards are fairly easy to get approved for, either because they are gas-only credit cards or they’re regular rewards cards that are geared to consumers with poor credit
  • Gas cards report to the three credit bureaus, which can help you build credit over time
  • Gas cards can help you earn rewards or discounts when you fill up

Cons of building credit with a gas card

  • Gas cards for bad credit may only offer so-so rewards
  • You may have to pay an annual fee, and many gas cards come with a high APR
  • Some gas cards for bad credit are secured credit cards, meaning you have to put down a cash deposit as collateral.

Best gas cards for bad credit

When it comes to gas cards for poor credit, there are quite a few options to consider. The following list of credit cards includes the best gas cards for bad credit on the market today.

Discover it® Secured: Best secured card for gas rewards

Because it’s a secured credit card, the Discover it® Secured is one of the easiest gas cards to get approved for. You’ll have to put down a cash deposit as collateral to get started, but this card will report your credit payments to the three credit bureaus, helping you build credit over time. There’s no annual fee and no hidden fees, yet you’ll earn 2 percent back on the first $1,000 you spend on gas and dining each quarter (then 1 percent) as well as 1 percent back on all other purchases. Discover will also match all the rewards you have earned after the first year.

Journey Student Rewards from Capital One: Best gas card for students

The Journey Student Rewards from Capital One is geared to students and other individuals with “fair” credit, which usually means anyone with a FICO score in the 580 to 669 range. This card doesn’t charge an annual fee, yet you’ll earn a flat 1.25 percent back each month you pay your credit card bill on time. If you don’t pay your bill on time, you’ll earn a flat 1 percent back in rewards. Note that, while you may start off with a low credit limit with this card, Capital One will automatically consider raising your limit after six months and six on-time credit card payments.

Credit One Bank® Unsecured Visa® for Rebuilding Credit: Best for building credit

The Credit One Bank® Unsecured Visa® for Rebuilding Credit is geared to consumers with poor credit, so it is one of the easiest gas cards to get by far. Once you’re approved, this card lets you earn 1 percent cash back rewards on gas and groceries as well as monthly mobile phone, internet, cable and satellite TV services charged to your card. Note that an annual fee of up to $99 might apply depending on your creditworthiness. However, you may get the chance to have your credit limit increased after enough responsible use, and this card even lets you pick your credit card payment due date.

Shell | Fuel Rewards® Card: Best for easy approvals

If you are looking for an easy approval gas card, you should consider the Shell | Fuel Rewards® Card. This gas store credit card lets you earn up to 10 cents off per gallon of gas including your gas card discount and the discount you get with automatic Gold status within the Shell Fuel Rewards program (up to 20 gallons). With the Shell | Fuel Rewards® Card, you can also qualify for 10 percent in Shell rebates on your first $1,200 in Shell non-fuel purchases made each year with your card at Shell locations around the U.S. This card doesn’t charge an annual fee, and you can apply online.

Chevron/Texaco Techron Advantage Card: Best for big gas discounts

The Chevron/Texaco Techron Advantage Card is another easy approval gas card that can work well for consumers who are looking for a Chevron gas card for bad credit. This gas only credit card lets you earn 30 cents per gallon in Fuel Credits at Chevron and Texaco stations for the first 90 days once you open your account. You’ll also earn 3 cents per gallon on every fill-up year-round (on Regular or Diesel), 5 cents per gallon on Plus Fuel or 7 cents per gallon on Supreme/Premium fuel. You can pick up this credit card without having to pay an annual fee or any hidden fees.

Are gas cards worth it?

Consumers looking for a way to build credit should absolutely look into gas credit cards, whether secured or unsecured. Gas cards can help you build credit while you learn positive credit habits, and you can even score some rewards or fuel discounts along the way.

Just make sure that you’re comparing gas cards for bad credit in terms of their fees and their rewards, and that you only apply for a store-branded gas card if you fill up with that brand frequently. Hopefully, you can get approved for a gas card and use it to rebuild your credit from the ground up. With the passage of time and plenty of on-time credit card payments under your belt, you should be able to upgrade to a better rewards credit card in no time.

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Bad Credit

If You Want Consumers to Lose, Network Regulation is a Must – Digital Transactions

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After the current U.S. Congress was sworn in, a predictable chorus of merchants, lobbyists, and lawmakers demanded new interchange price caps and other government mandates to decrease credit card interchange fees for merchants. The tired attacks on credit cards are an easy narrative that focuses almost exclusively on the cost side of the ledger, while completely ignoring the cards’ important role in the economy and the regressive effects of interchange regulation. 

To lawmakers blindly acting on behalf of retailers, regulation is a brilliant idea—regardless of how it affects their constituents. For decades, they have promised these interventions would eventually benefit consumers. But the lessons from the Durbin Amendment in the United States and price cap regulation in Australia is clear. Although some policymakers bemoan the current economic model, arbitrarily “cutting” rates for the sake of cuts completely ignores the economic reality that as billions of dollars move to merchants, billions are lost by consumers. 

