For those immigrating to the US, managing expenses while adjusting to a new life in a new country is challenging. From setting up your bank accounts to choosing the right credit card — you’ll navigate a sea of options. But we’re here to help! If you’ve been meaning to apply for a credit card in the US, you should understand what sort of perks it offers. Whether it’s the rewards and payment policy or general acceptability and security management — it’s best recommended to go through the nature of the card before applying for one.
Luckily for you, we’ve done plenty of research. And without further ado, let’s check out the best credit cards for Indian immigrants.
Discover It Secured: Discover It Secured is one of the best credit cards for Indian immigrants as it also helps build a credit history. You can opt for this credit card by paying a refundable security deposit, and this credit card reports your credit history to three major credit bureaus (Equifax, Experian, and TransUnion). If you’re keen on bolstering your credit history, start here.
While you can earn 2% cash back while filling gas or grabbing a meal at restaurants — Discover It Secured also offers 1% cash back on other purchases. Discover IT Secured takes around $200 as a security deposit which also serves as your credit limit. However, if you meet certain guidelines, pay your bills on time, etc., — you’re eligible for an unsecured card.
APR: 22.99% (variable)
Why Discover IT Secured?
- It charges zero annual fees and no foreign transaction fees.
- Discover automatically reviews accounts after eight months of usage to check if you’re a good fit for a standard unsecured card; your security deposit is also refunded then.
- You can solidify your credit history with three credit bureaus.
- Discover IT Secured is accepted at most places that take credit cards.
- Another noteworthy feature: if your SSN is misused or used on risky websites or portals, it alerts you.
Cons:
- Paying the minimum security deposit may not be possible for everyone.
- Their low credit limit can slow down your credit building journey.
- High regular purchase APR could cost you more interest.
Zolve: For immigrants and international students arriving in the US — Zolve is perhaps a savior in disguise. Their credit card requires no security deposit, and for those without a credit history, it’s fairly simple to build one with Zolve. You don’t even need an SSN to obtain a credit card, and the best part is you can apply for a bank account and credit card before leaving India. Plus, Zolve sends in your credit history to the three credit bureaus to help establish a credit score.
APR: Zero for the first six months; around 14.99% variable (11.74% + WSJ Prime Rate) after those six months
Why Zolve?
- Zolve charges zero annual fees and no foreign exchange fees.
- Doesn’t charge any security deposit.
- It’s a pre-approved credit card so, you can skip the hassle of applying for a credit card after landing in the US.
- Gives timely tips on enhancing your FICO store too.
- While Zolve doesn’t charge you for the first late payment fee, it sends you alerts and payment reminders, which helps maintain your credit score.
- Offers rewards on partner stores and popular stores.
- Everything can be easily managed from within the app.
Cons:
- It offers mobile-only services which may not be accessible to some people.
- Currently only available in limited territories.
At the moment, they have an introductory offer that lets you gain maximum benefits out of their credit card with zero interest rate for the first six months.
Jasper: If you’ve just arrived in the US, Jasper’s Mastercard is one of the best choices for you. While you don’t need an SSN to apply for this credit card, you do have to turn in your SSN within two months of the card activation. You receive a cash back of around 1% to 6% across your purchases, and you can also earn cash back with their friends’ referral program. And the best part? It offers a credit limit of up to $15K.
APR: 15.49% – 24.99%
Why Jasper?
- Zero annual fees and zero foreign exchange fee.
- You don’t have to pay any security deposit.
- It works like any regular Mastercard.
- Jasper sends out notifications and payment reminders.
- You can set up auto payment debits, etc., to better manage your finances; this also helps improve your credit history as all the payments are made on time.
Cons:
- Their approval takes longer than conventional processes
- They have a low cash back rate of 1%
- Due to its mobile-only business model, their services are limited to people with smartphones.
- They also do not have any special intro offers for APR
Petal 2 Visa Card: Petal 2 is yet another credit card suitable for Indian immigrants in the US. This Visa card offers cash backs on pretty much every purchase, and you can make around 2% to 10% cash backs when you shop from its partner stores. Issued by WebBank, Member FDIC — Petal looks at your bank account history (income, savings, debts, etc.) to evaluate if you’re worthy of credit. Once issued, you can build a credit score with this card. Also, you can submit a pre-approval request for a Petal 2 card.
APR: 12.99% to 26.99% (variable)
Why Petal 2 Visa Card?
- Charges zero annual fees and zero foreign transaction fees.
- Offers a credit limit of up to $10,000.
- Petal lets you check the status of your pre-approved request without affecting your credit score.
- It’s easy to set up auto payments with Petal.
- You can manage your payments, plan your budget, access credit score, etc., from within the mobile app.
Cons:
- No special intro offers for APR
- Cash advances and balance transfer options are not available.
- Applicants with a damaged credit history may not qualify.
Capital One Secured Mastercard: Capital One’s Secured Mastercard is a popular choice amongst immigrants in the US because its security deposit begins at as low as $49. While it also has deposit plans at $99 and $200, this is a refundable minimum security deposit that is automatically refunded if you maintain your credit score for six months. This card lets you add an authorized user, and it offers fraud coverage as well.
APR: 26.99% variable
Why Capital One Secured Mastercard?
- Zero annual fees and zero foreign transaction fees.
- You can check if you’re pre-approved without affecting your credit score.
- You can set up autopayments to ensure you’re paying your bills on time, thereby enhancing your credit score.
- This card lets you monitor your credit score with its feature, CreditWise, without affecting your credit score.
- It lets you pay for your online purchases with virtual card numbers.
- Based on your credit score, you can be considered for a higher credit line in six months.
Cons:
- They have a high 26.99% variable APR
- Their approval process takes longer
- They don’t have a rewards program on any of their cards.
First Progress Platinum Prestige Mastercard Secured Credit Card: First Progress’s secured Mastercards are great for those without any credit history in the US. Particularly if the intention is to build a credit score! First Progress reports your credit score to the three credit bureaus monthly; it has three types of credit cards, and if you’re eligible for one, you might be eligible for the other two as well. However, Prestige Mastercard Secured Credit Card has the lowest APR for purchases, making it quite an affordable maintenance. The annual fee, however, begins at $49 and it charges a foreign transaction fee of 3% of the transaction amount.
APR: 9.99% (variable); 18.99% (variable) for Cash Advances
Why First Progress?
- It’s great for re-establishing a solid credit score.
- This card works completely like a standard credit card and is accepted across the US.
- You don’t need any minimum credit score to apply for it.
- Quick processing.
Cons:
- Charges an annual fee
- Does not offer reward programs which may come in handy for many people.
- Cannot eventually graduate to a fully secured version of the card.
