How to need
A Credit Card
The 5 BEST Credit Cards for Beginners (2019)
Sharing buttons:
what's up you guys it's Graham here so I
just want to mention really quick that I
still get emails and comments about the
video I posted the other week about
burning all of my credit cards with a
not a flamethrower so for anyone that
didn't fully understand that that video
was meant to be entirely satirical with
some light-hearted humor thrown in that
was not to be taken seriously by any
means and the way that credit cards work
is that if a credit card is lost stolen
or damaged the credit card companies
replace them absolutely free of charge
so just as proof I already had all my
credit cards replaced there you go
they're right where they should be in my
wallet so with that said I recently made
a video about the five best credit cards
to get free stuff but I soon realized
that a major complaint to that video was
that it wasn't really applicable to
anyone who's just starting out or who
doesn't really have any credit history
and that was way more people than I
expected so this video is meant for all
of those people just starting off in
their credit journey and also for
everyone else who just likes getting
free stuff because let's be real here
who doesn't like getting free stuff make
sure to smash that like button if you
guys enjoy getting free stuff and also
for people who want to pay $0 in annual
fees to do so and also all of these are
cards that you're meant to have for life
the thing is when you're just starting
off in building your credit score part
of your score is calculated by the age
of your oldest account so if you ever
cancel your oldest credit card in the
future it reduces your average account
age and therefore it ends up bringing
down your score so these are cards you
shouldn't cancel that you're gonna keep
forever that you keep active that are
really gonna form the foundation of what
you build your credit score from so with
that said let's get into it and we're
gonna start off with number 5 now I've
mentioned this credit card before but
I'm gonna say it again because it's that
good of a card but that would be if
you're just starting off to discover
it's secured card this is hands-down the
best credit card if you're just starting
off want to build your credit history if
you're 18 years old your first credit
card whatever it is this is what you
should be doing right now like like
pause the video and go and apply for
this card like I never tell you guys to
pause my videos because don't don't
pause my videos but if that's you right
now just seriously pause the video right
now and go and get this card you will
thank me years down the line when you
built up your credit history and what
this is
is a secured credit card which means
that you don't need any prior credit
history to apply all they ask instead is
a refundable security deposit and then
they give you back a credit line in that
exact same amount for example if you go
and give them a three hundred dollar
security deposit they will give you back
a credit card with a three hundred
dollar credit line from there just make
minimal charges on the card paid off in
full on time and repeat that for about
six to eight months after doing that for
eight months or so chances are they're
gonna give you back your deposit and
then you're going to keep whatever
credit line they give you now the good
thing about this secured credit card is
that they offer some pretty good perks
usually with secured credit cards they
offer nothing I mean there's very little
advantage to using them besides that
you're just building your credit but
with this one you get two percent
cashback on gas stations and restaurants
and one percent cash back on everything
else their dashboard also allows you to
check your credit score so you can see
how you're doing on your credit card
credit score journey so with all of that
said it's a really great card for all of
those just starting out I highly
recommend it and this is a card that you
could get and keep forever because it's
absolutely free so with that said let's
go into number four and this one was
mentioned by you guys a lot in my last
video and many people were upset I
didn't mention this one because for a
lot of people who don't do really a lot
of traveling this is probably the best
card you can get in terms of cash back
and that is the city double cash rewards
card so this is really a phenomenal card
that you should plan to keep forever and
it's perfect for those that aren't gonna
be doing a lot of traveling but who want
the best cash back option possible this
is really like the holy grail of cash
back this is because this card gives you
a whopping two percent cash back on all
purchases it gives you one percent cash
back when you buy something and another
one percent cash back when you pay it
off and the best part about this cash
back is that it is consistent among
every single one of your purchases it's
not like you get revolving categories or
like two percent back on gas stations or
three percent on restaurants it's just
two percent on everything and in the
long run this is just a great credit
card to have 2% cash back on everything
no annual fee it's pretty simple it's
pretty straightforward and just plan to
keep it forever and for real though this
is really one of the best cash
credit card options out there just
imagine that anything you buy with this
credit card automatically just becomes 2
percent cheaper everything and that
really starts to add up over the long
term all right so with that said number
three and I got a question for you on
this one do you want a hundred and fifty
dollars for just a few seconds of work
well if your answer to that is say no
more fam then I got the perfect credit
card for you and that is the chase
freedom just for signing up they're
going to give you a hundred and fifty
dollars cash back after you spend five
hundred dollars in the first three
months now this should be pretty
common-sense but I do have to mention it
because it seems like some people see
this and they get very triggered and
they don't understand it but what I mean
you have to spend $500 to get 150 back
that doesn't mean that you should go out
and think like oh no how do i how do I
spend five hundred dollars right now
that should not be your mentality
instead you got to make sure you spend
money you would ordinarily spend anyway
like if you would ordinarily spend five
hundred dollars over three months on
groceries or gas or at restaurants or
wherever just put it on the card to get
the money back don't go and worry
yourself like oh what do I have to spend
$500 on like come on I mean this should
all be pretty common sense here but some
people just don't seem to understand it
and then get very upset and write angry
comments so that that's all I have to
say about that and just a hint that also
means you could buy my program the real
estate agent Academy with a $50 off
coupon for thank you 50 and gets an
extra 150 dollars back on top of that
just for signing up with the credit card
so it's a pretty good deal what
seriously though for anyone building
your credit who just wants a great card
