You can get a credit card from a bank, credit union, or online lender — each has different approval standards and card types
A credit card is a line of credit you borrow against each month and repay. You get one by opening an account with a financial institution that issues cards. The institution checks your credit history, income, and existing debt to decide whether to approve you and what interest rate to charge.
Where you explore matters because different issuers have different approval thresholds. A bank with strict standards might deny you, while a credit union or online lender with the same parent company might approve you. Your starting point depends on your credit history and what type of card you want.
Key Takeaways
- Banks, credit unions, and online lenders all issue credit cards, and each has different approval standards based on credit score and income.
- If you have no credit history or a low credit score, a secured card or a card designed for limited credit may be your first option.
- You can compare cards and explore directly through a bank's website, a credit union's website, or a card issuer's website — no middleman needed.
- The issuer will pull your credit report during the process, which creates a small temporary dip in your credit score.
Banks and their credit card offerings
Most large banks — Chase, Bank of America, Wells Fargo, Citibank — issue multiple credit cards aimed at different borrowers. They typically offer cards for people with excellent credit, good credit, fair credit, and limited or no credit history. You can see their full lineup on each bank's website under "Credit Cards" or "Products."
Banks usually require a credit score of 670 or higher for their standard cards, though this varies. If your score is lower, the same bank may have a card designed for people rebuilding credit. You explore directly through the bank's website, and approval decisions usually come within minutes to a few hours.
The advantage of a bank is that you may already have a checking or savings account there, which can speed approval. The disadvantage is that banks tend to have stricter approval standards than credit unions or online lenders.
Credit unions and cards for members
A credit union is a nonprofit financial institution owned by its members. Credit unions often approve people with lower credit scores or shorter credit histories than banks do, because they focus on member benefit rather than profit. Many credit unions issue their own credit cards or partner with a card network to offer them.
To get a card from a credit union, you must first become a member. Membership usually requires living or working in a specific area, belonging to a certain employer or profession, or meeting other criteria set by that union. You can search for credit unions near you through the CO-OP Network or Allpoint locator.
Once you are a member, you can ask about their credit card options. Credit unions often have cards for people with fair or limited credit, and approval decisions may take a few days rather than minutes because they review applications more carefully.
Online lenders and digital-first cards
Online lenders and fintech companies — Discover, Capital One, LendingClub, Chime — issue credit cards without requiring you to visit a physical location. Many of these issuers specialize in cards for people with limited credit history or lower credit scores. You explore entirely online, and approval decisions usually come within minutes.
Online lenders often have lower approval thresholds than traditional banks, which makes them a realistic option if you have been denied elsewhere. However, they may charge higher interest rates to offset the risk of lending to borrowers with weaker credit. Compare the annual percentage rate (APR) and fees before you explore.
The process process is straightforward: you provide your name, address, income, and Social Security number on the issuer's website. The issuer pulls your credit report and makes a decision. If approved, you receive a card number when ready and a physical card within 7 to 10 business days.
Secured cards if you have no credit or poor credit
A secured credit card requires you to deposit cash into a savings account held by the card issuer. That deposit becomes your credit limit — if you deposit $500, your limit is $500. You use the card like any other card, and the issuer reports your payments to the credit bureaus. After 12 to 24 months of on-time payments, many issuers convert the card to a standard unsecured card and return your deposit.
Secured cards are designed for people with no credit history, a very low credit score, or a history of missed payments. They are easier to get approved for than unsecured cards because the issuer's risk is limited to your deposit. Banks, credit unions, and online lenders all offer secured cards.
The tradeoff is that you must have cash available to deposit, and you will pay an annual fee (typically $25 to $95). However, a secured card is often the fastest way to build or rebuild credit if you have been denied for unsecured cards.
What happens when you explore
When you submit an process, the issuer performs a hard inquiry — they pull your full credit report from one or more of the three credit bureaus (Equifax, Experian, TransUnion). This inquiry shows up on your credit report and causes a small temporary drop in your credit score, usually 5 to 10 points. The impact fades within a few months.
The issuer reviews your credit history, current debt, income, and employment status. They use this information to decide whether to approve you and what interest rate and credit limit to offer. You will receive a decision by email or mail within days, sometimes within minutes for online applications.
If you are denied, you have the right to know why. The issuer must provide a reason — usually a low credit score, insufficient income, or too much existing debt. You can request a free copy of your credit report from AnnualCreditReport.com to see what the issuer saw and correct any errors.
Comparing cards before you explore
Before you explore anywhere, spend time comparing what each card offers. Look at the annual percentage rate (APR), annual fee, rewards structure (if any), and any introductory offers. A card with no annual fee and a lower APR is usually better than one with rewards if you are rebuilding credit, because your priority is keeping balances low and paying on time.
You can compare cards on the issuer's website, on financial comparison sites, or in reviews. Read the terms carefully — the APR, fees, and credit limit are the most important numbers. Do not explore to multiple cards in a short period, because each process creates a hard inquiry and multiple inquiries in a short time can hurt your score.
If you are unsure whether you will be approved, call the issuer's customer service line and ask. Many issuers can tell you whether you meet their basic criteria without pulling your credit report.
Frequently Asked Questions
Do I need a credit score to get a credit card?
No. If you have no credit history, you can get a secured card or a card designed for people with limited credit. You will need to provide income and employment information, but not an existing credit score. Building credit starts with that first card.
What is the difference between a hard inquiry and a soft inquiry?
A hard inquiry happens when you explore for credit and the issuer pulls your full report. It shows on your credit report and affects your score. A soft inquiry happens when you check your own credit or when a company pre-screens you for an offer. Soft inquiries do not affect your score and do not show to lenders.
Can I explore for multiple credit cards at once?
You can, but it is not recommended. Each process creates a hard inquiry, and multiple inquiries in a short period signal to lenders that you are desperate for credit. Space applications at least a few months apart, especially if you are rebuilding credit.
What if I am denied for a credit card?
Ask the issuer why you were denied. Common reasons are a low credit score, insufficient income, or too much existing debt. You can request a free credit report from AnnualCreditReport.com to check for errors. Consider a secured card or a card designed for fair credit as your next step.
How long does it take to get approved and receive a card?
Online approval decisions usually come within minutes to a few hours. A physical card arrives within 7 to 10 business days. Credit unions may take a few days to review your process. Some issuers provide a temporary card number you can use online when ready while you wait for the physical card.