9 debit cards that build credit without charging interest (2024)

Extra debit card

Extra is a fintech company with banking services backed by its partner banks Evolve Bank & Trust and Patriot Bank, N.A. The Extra Card is a credit-building debit card that works by connecting the card to your existing bank account. The Extra Card's spending limit is based on your linked bank account balance, called your Spend Balance. When you use the card, Extra 'spots' you for the purchase, and then it pays itself back the next business day with your linked bank account.

At the end of the month, Extra totals up your transactions and reports the payments to Experian and Equifax, which help build your credit history. But it's not free. You'll choose between two plans: Credit Building and Credit Building + Rewards, costing between $149 to $199 annually or $20 to $25 monthly.

• Extra is a fintech company with banking services backed by its partner banks Evolve Bank & Trust and Patriot Bank, N.A. The Extra Card is a credit-building debit card that works by connecting the card to your existing bank account. The Extra Card's spending limit is based on your linked bank account balance, called your Spend Balance. When you use the card, Extra 'spots' you for the purchase, and then it pays itself back the next business day with your linked bank account.

  At the end of the month, Extra totals up your transactions and reports the payments to Experian and Equifax, which help build your credit history. But it's not free. You'll choose between two plans: Credit Building and Credit Building + Rewards, costing between $149 to $199 annually or $20 to $25 monthly.

• Pros

  • No credit check and no APR
  • No opening deposit requirement
  • Reports to Experian and Equifax

  Cons

  • Fees range from $149 to $199 annually or $20 to $25 monthly.
  • Requires existing bank account

• Annual Percentage Yield (APY)	N/A
  Fee	From $20 per month
  Overdraft fee	$0

Step Visa Card

Step is a mobile-first banking app with a free credit-building secured card. Step helps to build credit by automatically paying off balances each month with funds held in the attached deposit account and reporting it to the credit bureaus. There's also no credit check, no APR or monthly fees. Similar to other secured cards, the Step Card only allows you to spend up to the amount in your deposit account.

Minors can also build credit with Step, though they won't start building credit until they turn 18 years old and opt in to it. Once they opt in, the last two years get reported to the three major credit bureaus.

• Step is a mobile-first banking app with a free credit-building secured card. Step helps to build credit by automatically paying off balances each month with funds held in the attached deposit account and reporting it to the credit bureaus. There's also no credit check, no APR or monthly fees. Similar to other secured cards, the Step Card only allows you to spend up to the amount in your deposit account.

  Minors can also build credit with Step, though they won't start building credit until they turn 18 years old and opt in to it. Once they opt in, the last two years get reported to the three major credit bureaus.

• Pros

  • No monthly fees or APR
  • No credit check
  • Reports to all three credit bureaus
  • Open to all ages

  Cons

  • Must be at least 18 to gain credit history
  • No customer phone line

  See Also

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• Annual Percentage Yield (APY)	5.00% on balances of $0 to $250,000
  Rewards	Cash back on select offers
  Fee	$0 per month
  Overdraft fee	$0

Chime® Credit Builder Secured Visa® Credit Card

Chime is a fintech company with banking services through its partners, The Bancorp Bank, N.A. and Stride Bank, N.A. Chime offers many banking products, including its Credit Builder card, which is a secured credit card. While not an actual debit card, it has no credit check, no annual fees or APR. You must move money from your Chime account over to the Credit Builder card to determine the spending limit — similar to a security deposit requirement with other secured cards. When you use the card and pay off the outstanding balance, the payments are reported to all three credit bureaus: Experian, Equifax and TransUnion.

The Credit Builder card is designed to link with the Chime Checking Account, so to qualify, you must have a Chime Checking account and make qualifying direct deposits of at least $200.

• Chime is a fintech company with banking services through its partners, The Bancorp Bank, N.A. and Stride Bank, N.A. Chime offers many banking products, including its Credit Builder card, which is a secured credit card. While not an actual debit card, it has no credit check, no annual fees or APR. You must move money from your Chime account over to the Credit Builder card to determine the spending limit — similar to a security deposit requirement with other secured cards. When you use the card and pay off the outstanding balance, the payments are reported to all three credit bureaus: Experian, Equifax and TransUnion.

  The Credit Builder card is designed to link with the Chime Checking Account, so to qualify, you must have a Chime Checking account and make qualifying direct deposits of at least $200.

• Pros

  • No credit check or annual fees
  • Reports to all three credit bureaus
  • No minimum security deposit

  Cons

  • Requires a Chime Checking account and direct deposits
  • Can't transfer money from other banks to the card

• Annual Percentage Yield (APY)	N/A
  Fee	$0 per month
  ATM transaction fee	$0
  Foreign transaction fee	0%
  Overdraft fee	$0

Varo Believe

Varo is an online, FDIC-insured bank offering the Visa Varo Believe card that's designed to help you build a better credit score. You can set your own spending limit and enjoy no interest and no monthly fees. Varo states all credit histories are accepted, and there's no hard credit pull or minimum security deposit.

