Question 1

What is the best credit card for beginners?

Accepted Answer

For beginners, we recommend cards with no annual fee and straightforward cashback rewards, such as Chase Freedom Unlimited or Discover it Cash Back. These cards are easier to get approved for and help build credit history.

Question 2

How do credit card sign-up bonuses work?

Accepted Answer

Sign-up bonuses are rewards you earn after meeting a minimum spending requirement within a specified time period, usually 3 months. For example, spend $4,000 in 3 months to earn 60,000 points worth $750+ in travel.

Question 3

What is the Chase 5/24 rule?

Accepted Answer

The 5/24 rule means Chase will automatically decline your application if you have opened 5 or more personal credit cards from any issuer in the past 24 months. This applies to most Chase cards including Sapphire and Freedom cards.

Question 4

Should I pay an annual fee for a credit card?

Accepted Answer

Annual fee cards are worth it if the benefits exceed the cost. For example, a $95 annual fee card offering $300+ in travel credits and bonus categories can provide significant net value for active users.