Credit Cards for Excellent or Good Credit
Many card issuers today are offering outstanding credit cards for those with good or excellent credit. If you've got a FICO credit score of at least 700, you should be in great shape, although credit card providers will evaluate your credit-worthiness prior to approving your application. Credit cards that have the lowest interest rates and the best terms typically require stellar credit. Your credit history may also be used to peg the exact terms and credit limit that will be set for your account once you are actually approved. Shop and compare the credit cards we have below to find the most suitable one for your needs. We offer a great selection of credit cards here for those with a blemish-free credit record.
USAA Rewards™ World MasterCard®
| Intro APR | Intro Period | Regular APR |
| None | N/A | 9.9%-25.9% |
| Annual Fee | Balance Transfers | Credit Needed |
| $0 | Yes | Excellent |
Related Offers:
Business Green Rewards Card from American Express OPEN
| Intro APR | Intro Period | Regular APR |
| None | N/A | N/A [You must pay your balance in full each month] |
| Annual Fee | Balance Transfers | Credit Needed |
| $0 introductory annual fee for the first year, then $95 | N/A | Excellent |
American Express® Premier Rewards Gold Card
| Intro APR | Intro Period | Regular APR |
| None | N/A | N/A [You must pay your balance in full each month] |
| Annual Fee | Balance Transfers | Credit Needed |
| Introductory annual fee of $0 for the first year, then $175 | N/A | Excellent |
The Benefits of Having Good or Excellent Credit
Have excellent credit and a great payment history? Then credit card companies are after your business and are willing to compete for it. While it’s true that the credit crunch of the previous years has credit card companies shedding subprime customers left and right, the credit card business remains a highly lucrative revenue stream. And banks and lenders are of course, looking for reliable customers.
While opening a new line of credit may not be in the cards for some, for those who travel often, who enjoy earning cash back or points that are redeemable for free stuff, or who just want a little leverage when negotiating with their current credit card provider, the benefits of using cards can far outweigh the risks of ending up with more debt.
So, what is an excellent credit and how do you know if you've got it? Your credit score is generally represented by a three digit number known as your FICO score.
- Your FICO score is a complex statistical representation of your credit report, taking into account the number of accounts you have open, your balances in relation to your limits, your payment history, and any public records such as liens, judgments, or bankruptcies.
- FICO scores fall into a range from 300-850. While 60% of Americans have a credit score between 660 and 720, an excellent credit score is considered to be 780 or higher, and a good credit score is defined as having a FICO credit score of 690 or above.
Borrowers with excellent credit enjoy many perks when it comes to credit card products. Excellent credit will afford a borrower:
- Higher credit limits.
- The lowest fees, interest rates and other associated costs.
- Higher value perks such as rewards mileage, higher cash back percentages, and more luxurious “points” catalogs.
- The ability to obtain credit with the credit card company of their choosing.
- The opportunity to leverage the ability to obtain new credit as a way to reduce interest rates and fees on existing credit cards.
A great credit score will give you a better chance of qualifying for any credit card. Getting and keeping a credit score of 690 or above takes work and commitment by the borrower. Some of the factors that figure into that score are:
- Having open and active credit accounts in good standing. You can’t have good or excellent credit if you don’t have any open credit accounts. It seems like an oxymoron, but you have to actually be in debt before you can have good credit. Having an open line of credit can mean that you have a credit card, a mortgage, a car loan, or even a personal loan open in your name. Making your regularly scheduled payments on time every month as well as keeping your account below its assigned limit keeps it in good standing.
- Having a stable income. Many people overlook the fact that having stable employment directly contributes to having a solid credit score. While your credit report does not reflect your pay or employer information, you will be required to divulge that information on your credit application. Plus, it’s extremely difficult to pay your credit obligations without a regular income.
- Staying out of trouble with creditors. People with a positive credit history not only take their credit card debts seriously, but they also maintain all their other bills in good standing as well. This keeps collections accounts, judgments and other negative information off their reports as well.
Having good to excellent credit entitles you to the very best credit card products that card issuers have to offer. Because of this status, you are often inundated with pre-approved offers that may or may not offer you the best deal. You should always compare credit card products side by side and choose the one that offers you the best benefit for the least expense. Why choose a card with poor terms if you qualify for better offers? Borrowers with enviable credit can afford to be choosy.
Take advantage of your excellent credit and ensure that your credit card balances reside on a card that gives you the most for the least amount of expense.
{ 2 comments… read them below or add one }
Borrowers with good credit should strive to maintain their credit rating by selecting cards that make sense. Here’s the scoop — your good credit rating can easily slip if you end up choosing the wrong credit card product. If you slip up even once (as I have), it can cost you thousands of dollars in the long run through increased fees and higher rates on existing accounts, reduced opportunities for good rates on future products and the potential for being denied credit in the future. So yeah, it’s pretty important to make sure your credit stays healthy.
@Adam, those are good points. On that note, I put together some tips to help you maintain your credit rating as you use your credit cards. I’ve shared these ideas before, but it doesn’t hurt to reiterate them.
Only open credit cards with favorable terms. Credit cards that offer high interest rates or excessive maintenance fees in exchange for a few rewards or a higher limit will only cost you money in the long run. Instead of opting to only accept pre-approved offers that come in the mail, compare card products online and choose the card that offers you the benefits you need at the lowest cost you are afforded.
Pay on time, every time. Your good credit score depends on you making your payments on time each month. While it is true that the FICO scoring model takes other factors into consideration, your payment history makes up a full 55% of your score, making it the single most important thing you can focus on. It is also important to note that many credit card lenders will automatically set your interest rate to the default rate after the first late payment you make, sending your finance charges through the roof.
Stay within your credit limit. You should never exceed the established credit limit for your account — this is almost as important as remaining current on your accounts. So minimize the number of credit obligations that have balances that are at or near their credit limits. Exceeding the credit limit on your card signals to your existing lender (as well as future ones) that you are getting in over your head. This represents a risk to the lender, who will respond by raising your rates, lowering your limits and even refusing to establish a line of credit for you.
Use credit cards responsibly. Credit cards can be a very effective financial tool, allowing you the luxury of paying for larger ticket items over time or providing financing in the event of an emergency. Using credit cards irresponsibly not only prevents you from having access to a credit line when you truly need it, but can also damage your good credit in the event you find yourself in a difficult financial situation. By only using credit cards for purchases and expenses that are truly necessary or are properly planned, you can ensure that your cards will always be available when you need them.
Your credit score will demonstrate to a card company how seriously you take your financial obligations. The higher the score, the less risk you represent to the company and the more likely you’ll be able to land yourself a card with favorable features.