Low income credit cards

Some credit cards in Australia have relatively low minimum income requirements of $15,000 to $35,000 per year. These cards provide people in lower-income brackets, students and retirees with access to credit. They may also offer competitive rates and fees that can help keep your account costs down.

If you want a credit card and have low income, you can use this guide to compare types of low-income credit cards. Before applying for any card, be sure to check the minimum income requirements and other eligibility criteria. We also go through the different features available and answer frequently asked questions so you can get a credit card that suits your circumstances.

What are the features and benefits of a low income credit card?

• Lower minimum income requirements. As the name suggests, low income credit cards usually have lower minimum income requirements between $15,000 and $35,000 per year. You'll need to provide proof of your income with recent payslips and bank statements. You may also need to confirm your place of employment and provide your employer's contact details (when relevant to your circumstances).
• Competitive annual fee. Low income credit cards usually come with lower annual account keeping fees than more premium cards. You might even be able to find a low income card that doesn't charge ongoing annual fees or has a $0 annual fee promotional offer.
• Lower interest rates. Some low income cards also double as low rate cards. This means you could get a card that charges a purchase rate of less than 13% p.a. Look out for low income cards with low or 0% promotional interest rates as well.
• Interest-free days. Most low income cards offer interest-free days on purchases, though the number of days (such as up to 55 days) would vary from card to card. To take advantage of these interest-free days, you have to pay your account’s closing balance completely every month.
• No frills features. Most low-income credit cards don't offer expensive extras like rewards, concierge services, travel perks and included insurance covers.
• Build credit. If you're using a low income credit card with low interest rates, you could use the card to build up a healthy credit score if you pay off your debt each statement period. With good creditworthiness, you'll have increased chances of approval when applying for other loans in the future.

What should I consider when comparing low income credit cards?

If you want to apply for a low income credit card, here are the key factors to consider when you're weighing up your options.

• Minimum income requirements. Not all cards have the same minimum income requirement. While some allow applications from individuals who earn at least $15,000 p.a., others have requirements of $25,000 or more. Keep in mind that your income is assessed against your expenses. So if you meet the minimum income, but your expenses are too high in relation, your application may still be declined.
• Source of income. Most lenders will require that you report at least one source of income on your application. If you are unemployed or do not earn a regular salary, other types of income may be considered. Depending on the provider and the card, this could include government benefits and Centrelink payments, child support, superannuation, rental income and other types of income specified by the provider. These requirements vary between providers, so it's a good idea to check the eligibility criteria or contact a provider directly if you have questions about your income and eligibility.
• Credit history. If you have a low credit score, work on repairing it before applying as mentioned above. You can consider getting a temporary part-time job to increase your monthly income. Making sure you provide all the required information in your application also increases chances of approval. If you don't know your credit score, you can get it for free on Finder.
• Affordability. Before you apply for the card, make sure you've confirmed that you can afford it. If you end up borrowing more than you can repay and get into unmanageable debt, this will have a negative impact on your credit rating. Use the reviews on Finder and read the relevant product disclosure statement to make sure you understand the costs of the card before applying.

What happens if I can't pay my credit card bill?

How can I apply for a low income credit card?

If you've compared your options and found a credit card that suits your needs, you can apply online in around 10–20 minutes. Before you get started, make sure you meet the other eligibility requirements. As well as the minimum income, this includes being over 18 years old and meeting the Australian residency status requirements listed for the card.

Details you'll need for the application

When you apply for a credit card, you need to share information about your personal and financial circumstances. While each application is different in structure, here is a rundown the key information you'll be asked for:

• Personal details. This includes your full name, date of birth and residential address and living arrangements. If you've only lived at your current address for a few years, you may need to provide details of your previous address as well.
• Identification. You'll be asked for your driver's licence number, or another form of ID such as your passport or Medicare card number. This helps confirm your identity and also makes it possible for the credit card provider to request access to your credit file.
• Employment information. This includes your salary, role, length of employment and your employer's contact details. You may also be asked for recent payslips to confirm these details. If you're self-employed or retired, you may be asked for details such as your latest Tax Assessment Notice, income from government benefits, superannuation or contact details for your accountant.
• Financial information. As well as your main source of income, you'll be asked about any additional money you've earned. This includes interest from any savings accounts, as well as other assets such as shares or property. You'll also need to give details of any existing debts (including loans and other credit cards) and monthly household expenses.

Depending on the credit card provider, you may be asked for more details once the application is submitted. This could include supporting documentation such as payslips, bank statements and copies of your identification.

