Credit card companies launch cards with different features to suit people in different credit groups. The credit cards for people with fair credit come with more low APR and low balance transfer offers. They even give great rewards for using the card.
In comparison, a credit card for bad credit, may or may not come with all the goodies. However, if you are looking for a credit card and have bad credit, here are some tips that may help you get the right card –
- Apply through your own bank. If you have an account with them, they may be willing to give you a card.
- Look for secured credit cards. They may be easier to get.
- Look for cards with No Annual Fee. The last thing you want to do is pay a high annual fee.
Credit Cards for Bad Credit Comparison
| Credit Card | Best For | Annual Fee |
|---|---|---|
| Discover it® Secured Credit Card | Overall | $0 |
| U.S. Bank Cash+® Visa® Secured Card | Cash Back | $0 |
| Capital One Quicksilver Secured Cash Rewards Credit Card | No Annual Fee | $0 |
| Amazon.com Secured Credit Card | Store | $0 |
| OpenSky® Secured Visa® Credit Card | Bad or No Credit | $35 |
| Credit One Bank® Platinum Visa® for Rebuilding Credit | No Deposit | $75 intro 1st yr, $99 after |
Don’t overspend and at least pay the minimum balance each month. Some of the major credit cards actually report to credit bureaus, and paying bills on time may help you improve your credit rating over time.
You won’t have much of a selection when shopping for an unsecured card with bad credit, unfortunately. You won’t get too much extra spending power, either, because high fees will initially consume much of your credit line. But it’s definitely possible to get approved for such a card. Just compare your options and double-check the eligibility requirements in their terms and conditions to make sure nothing in your background rules you out.
So, to recap, a secured credit card is your best bet if getting approved and beginning to rebuild your credit as soon as possible is your top priority. But if you need an emergency loan, you’ll have to make do with a costly unsecured card for bad credit.