For the uninitiated, let’s break down what credit interchange funds: 1) the cost of fraud; 2) more than $40 billion in consumers rewards; 3) the cost of nonpayment by consumers, which is typically 4% of revolving credit; 4) more than $300 billion in credit floats to U.S. consumers; and 5) drastically higher “ticket lift” for merchants. 

Johnson: “To lawmakers blindly acting on behalf of retailers, regulation is a brilliant idea—regardless of how it affects their constituents.”

These are just some of the benefits. If costs were all that mattered, American Express wouldn’t exist. Until recently, it was by far the most expensive U.S. network. Yet, merchants still took AmEx because they knew the average AmEx “swipe” was around $140, far more than Visa and Mastercard. 

Put simply, for a few basis points, interchange functions as a small insurance policy to safeguard retailers from the threat of fraud and nonpayment by consumers. Consider the amount of ink spilled on interchange when no one mentions that the chargeoff rate for issuing banks on bad credit card debt exceeds credit interchange.

Looking abroad, interchange opponents cite Australia, which halved interchange fees nearly 20 years ago, as a glowing example of how to regulate credit cards. In truth, Australia’s regulations have harmed consumers, reduced their options, and forced Australians to pay more for less appealing credit card products. 

First, the cost of a basic credit card is $60 USD in many Australian banks. How many millions of Americans would lose access to credit if the annual cost went from $0 to $60? Can you imagine the consumer outrage? 

In a two-sided market like credit cards, any regulated shift to one side acts a massive tax on the other. For Australians, the new tax fell on cardholders. There, annual fees for standard cards rose by nearly 25%, according to an analysis by global consulting firm CRA International. Fees for rewards cards skyrocketed by as much as 77%.

Many no-fee credit cards were no longer financially viable. As a result, they were pulled from the market, leaving lower income Australians, as well as young people working to establish credit, with few viable options in the credit card market.

Even the benefits that lead many people to sign up for credit cards in the first place have been substantially diluted in Australia because of the reduction of interchange fees. In fact, the value of rewards points fell by approximately 23% after the country cut interchange fees.

Efforts to add interchange price caps would have a similar effect here in the U.S. A 50% cut would amount to a $40 billion to $50 billion wealth transfer from consumers and issuers to merchants. For the 20 million or so financially marginalized Americans, what will their access to credit be when issuers find a $50 billion hole in their balance sheets? 

The average American generates $167 per year in rewards, according to the Consumer Financial Protection Bureau. Perks like airline miles, hotel points, and cashback rewards would be decimated and would likely be just the province of the rich after regulation. Many middle-class consumers could say goodbye to family vacations booked at almost no cost thanks to credit card rewards.

As the travel industry and retailers fight to bounce back from the impact of the pandemic, slashing consumer rewards and reducing the attractiveness of already-fragile businesses is the last thing lawmakers and regulators in Washington should undertake.

Proposals to follow Australia’s misguided lead in capping interchange may allow retailers to snatch a few extra basis points, but the consequences would be disastrous for consumers. Cards would simply be less valuable and more expensive for Americans, and millions of consumers would lose access to credit. University of Pennsylvania Professor Natasha Sarin estimates debit price caps alone cost consumers $3 billion. How much more would consumers have to pay under Durbin 2.0?

Members of Congress and other leaders should learn from Australia and Durbin 1.0 to avoid making the same mistake twice.

—Drew Johnson is a senior fellow at the National Center for Public Policy Research, Washington, D.C.

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Increase Your Credit Score With Michael Carrington

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More than ever before, your debt and credit records can negatively impact you or your family’s life if left unmanaged. Sadly, many Americans feel entirely helpless about their credit score’s present state and the steps they need to take to fix a less-than-perfect score. This is where Michael Carrington, founder of Tier 1 Credit Specialist, comes in. Michael is determined to offer thousands of Americans an educated, informed approach towards credit restoration.

Michael understands the plight that having a bad credit score can bring into your life. His first financial industry job was working as a home mortgage loan analyst for one of the nation’s largest lenders. Early on, he had to work a grueling schedule which included several jobs seven days a week while putting in almost 12-hour days to make $5,000 monthly to get by barely.

“I was tired of living a mediocre life and was determined to increase the value that I can offer others through my knowledge of the finance industry – I started reading all of the necessary books, networking with industry professionals, and investing in mentorship,” shares Michael Carrington. “I got my break when I was able to grow a seven-figure credit repair and funding organization that is flexible enough to address the financial needs of thousands of Americans.”

With his vast experience in the business world, establishing himself as a well-respected business leader, Michael Carrington felt he had the power to help millions of Americas in restoring their credit. Michael learned the FICO system, stayed up to date on the Fair Credit Reporting Act (FCRA), found ways to improve his credit score, and started showing others.

