WalletHub's proprietary 100-point credit card rating system evaluates cards for each major cardholder "need" the card is applicable to - from building credit to maximizing rewards. More specifically, we identified 22 different cardholder needs that are representative of different users' financial priorities and behaviors. Given that each group has different goals and is likely to use their credit cards differently, they have been scored differently, using different metrics. When a card meets eligibility criteria for two or more needs, it is scored for all needs and these scores are then averaged.
To evaluate each need, WalletHub uses 16 key metrics grouped into seven categories: Fees, Rewards, Two-year Cost, Interest Rates, Approval Requirements, Special Features, and Reviews. Each metric has a maximum number of points allocated to it, based on the metric's importance as determined by our editors, and the points are then added up for each card to create an overall rating with a maximum score of 100 points.
Ratings for each category reflect how close a credit card offer is to WalletHub's definition of a 5-star credit card, which is based on market conditions and what we believe are reasonable terms. We compare credit card offers to that standard to give a numerical approximation of how reasonable and competitive the credit card is compared to others.
Below, please find a high-level version of the
scoring rubric used to evaluate credit card offers and produce WalletHub's credit card ratings by cardholder need. Please also keep the following notes in mind.
- All metrics for which we are not able to find data receive a score of "N/A". If a metric receives a rating of N/A, it is subtracted from the maximum point total.
- When fees or other terms are presented as a range, we use the midpoint for scoring purposes.
- Two-year Cost is calculated by combining annual and monthly membership fees over two years, adding any one-time fees or other fees (like balance transfer fees), adding any interest costs, and subtracting rewards. Negative amounts indicate savings. Scores are assigned linearly, with the lowest costs/most savings receiving the most points.
- Rewards bonuses and credits have been taken into account for two-year cost calculations. However, bonuses applicable to only a very small portion of cardholders are not considered. For example, credits and bonuses awarded for spending or redeeming rewards through a company portal with non-co-branded cards have not been taken into account. Similarly, bonuses and credits related to spending with specific merchants using an otherwise generic, non-co-branded card have not been taken into account (for example if Card A offered credits with DoorDash, this has not been included because it is hard to assess how many cardholders would be using this benefit or if they would use it in full).
- For each cardholder need, we have assumed a specific amount of monthly spending by purchase type (e.g. groceries, gas, etc.), as well as an average balance, balance transfer amount, amount spent on large purchases and average monthly payment. Spending assumptions are based on Bureau of Labor Statistics data for consumers and PEX data for businesses.
- The metric "Special Features" refers to unique perks users receive with the use of their card. They are usually high-end perks offered on elite cards, such as lounge access, free snacks and drinks and free access to hotel amenities.
- If a card cannot be used outside the U.S., it gets 0 points for metrics involving foreign transaction fees.
Scoring Rubrics by "Need"
- Rebuild Damaged Credit
- Rebuild Damaged Credit (Pay in Full Each Month)
- Improving Credit
- Improving Credit (Pay in Full Each Month)
- Student Credit
- Student Credit (Pay in Full Each Month)
- Rewards
- Travel Rewards
- Store Rewards
- Financing New Purchases
- Store Financing New Purchases
- Lower Cost of Existing Debt
- Business - Rebuild Damaged Credit
- Business - Rebuild Damaged Credit (Pay in Full Each Month)
- Business - Improving Credit
- Business - Improving Credit (Pay in Full Each Month)
- Business - Rewards
- Business - Travel Rewards
- Business - Store Rewards
- Business - Financing New Purchases
- Business - Store Financing New Purchases
- Business - Lowering Cost of Existing Debt
Rebuild Damaged Credit
Eligible Cards: Personal credit cards that accept bad credit (excluding charge cards and store cards)
Spending profile used: Average consumer with less than good credit
Fees - up to 15 points
Rewards - up to 52 points
Interest Rates - up to 8 points
- Regular APR - up to 8 points
Approval Requirements - up to 15 points
-
Security Deposit - up to 4 points
-
Minimum Credit Line - up to 3 points
-
Reports to All 3 Major Bureaus - up to 8 points
Reviews - up to 10 points
- User Reviews - up to 10 points
