How does your income affect credit card applications?
When you apply for a credit card, your income is one factor the card issuer uses to decide if it will approve you. A low income won't necessarily stop you from getting a card -- it's simply one item the card issuer considers when evaluating your creditworthiness and eligibility for a card.
Credit card companies are required by law to ask applicants their income on applications. To approve an applicant, the credit card issuer must believe that the person can afford the monthly payments. For that reason, if you have low income and large debt payments, it will be harder to get a new credit card, let alone the best credit card.
If your application is approved, the credit card issuer will also use your income to set a credit limit for your card. Your credit limit is the maximum amount you can spend using the card. Consumers with lower incomes generally receive lower credit limits.
LEARN MORE: How Your Income Affects Credit Card Applications
Is there a minimum income to get a credit card?
There isn't a minimum income required by law to get a credit card. It normally takes an annual income of at least $5,000 to $10,000 to get approved for most cards, but this isn't a rule.
Credit card companies may have their own requirements depending on their policies and the specific card. In general, the best credit cards with more features will require a higher income than basic credit cards without all the bells and whistles.
What can you include as income on a credit card application?
You can include your personal income and income from other sources on a credit card application. Exactly what you can include depends on your age, as there are different rules for applicants under 21 and applicants who are 21 or older. Those who are 21 or older can include the following:
- Income from a job, freelancing, or other independent activities
- A spouse's or partner's income
- Social Security
- Retirement fund distributions
- Trust fund distributions
- Scholarships and grants
If you're under 21, the types of income you can include are more limited. In that case, you can include personal income from work, scholarships, grants, and any allowances you receive. This gives college students without traditional employment other ways to qualify for a student credit card.
LEARN MORE: How to Find a Credit Card for Students With No Income
Can I get a credit card if I'm unemployed?
Yes, you can get a credit card if you're unemployed, but you'll need some form of income or a cosigner. Keep in mind that unemployment benefits count as income for credit card applications. If you're receiving unemployment, you can include that in your income when you apply for a new credit card.
LEARN MORE: Can I Get a Credit Card if I'm Unemployed?
What to look for in a low income credit card
If you're looking for low income credit cards, there are a few different features you may want to look for.
No annual fee: When you're on a tight budget, it helps to keep extra fees to a minimum. This isn't hard at all with credit cards, because there are lots of no annual fee cards available. They can still offer lots of valuable benefits, especially no annual fee cards aimed at consumers in the "good credit" score range. Credit cards with an annual fee can sometimes be worth it, but only if you're able to use all the benefits.
LEARN MORE: Best No Annual Fee Credit Cards
Rewards: Rewards are a bonus you get from your credit card every time you make a purchase. There are different types of rewards available, including cash rewards, points you can use for travel, and airline miles. Cash back is a great choice for a low income card, because it's like getting a small discount on purchases. Some cards earn a flat rate on all types of purchases, while others earn higher rates in bonus categories, such as grocery or gas spending.
LEARN MORE: Best Cash Back Credit Cards
Lenient approval requirements: If you haven't used a credit card before, or you've had some issues with managing credit cards in the past, then you might not have a high credit score. In that case, it's important to find a credit card you can qualify for. Look for cards you can get with limited credit history or cards that are available for consumers with credit scores in the "bad credit" range.
SEE MORE: Best Starter Credit Cards and Best Credit Cards for Bad Credit
Low security deposit (for secured credit cards): Secured credit cards require a refundable security deposit from the cardholder. The deposit provides some protection if the cardholder doesn't pay their credit card bill and allows the card issuer to be more lenient about applicants it approves. You can often find both secured and unsecured credit cards when you have a low credit score, but secured cards are popular for rebuilding credit or building credit for the first time.
If you're looking for a secured card, make sure to check the minimum deposit amount. Some require deposits of $200 or more, but there are also secured cards with minimum deposits of less than $100. Those are a good choice when you don't have too much extra money to spend getting a credit card. Note that your security deposit is often (but not always) your starting credit limit.
LEARN MORE: What Is a Secured Credit Card?
0% intro APR: Credit cards with a 0% intro APR don't charge you interest for an introductory period, such as 15 or 18 months. If you need to carry a balance, this is a valuable offer, considering the high interest rates most credit cards charge. There are two types of 0% APR offers:
- A 0% intro APR on purchases, which you can use to make big purchases and pay them off over time
- A 0% intro APR on balance transfers, which allows you to transfer over your credit card debt and pay it down at no interest
LEARN MORE: A Complete Guide to Balance Transfers
2025 Award Winner