The Tier 1 Credit Specialist uses a tested and proven approach to educate their clients on everything credit scores. Michael is leveraging his experience as a home mortgage professional, marketing executive, and global business coach to inform his clients. He and his team take their time to carefully go through their client’s credit records as they try to find the root of their problem and find suitable financial solutions.

The company is changing lives all over America as it helps families and individuals to repair their credit scores, gain access to lower interest rates on loans and get better jobs. What Tier 1 Credit Specialists is offering many Americans is a chance at financial freedom.

Michael Carrington has repaired over $8 million in debt write-ups and has helped fund American’s with over $4 million through thousands of fixed reports. “I credit our success to being people-focused,” he often says. “The amount of success that we create is going to be in direct proportion to the amount of value that we provide people – not just our customers – people.”

Because of its ‘people-focused goals, the Tier 1 Credit Specialist is determined to help millions of Americans achieve financial literacy. It is currently receiving raving reviews from clients who are completely happy with the credit repair solutions that the company has provided them.

Today, Michael Carrington is continuing with a new initiative to serve more Americans who suffer from bad credit due to little or no access to affordable resources for repair.

The Tier 1 Credit Socialist brand is changing the outlook of many families across America. To do this, the company has created an affiliate system that will provide more people with ways of earning during these tough economic times.

As a well-respected international business leader and entrepreneur with numerous achievements to his name Michael Carrington aims to help millions of Americans achieve the financial freedom, he is experiencing today. Tier 1 Credit Socialist is one of the most effective credit repair brands on the market right now, and they have no plans for slowing down in 2021!

Learn more about Michael Carrington by visiting his Instagram account or checking out the Tier 1 Credit Specialist website.

Published April 17th, 2021



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Does Having a Bank Account With an Issuer Make Credit Card Approval Easier?

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Better the risk you know than the one you don’t.

When it comes to personal finance, nothing is guaranteed. That goes double for credit. That’s why, no matter how perfect your credit or how many times you’ve applied for a new credit card, there’s always that moment of doubt while you wait for a decision.

Issuing banks look at a wide range of factors when making a decision — and your credit score is only one of them. They look at your entire credit history, and consider things like your income and even your history with the bank itself.

For example, if you defaulted on a credit card with a given bank 15 years ago, that mistake is likely long gone from your credit reports. To you and the three major credit bureaus, it is ancient history. But banks are like elephants — they never forget. And that mistake could be enough to stop your approval.

But does it go the other way, too? Does having a bank account that’s in good standing with an issuer make you more likely to get approved? While there’s no clear-cut answer, there are a few cases when it could help.

A good relationship may weigh in your favor

Credit card issuers rarely come right out and say much about their approval processes, so we often have to rely on anecdotal evidence to get an idea of what works. That said, you can find a number of stories of folks who have been approved for a credit card they were previously denied for after they opened a savings or checking account with the issuer.

These types of stories are more common at the extreme ends of the card range. If you have a borderline bad credit score, for instance, having a long, positive banking history with the issuer — like no overdrafts or other problems — may weigh in your favor when applying for a credit card. That’s because the bank is able to see that you have regular income and don’t overspend.

Similarly, a healthy savings or investment account with a bank could be a helpful factor when applying for a high-end rewards credit card. This allows the bank to see that you can afford its product and that you have the type of funds required to put some serious spend on it.

Having a good banking relationship with an issuer can be particularly helpful when the economy is questionable and banks are tightening their proverbial pursestrings. When trying to minimize risk, going with applicants you’ve known for years simply makes more sense than starting fresh with a stranger.

Some banks provide targeted offers

Another way having a previous banking relationship with an issuer can help is when you can receive targeted credit card offers. These are sort of like invitations to apply for a card that the bank thinks will be a good fit for you. While approval for targeted offers is still not guaranteed, some types of targeted offers can be almost as good.

For example, the only confirmed way to get around Chase’s 5/24 rule (which is that any card application will be automatically denied if you’ve opened five or more cards in the last 24 months) is to receive a special “just for you” offer through your online Chase account. When these offers show up — they’re marked with a special black star — they will generally lead to an approval, no matter what your current 5/24 status.

Credit unions require membership

For the most part, you aren’t usually required to have a bank account with a particular issuer to get a credit card with that bank. However, there is one big exception: credit unions. Due to the different structure of a credit union vs. a bank, credit unions only offer their products to current members of the credit union.

To become a member, you need to actually have a stake in that credit union. In most cases, this is done by opening a savings account and maintaining a small balance — $5 is a common minimum.

You can only apply for a credit union credit card once you’ve joined, so a bank account is an actual requirement in this case. That said, your chances of being approved once you’re a member aren’t necessarily impacted by how much money you have in the account.

In general, while having a bank account with an issuer may be helpful in some cases, it’s not a cure-all for bad credit. Your credit history will always have more impact than your banking history when it comes to getting approved for a credit card.

For more information on bad credit, check out our guide to learn how to rebuild your credit.

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