Not considered for this need, as the goal is to rebuild credit at a low cost:
Rebuild Damaged Credit (Pay in Full Each Month)
Eligible Cards: Personal credit cards that accept bad credit (excluding charge cards and store cards)
Spending profile used: Average consumer with less than good credit
Fees - up to 15 points
Rewards - up to 52 points
Interest Rates - up to 8 points
Approval Requirements - up to 15 points
-
Security Deposit - up to 4 points
-
Minimum Credit Line - up to 3 points
-
Reports to All 3 Major Bureaus - up to 8 points
Reviews - up to 10 points
Not considered for this need, as the goal is to rebuild credit at a low cost:
Improving Credit
Eligible Cards: Personal credit cards that accept no credit on fair credit (excluding charge cards)
Spending profile used: Average consumer with less than good credit
Fees - up to 10 points
Rewards - up to 57 points
Interest Rates - up to 13 points
-
Regular APR - up to 8 points
-
Intro APR on Purchases - up to 3 points
-
Deferred Interest - up to 2 points
Approval Requirements - up to 10 points
-
Security Deposit - up to 2 points
-
Minimum Credit Line - up to 3 points
-
Reports to All 3 Major Bureaus - up to 5 points
Reviews - up to 10 points
Not considered for this need, as the goal is to improve credit at a low cost:
Improving Credit (Pay in Full Each Month)
Eligible Cards: Personal credit cards that accept no credit on fair credit (excluding charge cards)
Spending profile used: Average consumer with less than good credit
Fees - up to 10 points
Rewards - up to 57 points
Interest Rates - up to 13 points
-
Regular APR - up to 8 points
-
Intro APR on Purchases - up to 3 points
-
Deferred Interest - up to 2 points
Approval Requirements - up to 10 points
-
Security Deposit - up to 2 points
-
Minimum Credit Line - up to 3 points
-
Reports to All 3 Major Bureaus - up to 5 points
Reviews - up to 10 points
Not considered for this need, as the goal is to improve credit at a low cost:
Student Credit
Eligible Cards: Student credit cards that accept no credit or fair credit
Spending profile used: Student
Fees - up to 7 points
Rewards - up to 64 points
-
Ongoing Rewards Value (2-year average) - up to 10 points
-
Initial Bonus - up to 4 points
-
Two-year Cost - up to 50 points
Interest Rates - up to 11 points
Approval Requirements - up to 8 points
Reviews - up to 10 points
Not considered for this need, as the goal is to help students build their credit at a low cost:
Student Credit (Pay in Full Each Month)
Eligible Cards: Student credit cards that accept no credit or fair credit
Spending profile used: Student
Fees - up to 7 points
Rewards - up to 64 points
-
Ongoing Rewards Value (2-year average) - up to 10 points
-
Initial Bonus - up to 4 points
-
Two-year Cost - up to 50 points
Interest Rates - up to 11 points
Approval Requirements - up to 8 points
Reviews - up to 10 points
Not considered for this need, as the goal is to help students build their credit at a low cost:
Rewards
Eligible Cards: Personal credit cards or charge cards that accept good or excellent credit and offer rewards (excluding store cards)
Spending profile used: Average consumer
Fees - up to 12 points
Rewards - up to 75 points
-
Ongoing Rewards Value (2-year average) - up to 17 points
-
Initial Bonus - up to 8 points
-
Two-year Cost - up to 50 points
Special Features - up to 3 points
Reviews - up to 10 points
Not considered for this need, as the goal is to pay the balance in full monthly in order to maximize rewards:
Travel Rewards
Eligible Cards: Personal credit cards or charge cards that accept good or excellent credit and offer rewards on travel (excluding store cards)
Spending profile used: Traveler
Fees - up to 12 points
Rewards - up to 75 points
-
Ongoing Rewards Value (2-year average) - up to 17 points
-
Initial Bonus - up to 8 points
-
Two-year Cost - up to 50 points
Special Features - up to 3 points
Reviews - up to 10 points
Not considered for this need, as the goal is to pay the balance in full monthly in order to maximize rewards:
Store Rewards
Eligible Cards: Personal store credit cards or charge cards that accept good or excellent credit and offer rewards
Spending profile used: Average consumer usage on a store card
Fees - up to 12 points
Rewards - up to 75 points
-
Ongoing Rewards Value (2-year average) - up to 17 points
-
Initial Bonus - up to 8 points
-
Two-year Cost - up to 50 points
Special Features - up to 3 points
Reviews - up to 10 points
Not considered for this need, as the goal is to pay the balance in full monthly in order to maximize rewards:
Financing New Purchases
Eligible Cards: Personal credit cards that accept good or excellent credit and offer intro APR on new purchases (excluding store and charge cards)
Spending profile used: One big purchase ($5,000) followed by fixed monthly payments ($225) for 24 months with no other monthly spending.