Compare cards with a low minimum credit limit

Sort by:

Name	Product	Purchase rate (p.a.)	Balance transfer rate	Annual fee	Min credit limit	Max credit limit	Minimum Income
St.George Vertigo Classic		0% for 7 months, reverts to 13.99% p.a.	0% p.a. for 22 months with 1.5% balance transfer fee	$0 p.a. annual fee for the first year ($55 p.a. thereafter)	$500	$80,000		Get 0% p.a. promotional purchase and balance transfer rates and save with a first-year annual fee waiver.	Go to site More Info	Compare	loading Fetching your data...
Virgin No Annual Fee Credit Card - Purchase Offer		0% for 9 months, reverts to 18.99% p.a.	0% p.a. for 9 months	$0 p.a.	$2,000	$10,000	$25,000	Offers an introductory 0% p.a. for 9 months on purchases and balance transfers (with no BT fee) for an ongoing $0 annual fee.	Go to site More Info	Compare	loading Fetching your data...
Bank of Melbourne Vertigo Classic		0% for 7 months, reverts to 13.99% p.a.	0% p.a. for 22 months with 1.5% balance transfer fee	$0 p.a. annual fee for the first year ($55 p.a. thereafter)	$500	$80,000		Save with 0% p.a. for 7 months on purchases, 0% p.a. interest for 22 months on balance transfers and a $0 annual fee for the first year.	Go to site More Info	Compare	loading Fetching your data...
St.George No Annual Fee		20.74% p.a.	0% p.a. for 12 months with 1% balance transfer fee	$0 p.a.	$500	$40,000		Receive up to 55 days interest-free on purchases, a low minimum credit limit of $500 and a long-term balance transfer offer.	Go to site More Info	Compare	loading Fetching your data...
BankSA Vertigo		0% for 7 months, reverts to 13.99% p.a.	0% p.a. for 22 months with 1.5% balance transfer fee	$0 p.a. annual fee for the first year ($55 p.a. thereafter)	$500	$80,000		Enjoy a 0% p.a. interest rate for up to 22 months on balance transfers and up to 7 months on purchases. Plus, $0 first-year annual fee.	Go to site More Info	Compare	loading Fetching your data...
BankSA No Annual Fee		20.74% p.a.	0% p.a. for 12 months with 1% balance transfer fee	$0 p.a.	$500	$40,000		Offers 0% p.a. on balance transfers for 12 months, up to 55 days interest-free on purchases and an ongoing $0 annual fee.	Go to site More Info	Compare	loading Fetching your data...
ME frank Credit Card		11.99% p.a.	11.99% p.a.	$0 p.a.	$1,000	$15,000	$25,000	Save money with an ongoing $0 annual fee, the same low 11.99% p.a. interest rate on purchases and cash advances, and up to 55 days interest free.	More Info	Compare	loading Fetching your data...
Bank Australia Low Rate Visa Credit Card		9.39% p.a.		$59 p.a.	$1,000			Enjoy a low rate of 9.39% p.a. on purchases and access to Apple Pay, Google Pay and Samsung Pay.	More Info	Compare	loading Fetching your data...
ANZ Rewards Credit Card		20.24% p.a.	20.24% p.a.	$80 p.a.	$1,000			Earn uncapped Reward Points and get 50,000 bonus points when you spend $1,000 within the first 3 months from approval.	More Info	Compare	loading Fetching your data...
Bankwest Zero Mastercard		17.99% p.a.	2.99% p.a. for 9 months	$0 p.a.	$1,000			Features an ongoing $0 annual fee. Plus, receive up to 55 days interest-free on purchases and a 2.99% p.a. for 9 months on balance transfers.	More Info	Compare	loading Fetching your data...
Bankwest More Mastercard		19.99% p.a.	0% p.a. for 6 months with 1% balance transfer fee	$100 p.a.	$1,000			Earn 1.5 More Rewards Points per $1 spent, 19,500 bonus points when you meet the spend criteria and receive a 0% p.a. balance transfer offer.	More Info	Compare	loading Fetching your data...

loading

Compare up to 4 providers

Clear selection

Compare

Frequently asked questions

• What eligibility criteria do I have to meet to apply?

  Apart from meeting minimum income requirements, you should be at least 18 years old, an Australian resident and have a healthy credit history.

• Can I apply for a credit card if I'm unemployed?

  You usually need to receive a regular income to be approved for a credit card. Some credit card providers will consider applications when you receive payments from Centrelink, including JobSeeker (formerly Austudy) or Carer's Allowance, while others may require you to be employed by a business.

  If you're retired, you may be able to apply for a credit card if you can provide evidence of an income through assets, savings and superannuation. Check the eligibility criteria for individual cards or contact a provider directly if you have questions about your circumstances.

• How quickly can I complete the application?

  Most online credit card applications take around 10 to 15 minutes to complete. This may vary between providers and could take longer if you don't have the necessary information prepared before starting the application.

Pictures: Getty