Building credit can feel similar to training for a marathon. You need the right gear, an intentional plan, and the discipline to keep moving forward. While not necessarily the same “gear,” building credit often starts with a credit card that is aimed at building or rebuilding your credit history. If you’re a student, an immigrant, or someone bouncing back from financial struggles, 2026 has a wide range of tools that you can utilize to build credit. Offering more transparency and fewer fees, there are a considerable number of paths to build your credit today. This guide will walk you through the best credit cards to build credit in 2026.
Top Picks for Credit Building in 2026
When you're starting or restarting, not all cards are created equal. The best cards for 2026 prioritize low fees, reporting to all three major credit bureaus (Experian, TransUnion, and Equifax), and a clear path to upgrading.
1. The Secured Card Heavyweights
Secured credit cards remain the gold standard for establishing credit. They require a cash deposit that serves as your credit limit, minimizing risk for the issuer while allowing you to prove your reliability.
- Discover it® Secured Credit Card: A perennial favorite because it acts like a rewards card. You earn cash back on gas and dining, and Discover reviews your account starting at seven months to see if you can transition to an unsecured line of credit.
- Capital One Platinum Secured Credit Card: Known for flexibility, this card sometimes allows a refundable deposit lower than your credit limit (e.g., a $49 deposit for a $200 limit), depending on your creditworthiness. It has no annual fee and is a straightforward tool for building history.
2. Credit Builder Cards & Alternative Options
If you can't afford a deposit upfront, or if you want to avoid a hard credit check, 2026 has seen a rise in "fintech" solutions that bridge the gap between debit and credit.
- Chime Credit Builder Secured Visa® Credit Card: There's no annual fee, no interest, and no minimum security deposit. You move money from your Chime checking account to the credit builder account, and that becomes your limit. It's a safe, controlled way to build history.
3. Student Cards
If you are enrolled in college, student credit cards are often the easiest unsecured cards to qualify for.
- Discover it® Student Cash Back: Similar to the secured version but without the deposit, it offers generous rewards and incentives for good grades.
- Capital One Savor One Student Cash Rewards Credit Card: Great for everyday spending on dining and entertainment, with no annual fee.
How to Choose the Right Card for You
With so many options, how do you pick? Focus on these three factors:
- Annual Fees: In 2026, you shouldn't have to pay to build credit. Avoid cards with predatory monthly maintenance fees or high yearly fees unless the rewards significantly outweigh the cost.
- Reporting Policy: Ensure the card reports your payments to all three major credit bureaus. This is non-negotiable. If they don't report, you aren't building credit.
- Upgrade Potential: Look for a card that offers a "graduation" path. You don't want to be stuck with a secured card forever. The best issuers will automatically review your account for an upgrade to an unsecured card after a period of responsible use.
Beyond the Card: The Strategy Matters
While credit cards are the traditional route, they aren't the only tool in your financial toolkit. Proper credit health comes from a strategy that goes beyond simply opening an account.
If you do choose a secured card, you need a clear plan to ensure it works for you, not against you. As we explore in our article, The Best Secured Credit Card to Build Credit Isn't Just About the Card-It's About the Plan, the secret lies in how you manage the deposit and payments, rather than just the plastic in your wallet.
However, if you are wary of high interest rates or the risk of debt, Cheers offers a powerful alternative. Unlike a secured card, where your deposit sits there, Cheers is a credit builder loan that allows you to build credit and savings simultaneously. You make fixed monthly payments into a secure account, reported to the bureaus to build your history, and at the end of the term, you get your money back. It's a disciplined, debt-free way to reach your goals.
The Golden Rules of Credit Building
Whether you use a card, a loan, or both, the rules remain the same:
- Pay on Time, Every Time: Payment history is the single most significant factor in your credit score.¹ Set up autopay for at least the minimum amount to ensure you never miss a deadline.
- Watch Your Utilization: If you are using a credit card, keep an eye on your utilization ratio (the percentage of your limit you use). Aim to keep this below 30% (ideally below 10%) to show lenders you aren't over-reliant on credit.
- Don't Apply for Everything: Every time you apply for a card, it triggers a "hard inquiry," which can temporarily ding your score. Be selective and use only for the cards you are likely to get.
Monitoring Your Progress
Building credit is not a "set it and forget it" task. You need to keep an eye on how your actions are affecting your score. How to Check My Credit Score (and Why It Might Matter More Than You Think) explains that regular monitoring helps you catch errors early and motivates you as you see those numbers climb.
Many of the cards mentioned above provide free access to your FICO® or VantageScore® every month. Take advantage of this. Seeing your score go up is one of the best motivators to keep your financial habits on track.
For a deeper dive into how scoring models work and what specific factors are influencing your unique situation, resources like the MyFICO Blog can be invaluable for understanding the nuances of credit reporting.
The Finish Line
Similar to previous years, 2026 is a great time to take control of your credit and financial history. There are plenty of options to choose from, whether it be a secured card from a major bank or innovative tools in Fintech. The same principles apply to most cards: choose a low-fee option, pay on time, and be mindful of your utilization.
On the other hand, as you start to diversify your credit mix, there are other options that you can add to improve your score. If you’re looking for a structured, disciplined option that helps you save while you build credit, Cheers is here to help. By turning your payments into a nest egg for your future, we have plenty of options that can fit your goals. Ready to toast to a brighter financial future? Join Cheers today and start building credit the smart way.
This content is for informational purposes only and does not constitute financial advice. Please consult a licensed financial advisor or tax professional before making any financial decisions.
(The opinions expressed in this article are the author’s own and do not reflect the view of Sunrise Banks, N.A. Member FDIC.)²
References:
- MyFico Blog - https://www.myfico.com/credit-education/blog
Footnotes
1FICO® Credit Factors:
According to FICO®, 35% of your credit score is based on payment history, and 10% is based on credit mix. Cheers reports every payment and adds a secured installment loan to your profile. Source: myFICO： https://www.myfico.com/credit-education/whats-in-your-credit-score
2Cheers is a financial technology company and not a bank. Banking services are provided by Sunrise Banks N.A. Your funds are FDIC insured up to $250,000 through Sunrise Banks, N.A., Member FDIC. Results are not guaranteed. Improvement in your credit score is dependent on your specific situation and financial behavior. Failure to make monthly minimum payments by the payment due date each month may result in delinquent payment reporting to credit bureaus, which may negatively impact your credit score. This product will not remove negative credit history from your credit report. All loans are subject to approval. Must be at least 18 years old, have a valid U.S. bank account, and a Social Security Number.
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