It works like this: If approved, you'll get a Varo Believe Secured Account, which is a deposit account that acts as security for your monthly Varo Believe Card payment. You transfer funds into the Varo Believe Secured Account, and the funds in the account sets your spending limit. Then you use the card, and with Varo SafePay on, Varo automatically covers purchases every month using funds from the Secured Account. The payments are then reported to all three credit bureaus. Any unspent amount in the Varo Believe Secured Account remains available to spend into the next billing cycle.

With no fees and APR, it's a solid way to start safely building your credit history. However, Varo has spending limits, and you can only move money into the Varo Believe Secured Account from your Varo Bank Account — so a Varo Bank Account is required to get the Believe Card.

• Varo is an online, FDIC-insured bank offering the Visa Varo Believe card that's designed to help you build a better credit score. You can set your own spending limit and enjoy no interest and no monthly fees. Varo states all credit histories are accepted, and there's no hard credit pull or minimum security deposit.

  It works like this: If approved, you'll get a Varo Believe Secured Account, which is a deposit account that acts as security for your monthly Varo Believe Card payment. You transfer funds into the Varo Believe Secured Account, and the funds in the account sets your spending limit. Then you use the card, and with Varo SafePay on, Varo automatically covers purchases every month using funds from the Secured Account. The payments are then reported to all three credit bureaus. Any unspent amount in the Varo Believe Secured Account remains available to spend into the next billing cycle.

  With no fees and APR, it's a solid way to start safely building your credit history. However, Varo has spending limits, and you can only move money into the Varo Believe Secured Account from your Varo Bank Account — so a Varo Bank Account is required to get the Believe Card.

• Pros

  • Reports to all three credit bureaus
  • No APR and no monthly fees
  • No hard credit pull

  Cons

  • Requires Varo Bank Account
  • Up to $2,500 purchases per day
  • Up to $1,000 for cash advances

• Annual Percentage Yield (APY)	N/A
  Intro or bonus offer	Existing and new customers get a $25 referral bonus when signing up for a Varo Bank account. T&C apply.
  Rewards	Get up to 6% Cashback when you use your card with select brands
  Fee	$0 per month
  Nonsufficient funds fee	$0
  ATM transaction fee	$0
  Foreign transaction fee	0%
  Overdraft fee	$0

Cleo Credit Builder Card

• Cleo is a modern financial app offering credit-building opportunities with its Credit Builder Card. Like other secured cards, it requires an opening deposit but it can be as low as $1. Deposit as little or much as you want to adjust your spending limit at any time. There's no credit check when you apply, no interest charges because you must repay your balance each month, and Cleo reports to all three major credit bureaus to help you build credit. Plus, consider Carefree Credit Building which is an optional feature where your deposit repays your balance at the end of each month. To get the card, you need the Credit Builder membership for $14.99 per month, but the membership also offers cash advances, cashback rewards, an AI chatbot to praise or roast your spending habits and much more. While there's no way to avoid the membership fee, it's a flexible secured card that doesn't require hundreds to get started.

• Pros

  • No hard credit check
  • No APR and $1 opening deposit
  • Reports to all three credit bureaus
  • Cashback, budgeting and AI chatbot

  Cons

  • $14.99 monthly membership fee

• Annual Percentage Yield (APY)	N/A
  Fee	$14.99 per month
  ATM transaction fee	$2.50

Current Credit Building Card

• Current is a fintech company with banking services provided by Choice Financial Group and Cross River Bank. The Current Build card is a secured, credit-building charge card. To get the Current Build card, you must have a free Current account, which comes with savings pods, early payday and more. The Build card is attached to the Current account, and the card's spending limit is based on what you deposit in your account. Payments are reported to TransUnion to build credit history. There's no credit check to apply, and no interest charges or annual fee. While there aren't any daily fees or an APR you have to worry about, know there is a 3% late fee if you're late on a payment.

• Pros

  • No monthly fees or APR
  • No hard credit check
  • Up to 15x in cashback rewards
  • Three savings pods

  Cons

  • 3% late fee
  • Only reports to TransUnion
  • $3 plus 3% on international ATM withdrawals

• Annual Percentage Yield (APY)	4.00% on balances of $0.10 to $2,000
  Fee	$0 per month
  ATM transaction fee	$0
  Foreign transaction fee	3%

Fizz debit card

The Fizz debit card can help build your credit score, has no APR and requires no credit check. It's designed with college students in mind, but it's open to everyone. It connects the Fizz debit card to an existing bank account, which determines your spending limit and adjusts daily based on your balance. The card's outstanding balance is repaid automatically with your linked bank account, and Fizz reports payments to all three major credit bureaus: Equifax, Experian and TransUnion.

And unlike most traditional debit cards, the Fizz debit card comes with cashback rewards — something we typically see with regular credit cards. When you spend with participating merchants and build up at least $5 in rewards, you can transfer the rewards to your linked bank account.

• The Fizz debit card can help build your credit score, has no APR and requires no credit check. It's designed with college students in mind, but it's open to everyone. It connects the Fizz debit card to an existing bank account, which determines your spending limit and adjusts daily based on your balance. The card's outstanding balance is repaid automatically with your linked bank account, and Fizz reports payments to all three major credit bureaus: Equifax, Experian and TransUnion.