Fees - up to 10 points
Rewards - up to 50 points
Interest Rates
-
Regular APR - up to 8 points
-
Intro APR on Purchases - up to 10 points
-
Deferred Interest - up to 5 points
Reviews - up to 10 points
Not considered for this need, as the goal is to take advantage of an intro APR for one large purchase:
-
Total One-time Fees
-
Ongoing Rewards Value (2-year average)
-
Initial Bonus
-
Intro APR on Balance Transfers
-
Balance Transfer Fee
-
Security Deposit
-
Minimum Credit Line
-
Reports to all 3 major bureaus
-
Special Features
Store Financing New Purchases
Eligible Cards: Personal store credit cards that accept good or excellent credit and offer intro APR on new purchases (excluding charge cards)
Spending profile used: One big purchase ($2,500) followed by fixed monthly payments ($113) for 24 months, with no other spending.
Fees - up to 10 points
Rewards - up to 50 points
Interest Rates
-
Regular APR - up to 8 points
-
Intro APR on Purchases - up to 10 points
-
Deferred Interest - up to 5 points
Reviews - up to 10 points
- User Reviews - up to 10 points
Not considered for this need, as the goal is to take advantage of an intro APR for one large purchase:
-
Total One-time Fees
-
Ongoing Rewards Value (2-year average)
-
Initial Bonus
-
Intro APR on Balance Transfers
-
Balance Transfer Fee
-
Security Deposit
-
Minimum Credit Line
-
Reports to all 3 major bureaus
-
Special Features
Lower Cost of Existing Debt
Eligible Cards: Personal credit cards that accept good or excellent credit and offer an intro APR on balance transfers (excluding store and charge cards)
Spending profile used: One balance transfer ($5,000) followed by fixed monthly payments ($225) for 24 months, with no other spending.
Fees - up to 10 points
Rewards - up to 50 points
Interest Rates - up to 28 points
-
Regular APR - up to 8 points
-
Intro APR on Balance Transfers - up to 10 points
-
Balance Transfer Fee - up to 10 points
Reviews - up to 10 points
Not considered for this need, as the goal is to take advantage of an intro APR for a balance transfer:
Business - Rebuild Damaged Credit
Eligible Cards: Business credit cards that accept bad credit (excluding charge cards and store cards)
Spending profile used: Average business with less than good credit
Fees - up to 15 points
Rewards - up to 52 points
Interest Rates - up to 8 points
Approval Requirements - up to 15 points
-
Security Deposit - up to 4 points
-
Minimum Credit Line - up to 3 points
-
Reports to All 3 Major Bureaus - up to 8 points
Reviews - up to 10 points
Not considered for this need, as the goal is to rebuild credit at a low cost:
Business - Rebuild Damaged Credit (Pay in Full Each Month)
Eligible Cards: Business credit cards that accept bad credit (excluding charge cards and store cards)
Spending profile used: Average business with less than good credit
Fees - up to 15 points
Rewards - up to 52 points
Interest Rates - up to 8 points
Approval Requirements - up to 15 points
-
Security Deposit - up to 4 points
-
Minimum Credit Line - up to 3 points
-
Reports to All 3 Major Bureaus - up to 8 points
Reviews - up to 10 points
Not considered for this need, as the goal is to rebuild credit at a low cost:
Business - Improving Credit
Eligible Cards: Business credit cards that accept no credit on fair credit (excluding charge cards)
Spending profile used: Average business with less than good credit
Fees - up to 10 points
Rewards - up to 57 points
Interest Rates - up to 13 points
-
Regular APR - up to 8 points
-
Intro APR on Purchases - up to 3 points
-
Deferred Interest - up to 2 points
Approval Requirements - up to 10 points
-
Security Deposit - up to 2 points
-
Minimum Credit Line - up to 3 points
-
Reports to All 3 Major Bureaus - up to 5 points
Reviews - up to 10 points
Not considered for this need, as the goal is to improve credit at a low cost:
Business - Improving Credit (Pay in Full Each Month)
Eligible Cards: Business credit cards that accept no credit on fair credit (excluding charge cards)
Spending profile used: Average business with less than good credit
Fees - up to 10 points
Rewards - up to 57 points
Interest Rates - up to 13 points
-
Regular APR - up to 8 points
-
Intro APR on Purchases - up to 3 points
-
Deferred Interest - up to 2 points