to have and who likes free money this is
a great credit card to get in hold long
term oh and by the way it's speaking of
free money in terms of cash back they
offer 5% cash back on revolving
categories up to $1,500 a year as well
as 1% cash back on everything else now
in terms of cash back this credit card
is not as good as a city double cash
rewards card but the sign up bonus of
150 dollars definitely makes this card a
lot more attractive in the short term in
addition to this card you're gonna get
purchased protection which means that
anything you purchase on this card
within the first 120 days that gets
damaged stolens any anything like this
is covered up to the first $500 this
means that if you go and buy like a $200
jacket and it gets stolen the credit
card company will reimburse you for the
cost of that jacket within the first 120
days this is a great perk to have and
all of this for the low annual fee of
nothing so now number two without
further ado we have the almighty
Quicksilver card by Capital One
now Capital One holds a very special
place in my heart because this was the
first unsecured credit card I ever got I
think at the time when I applied it was
a 21 years old maybe 22 max and it gave
me $1000 credit line which at the time I
thought like oh look I thought it was
really cool to have like $1000 credit I
was really excited about that so Capital
One has been a very good credit card for
me now this is a great card for a few
reasons the first reason is that like
the chase freedom they're gonna give you
one hundred and fifty dollars back after
you spend five hundred dollars in the
first three months so my same thoughts
here applied to my last example in terms
of the cash back but this one is just
slightly better because they offer one
and a half percent cash back on all
purchases and in addition to that you
also get no foreign transaction fees for
anyone who does a lot of international
traveling this is a great free credit
card for you to get so for anyone out
there who wants the free one hundred and
fifty dollars and who wants one and a
half percent cash back on everything and
if they travel and don't want any
foreign transaction fees because who
pays those those suck this is a great
credit card for you to get that cost the
low price of free so now number one and
this was one of my first credit cards I
ever got this is one of my favorite
cards and I used to use this card for
pretty much everything I did love this
card and that would be the Bank of
America cash rewards card now this one
offers a slightly higher sign of bonus
than the other ones do they offer two
hundred dollars back when you spend five
hundred dollars in the first three
months when it comes to cash back on a
really low spend amount over three
months that is phenomenal in addition to
that you get three percent cashback on
gas stations two percent cashback on
restaurants and 1 percent cash back on
everything else and also in addition to
that you'll get a 10 percent bonus on
those rewards when you redeem that cash
back into a bank of merit
checking or savings account now one
little life tip I do want to mention
when it comes to this is that the reason
Bank of America does this and they offer
such great rewards is because they
believe you're gonna go and open up a
bank of America checking or savings
accounts which is all fine I mean I have
one until they try to hit you with one
of their bull $12 a month monthly
maintenance fees like why do they like
it causes them nothing to maintain it's
basically I want some of your money
because you don't keep a lot of money
with us so if you do this just make sure
to keep a minimum of twenty five hundred
dollars in the account at all times to
avoid that monthly maintenance fee
otherwise if you don't do that they will
bleed you dry with 12 dollars a month
and it sucks you should not be paying
twelve dollars a month just to keep a
checking or savings account or to redeem
any cash back rewards so just a quick
life tip here if you're going to go and
do this at least keep $2,500 in a Bank
of America account at all times
but anyway assuming you're gonna do that
anyway this is a very sweet offer and I
highly recommend it and one other great
thing with this credit card if you
really want to maximize the rewards and
return here is that they offer 0%
interest on your charges within the
first 12 months now what I would
probably end up doing with this is just
realistically put all my spending on the
Bank of America card for the first 12
months while it pays zero interest and
just keep all the money I would normally
spend to pay off that card in an allied
bank savings account earning two percent
interest so that means for me I make 2%
on my money in a lie Bank and I get 1%
cash back from Bank of America so
basically I'm getting a free 3% back on
everything that I buy for the first year
now 3 percent might not seem like a lot
of money which it really isn't but for a
very minimal work 3% does tend to add up
especially over a year and again like
every other credit card that I mentioned
here this card costs you absolutely
nothing to keep so this is a card I
recommend you get keep it forever and
have it be a part of your credit
foundation of your oldest active credit
lines and those that I just mentioned
are the top 5 credit cards if you're
just starting out and building your
credit history these cards are all
absolutely incredible to get to keep
forever and they're all absolutely free
they will cost you nothing to keep the
goal should be to open these cards get
the sign up bonus keep them active put
all
normal everyday spending on the card
paid off in full keep them without
paying any interest and without paying
any annual fees and just reap all the
benefits these cards are really all
meant to form the foundation of your
credit history so that later on when you
go out and you apply for like the Chase
Sapphire Reserve or the Amex platinum
and you start getting into credit card
churning and start getting a lot of
these free trips and travel perks and
all of these amazing things in the
future if you decide to then cancel
those cards or get rid of them or
anything like this it doesn't really
impact your score because again you've
formed a very solid foundation of old
credit lines that kind of keep your
history intact for the most part and
that is pretty much all there is to it
and like I said before disclaimer use
credit responsibly don't spend credit on
things that you wouldn't ordinarily
spend money on don't get your spending
out of control don't basically just
don't be bad with money you know just
self-control and don't be bad with money
in that and that's pretty much it so
anyway you guys thank you so much for
watching I really appreciate it if you
watched the very end you haven't already
subscribed yet make sure to gently smash
that subscribe button
I post 3 times a week Monday Wednesday
Fridays if you want to be a part of it
feel free to subscribe also feel free to
add me on snapchat and Instagram I post
here pretty much daily so if you want to
be a part of it there feel free to add
me there thank you again for watching
and until next time
