The Best Starter Credit Card with Each Major Issuer
The credit card rewards hobby has been very fruitful for me and many of you. But once in a while, I jealously look at those new in the hobby and the seemingly endless possibilities they have. So much has improved since I started – the growing variety of cards and greatly increased earning rates are just two examples. Where would I start with new cards if I was jumping fresh into the hobby with Amex, Chase, and Citi? Today, I’m describing what I think is the best starter credit card with each major issuer (in no particular order).
Some Of These Offers May Have Ended Or Changed
Chase Freedom Flex Mastercard
Let’s start out with the main features of the Chase Freedom Flex, followed by my take.
- Welcome Offer: Earn a $200 bonus after you spend $500 on purchases in your first 3 months from account opening.
- Earn 5% cash back on up to $1.5k in combined purchases in bonus categories each quarter you activate.
- Earn 5% on travel purchased through Chase, 3% on dining at restaurants and drugstores, and 1% on all other purchases.
- No annual fee.
- 0% Intro APR for 15 months from account opening on purchases.
- Learn More
My Take
Yes, the welcome offer with 5% back on grocery earning recently ended on the Chase Freedom Flex, but it’s still the standout starter credit card with Chase in my view. The $200 cash back after $500 minimum spend is an excellent return that credit card newbies should easily achieve. Years ago when I got my first Freedom card, the welcome offer was only $100! While cardholders enjoy the ability to immediately cash out their rewards, they can maintain the flexibility to transfer them to Ultimate Rewards points once they obtain a premium Chase card like the Chase Sapphire Preferred, Chase Sapphire Reserve, or Chase Ink Preferred. Plus, Chase has historically offered generous quarterly categories for obtaining 5% cash back.
With the Flex’s introduction, cardholders can now earn 3% back on dining and at drugstores, opening up even more possibilities for bonus point earning. All of this comes from a card with no annual fee! Chase provides those starting out in the hobby with a safe space to learn about credit card rewards and the Chase card ecosystem, all while enabling rewards compatibility as they grow in their Chase card relationships. Plus, the Flex is probably the no-brainer of all long-term keeper cards out there today. And a 0% intro APR for 15 months is icing on the cake!
Hilton Honors American Express Surpass Card
American Express Surpass card features:
- Welcome Offer: Earn 150k Hilton Honors Bonus Points with the Hilton Honors American Express Surpass card after you use your new card to make $2k in eligible purchases within the first 3 months of card membership.
- Earn a $150 statement credit after your first purchase.
- Earn a weekend night reward from Hilton Honors after you spend $15k on purchases on your card in a calendar year.
- Cardholders earn 12X Hilton Honors bonus points for each dollar of eligible purchases charged on your card directly with a hotel or resort within the Hilton portfolio.
- Earn 6X Hilton Honors bonus points for each dollar of eligible purchases on your Card at U.S. restaurants, U.S. supermarkets, and U.S. gas stations.
- Earn 3X Hilton Honors Bonus Points for all other eligible purchases on your Card.
- Hilton Honors Gold Elite Status.
- Spend $40k on eligible purchases on your Card in a calendar year and you can earn Hilton Honors Diamond status through the end of the next calendar year.
- $95 annual fee.
- Learn More
My Take
It may seem unorthodox to choose a co-branded product as one of the best starter cards. But the value that those new to the hobby can obtain from the American Express Surpass is undeniable. The 150k point welcome offer, achievable with just $2k spend, is enough for a five night stay at preferred properties across Hilton hotel lines. That’s easily worth several hundred bucks. Plus, with focused $15k spending on the card annually, cardholders get a free weekend night. This weekend night can be used at the vast majority of properties with only a few exceptions.
Cardholders earn at a healthy 6x rate in the broad categories of US restaurants, US supermarkets, and gas stations. Also, cardholders earn at a strong 12x rate at all Hilton properties. Earning at 3x everywhere else isn’t amazing, but it’s still a solid way to contribute to a future redemption goal. Not to be forgotten is that cardholders are automatically given Hilton Honors Gold elite status with the Surpass. In my opinion, Hilton Gold is the most valuable mid-tier elite status amongst hotels. Hello, free breakfast – my favorite is at the Hilton Garden Inn line. While probably not a high goal of those new to the credit card hobby, one can spend his/her way to top-tier Diamond status with the Surpass, as well. The card comes with a modest $95 annual fee, but in my experience the benefits clearly outweigh this cost, especially in the first year.
Citi Premier
The Citi Premier card features:
- Welcome Offer: Earn 60k bonus ThankYou points after you spend $4k in purchases within the first 3 months of account opening.
- Earn 3 points at supermarkets, restaurants, gas stations, air travel and hotels.
- Earn 1 Point per $1 spent on all other purchases.
- $100 Annual Hotel Savings Benefit.
- $95 Annual Fee.
My Take
The Citi Premier is clearly one of the best starter credit cards available today. The $4k spend requirement to obtain 60k ThankYou points is a bit heftier than the other two cards, but so are the rewards. This is the only starter card I’ve mentioned which immediately allows transfer to travel partners. Also, cardholders can redeem for gift cards at a value of one cent per point.
New hobbyists can enjoy the simple bonus earning structure: 3x on supermarkets, restaurants, gas stations, air travel, and hotels. While these are all great categories, the Premier clearly shines in the supermarket category. It’s the only transferrable points card across the major issuers with supermarkets as a no capped bonus category, and it’s 3x! The new $100 annual hotel savings benefit is surprisingly useful, as well. Yes, the 25% extra value for ThankYou portal redemptions is ending in April, but the majority of cardholders will find solid redemption values elsewhere. This card also has no foreign transaction fees, so it’s a great way to earn during travel outside the US. Similar to the Surpass, cardholders can easily justify the $95 annual fee the first cardmember year.
Best Starter Credit Card Options – Conclusion
These cards are my clear favorites in the best starter credit card category. Of course, ensure to factor in the various issuers’ application rules, such as Chase’s 5/24 and Amex’s once per lifetime rules, before deciding which to apply for first. Also, consider that the three cards do have some competing bonus earning categories. For instance, depending on your situation and goals, you may want to spend on groceries with the Surpass or the Premier, but not simultaneously. Alternatively, consider strategically staggering your new card applications across different cardmember years to mitigate. Regardless, there are ample opportunities for new hobbyists to easily achieve great rewards. Have fun setting and reaching your goals!
Are any of the above your favorite starter card? What other starter cards have you enjoyed?
Chase Sapphire Preferred® Card
Chase Sapphire Preferred® Card is the old king of travel rewards cards. Right now
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Learn more about this card and its features!
Opinions, reviews, analyses & recommendations are the author’s alone, and have not been reviewed, endorsed or approved by any of these entities.
I think the Wells Fargo Propel is an underrated card, especially as a starter card. Although the sign-up bonus has been better historically, 3x cash back on dining, gas, and travel with no annual fee makes the card a keeper for me.
Oh and I’ve gotta give some love to the trusty ‘Discover it’ too!
Andrew P,
Those are also both great starter cards, especially for mid-tier banks.