Approval Requirements - up to 10 points
-
Security Deposit - up to 2 points
-
Minimum Credit Line - up to 3 points
-
Reports to All 3 Major Bureaus - up to 5 points
Reviews - up to 10 points
Not considered for this need, as the goal is to improve credit at a low cost:
Business - Rewards
Eligible Cards: Business credit cards or charge cards that accept good or excellent credit and offer rewards (excluding store cards)
Spending profile used: Average business
Fees - up to 12 points
Rewards - up to 75 points
-
Ongoing Rewards Value (2-year average) - up to 17 points
-
Initial Bonus - up to 8 points
-
Two-year Cost - up to 50 points
Special Features - up to 3 points
Reviews - up to 10 points
Not considered for this need, as the goal is to pay the balance in full monthly in order to maximize rewards:
Business - Travel Rewards
Eligible Cards: Business credit cards or charge cards that accept good or excellent credit and offer rewards on travel (excluding store cards)
Spending profile used: Business traveler
Fees - up to 12 points
Rewards - up to 75 points
-
Ongoing Rewards Value (2-year average) - up to 17 points
-
Initial Bonus - up to 8 points
-
Two-year Cost - up to 50 points
Special Features - up to 3 points
Reviews - up to 10 points
Not considered for this need, as the goal is to pay the balance in full monthly in order to maximize rewards:
Business - Store Rewards
Eligible Cards: Business store credit cards or charge cards that accept good or excellent credit and offer rewards
Spending profile used: Average business usage on a store card
Fees - up to 12 points
Rewards - up to 75 points
-
Ongoing Rewards Value (2-year average) - up to 17 points
-
Initial Bonus - up to 8 points
-
Two-year Cost - up to 50 points
Special Features - up to 3 points
Reviews - up to 10 points
Not considered for this need, as the goal is to pay the balance in full monthly in order to maximize rewards:
Business - Financing New Purchases
Eligible Cards: Business credit cards that accept good or excellent credit and offer intro APR on new purchases (excluding store and charge cards)
Spending profile used: One big purchase ($23,500) followed by fixed monthly payments ($900) for 24 months with no other monthly spending.
Fees - up to 10 points
Rewards - up to 50 points
Interest Rates
-
Regular APR - up to 8 points
-
Intro APR on Purchases - up to 10 points
-
Deferred Interest - up to 5 points
Reviews - up to 10 points
Not considered for this need, as the goal is to take advantage of an intro APR for one large purchase:
-
Total One-time Fees
-
Ongoing Rewards Value (2-year average)
-
Initial Bonus
-
Intro APR on Balance Transfers
-
Balance Transfer Fee
-
Security Deposit
-
Minimum Credit Line
-
Reports to All 3 Major Bureaus
-
Special Features
Business - Store Financing New Purchases
Eligible Cards: Business store credit cards that accept good or excellent credit and offer intro APR on new purchases (excluding charge cards)
Spending profile used: One big purchase ($11,750) followed by fixed monthly payments ($450) for 24 months with no other monthly spending.
Fees - up to 10 points
Rewards - up to 50 points
Interest Rates
-
Regular APR - up to 8 points
-
Intro APR on Purchases - up to 10 points
-
Deferred Interest - up to 5 points
Reviews - up to 10 points
Not considered for this need, as the goal is to take advantage of an intro APR for one large purchase:
-
Total One-time Fees
-
Ongoing Rewards Value (2-year average)
-
Initial Bonus
-
Intro APR on Balance Transfers
-
Balance Transfer Fee
-
Security Deposit
-
Minimum Credit Line
-
Reports to All 3 Major Bureaus
-
Special Features
Business - Lowering Cost of Existing Debt
Eligible Cards: Business credit cards that accept good or excellent credit and offer intro APR on balance transfers (excluding store and charge cards)
Spending profile used: One balance transfer ($23,500) followed by fixed monthly payments ($900) for 24 months with no other monthly spending.
Fees - up to 10 points
Rewards - up to 50 points
Interest Rates - up to 28 points
-
Regular APR - up to 8 points
-
Intro APR on Balance Transfers - up to 10 points
-
Balance Transfer Fee - up to 10 points
Reviews - up to 10 points
Not considered for this need, as the goal is to take advantage of an intro APR for a balance transfer:
