Credit cards are among the most common financial products on the market today. We use them to buy everything from daily groceries and gas to major products like laptops and cars. You could even use credit cards to help you pay for high-interest debts, such as student loans and to boost you out of a dire economic spell like you could face if you are in between jobs and having to make rent.
But credit cards are no child’s play. They function like loans that you have to pay off periodically (with interest where applicable). No one size fits all, and finding the best option for you is vital to maintaining a good credit history – setting you up for better interest rates, insurance premiums, and more.
To help you choose a good credit card, we have compiled a list of the 5 best credit card companies in the US.
1. Chase
Coming in at number one on our list is Chase – the largest bank in the country. Chase commands a whopping 16.6% of the market share, putting it miles ahead of the next place. That’s over 98.5 million cards issued overall and 42.2 million active card accounts at present.
These astronomical numbers are primarily due to Chase’s extensive banking clientele, who tend to stick with them for all their financial needs.
Chase has cemented its lead at the top, mainly on the back of its excellent perks and rewards, such as generous cash backs, travel bonuses, and one of the country’s best credit card reward programs – the Chase Ultimate Rewards program.
The company offers many different cards ranging from the entry-level Chase Freedom Unlimited to the Chase Sapphire Preferred and Chase Sapphire Reserve.
2. Citi
With an 11.6% market share, Citi comes in behind Chase. Citi is also one of the largest banks in the United States. The ease of payment and integration that comes with linking your Citi credit card with a Citibank account make it a go to for millions of their customers.
Citi offers a wide selection of credit cards with many reward systems, such as the Citi ThankYou Rewards program that offers cash backs or redeemable points. Citi partners with many big-name brands like AT & T, Costco, and American Airlines to give their customers co-branded credit cards with amazing deals.
Because of these factors, it comes as no surprise that Citi has nearly 40 million active credit cards on the market.
3. American Express
Given its mainstream recognition, one would assume American Express would be higher on this list. It ranks behind Chase and Citi at an 11.3% market share for 3 main reasons:
- It used to have higher annual fees, and although they have since moved on to more affordable options, many people still believe it’s expensive.
- They don’t use the Visa or Mastercard network like Chase and Citi. Instead, their cards function on American Express’s own payment network, which isn’t as widely accepted.
- Their banking sector isn’t as big as their former two, so they don’t have a built-in customer base.
But not all is bad with American Express. They offer market-competitive rewards through their partner brands and programs like American Express Membership Rewards. You can also expect decent cash backs and travel cards should you opt for American Express cards.
4. Bank of America
Bank of America is another goliath in the banking space and ranks right behind Chase as the second-largest bank in the US. True to form, as a large bank with millions of customers, they have a sizable credit card market share – 10.7% to be exact.
The company makes it exceedingly comfortable and indeed profitable for their customers to opt for several financial products, including credit cards via their Preferred Rewards Programs.
You can get into the program by hitting certain balance milestones. Depending on the milestones reached, you could be eligible for the Gold, Platinum, or Platinum Honor tier – each with its unique sets of benefits and rewards for spending on Bank of America credit cards.
5. Capital One
Capping off our top 5 list is Capital One, holding 10.5% of the market share. Capital One has increased its market share over the past few years and approved the newest credit cards last year to now have over 55.8 million active cards. This credit for the growing popularity of Capital One goes to the company’s keen focus on mass usability.
Capital One’s credit cards are quite affordable. Even for their most expensive offering, the annual rate you’ll have to pay is below $95. Second, their lineup of cards is clean and not so convoluted, as is the case with many of its rivals.
In fact, many of its most popular offerings have similar reward rates per purchase or miles traveled. Last but not least, not only are their rewards easy to understand, but they are also easy to redeem when needed.
Others With Their Market Share
The following 5 companies rank 6 through 10 among credit card companies in the US.
· Discover at 7.6%
· Wells Fargo at 4.3%
· US Bank at 4.1%
· Barclays at 2.6%
· Synchrony at 2.0%