  And unlike most traditional debit cards, the Fizz debit card comes with cashback rewards — something we typically see with regular credit cards. When you spend with participating merchants and build up at least $5 in rewards, you can transfer the rewards to your linked bank account.

• Pros

  • No monthly fees, credit check or APR
  • Balance repaid automatically
  • Cashback rewards program
  • Reports to all three major credit bureaus

  Cons

  • Requires iPhone with iOS 12.0 or later
  • Requires existing bank account with at least $150

• Annual Percentage Yield (APY)	N/A
  Intro or bonus offer	Earn 1,000 points ($10 value) when you download the Fizz app and enter code FINDER.
  Rewards	Earn 1,000 points ($10 value) when you download the Fizz app and enter code FINDER
  Fee	$0 per month
  Nonsufficient funds fee	$0
  ATM transaction fee	$0
  Foreign transaction fee	0%

Experian Smart Money™ Debit Card

• The credit bureau Experian is offering a new digital account called Experian Smart Money with its FDIC-insured banking partner Community Federal Savings Bank. There are no monthly fees to use the account or debit card. The shining star of this account is the fact that it works in tandem with Experian Boost®, which scans your previously non-reported bill payments — such as utility bills or rent — and adds them to your Experian credit file to help you build a credit history. When you link the account to Experian Boost®, you can gain credit history by paying eligible bills with the debit card. You'll also get access to 55,000 free ATMs worldwide, early direct deposits, a virtual and physical debit card. The account requires an Experian membership, but luckily, that membership can be free.

• Pros

  • No monthly fees
  • Works with Experian Boost®
  • Large 55,000 ATM network

  Cons

  • Requires Experian membership
  • Bills must be eligible for Experian Boost® to gain credit history

• Annual Percentage Yield (APY)	N/A
  Intro or bonus offer	Get a $50 bonus if you deposit at least $1,000 in direct deposits within 45 days of opening the account
  Fee	$0 per month
  ATM transaction fee	$0
  Foreign transaction fee	3%
  Overdraft fee	$0

Sesame Cash

Credit Sesame is a fintech company offering a prepaid debit card called Sesame Cash, which is backed by Community Federal Savings Bank (CDSB). To start building credit, you must open a Sesame Cash account and sign up for the credit builder product. When you move cash into credit builder, it becomes the security deposit for a virtual Secured Credit Card. Plus, you set the utilization ratio. For example, if you deposit $500 and you want the ratio to be 30%, it's a maximum of $150 with the credit builder account.

Once it's set up and you make purchases with the debit card, Credit Sesame looks for purchases that fit within the credit utilization ratio you set. An amount equal to the outstanding balance is set aside in your Sesame Cash account so you can pay off the balance each month. Sesame also offers automatic pay, so the balance is paid on time and in full each month. Sesame states they report to 'the major credit bureaus' but doesn't say which ones.

Sesame Cash costs $9.99 per month, and there's also a $3 inactivity fee. To waive the monthly fee, you must set up a deposit of at least $500 per month or spend at least $1,000 per month with the Sesame Cash account. To avoid the inactivity fee, there must be monthly movements or purchases at least once within a 30-day rolling period. The inactivity fee and monthly fee are waived for the first month.

• Credit Sesame is a fintech company offering a prepaid debit card called Sesame Cash, which is backed by Community Federal Savings Bank (CDSB). To start building credit, you must open a Sesame Cash account and sign up for the credit builder product. When you move cash into credit builder, it becomes the security deposit for a virtual Secured Credit Card. Plus, you set the utilization ratio. For example, if you deposit $500 and you want the ratio to be 30%, it's a maximum of $150 with the credit builder account.

  Once it's set up and you make purchases with the debit card, Credit Sesame looks for purchases that fit within the credit utilization ratio you set. An amount equal to the outstanding balance is set aside in your Sesame Cash account so you can pay off the balance each month. Sesame also offers automatic pay, so the balance is paid on time and in full each month. Sesame states they report to 'the major credit bureaus' but doesn't say which ones.

  Sesame Cash costs $9.99 per month, and there's also a $3 inactivity fee. To waive the monthly fee, you must set up a deposit of at least $500 per month or spend at least $1,000 per month with the Sesame Cash account. To avoid the inactivity fee, there must be monthly movements or purchases at least once within a 30-day rolling period. The inactivity fee and monthly fee are waived for the first month.

• Pros

  • No APR
  • Automatic payments available
  • Set your own utilization ratio
  • Card offers cashback rewards

  Cons

  • $9.99 waivable monthly fee
  • $3 inactivity fees
  • Not clear which bureaus it reports to

• Annual Percentage Yield (APY)	N/A
  Rewards	Cash back requires the activation of any active offer before payment is made and depends on geographic location
  Fee	$9.99 per month
  To waive the fee	Must set up a deposit of at least $500 per month or spend at least $1,000 per month with the Sesame Cash account
  ATM transaction fee	$0
  Foreign transaction fee	0%
  Overdraft fee	$0