A person with bad credit can surely get a credit card, but it won’t be the one advertised with exclusive perks or rich rewards. Instead, it will be a basic card with basic and average perks and features. It’s fine since you are not going to rely on it forever! As the thing is to built or rebuilt your credit and move on to a better product. In this article you will find Cards for Bad Credit Holders.
The best credit cards for bad credit holders have annual fees as low as $0, and some even offer 1% cashback reward on purchases! Moreover, all major credit cards for people with poor credit report account information to the credit bureaus each month. This is the reason why using the right credit card responsibly is the best way to rebuild damaged credit.
In my opinion, secured credit cards are the best credit cards for bad credit holders. The persons using secured credit cards have to pay a deposit, which protects the issuer in case you don’t pay. The deposit reduces the risk, making secured cards one of the safest and the easiest cards to get.
Some other options that include are unsecured cards for bad credit holders, which don’t require a deposit but tend to charge high fees that, over time, add up to more than the typical deposit on a secured card.
- 1 Best Credit Cards for Bad Credit Holders
Best Credit Cards for Bad Credit Holders
Here, below are some of the suggestions of credit card for bad credit holders
OpenSky Secured Visa Credit Card
This card is one of the best options for people struggling to build or rebuild their credit, also for those without access to traditional banking services. Unlike most secured credit cards, this card does not require a credit check. Hence, people with very low or badly damaged credit may be able to qualify. (However, one still needs to maintain some income standards). Moreover, for this card, you don’t need a bank account. One can make a deposit and pay his/her bill by debit card, wire transfer, check, or money order. This is one of best Cards for Bad Credit Holders.
Some key features of this card include:
- It’s not necessary to apply for a credit check
- The refundable deposit becomes the credit line of the person’s Visa card
- The credit card is built quickly as OpenSky reports to all 3 major credit bureaus.
Coming to the Disadvantages: The card charges an annual fee and no process is available to upgrade an unsecured card.
Capital One Secured MasterCard
If your credit is spoiled but not necessarily destroyed; Capital One secured master is the best place to start building it. Most secured cards expect you to make a deposit equal to the credit limit, but with capital One Secured MasterCard, you can get a credit limit of $200 for a deposit of $49, $99 or $200. The deposit can also be made in installments. This is one of best Cards for Bad Credit Holders.
Here are the key features of Capital One Secured MasterCard:
- No annual fee
- It builds credit when used responsibly
- Effortlessly manage your account 24/7 with online access, by phone or by using our mobile app
- Millions of locations worldwide accept this card
People must have a savings or checking account. Moreover, people with severely damaged credit might not qualify for this credit card.
See Also: How to Pay off Credit Card Debt?
Discover it Secured
This bad credit secured card’s rewards and other features are better as compared to many unsecured credit cards for good credit. This is one of best Cards for Bad Credit Holders.
Some of the features this card offers are:
- No Annual Fee
- It’s a real credit card; hence, you can build a credit history with three major credit bureaus
- One must establish his/her credit line by providing a refundable security deposit of at least $200 after getting approval. Bank information must be provided when submitting the deposit
- It gives a reward of 2% cash back on up to $1000 worth of spending per quarter on restaurants and gas, and 1% on all other spendings
- If the card is handled responsibly for 8 months, discover reviews your account for a possible upgrade to an unsecured card
Visit: Discover it Secured
Green Dot primor Visa Gold Secured Credit Card
The low-interest rates is what makes it into the list of best credit card for bad credit holders. The continuing APR is 9.99%, also no penalty rate if you pay late.
Some specific features of this card are:
- Credit lines are available from $200 to $5000 with a 9.99% lower interest with no penalty
- No minimum credit score requirements! No processing or application fees
- Reports to three national bureaus, hence, helps, helps strengthen your credit with responsible card use
- Fast, easy application process
See Also: 5 Best Business Credit Cards in 2019
DCU Visa Platinum Secured Credit Card
If one needs to carry a balance, the DCU Visa Platinum Secured Credit Card is less expensive than most other secured cards. Also, it allows you to put as much deposit as you can. Hence, the credit card limit being as high as your deposit could be. This is one of best Cards for Bad Credit Holders.
The details of this card are as follows:
- Rates of secured cards are well below the national average
- Works with Google Pay, Apple Pay, and Samsung Pay
- Travel, car rental, insurance, and warranty benefits
- Chips are embedded with EMV to protect your card information
- No annual fee
- Borrow against your DCU savings account
Credit Builder Secured Visa Credit Card
This card makes it easy to increase your credit line over time, thereby, giving you greater flexibility and keep your credit utilization low. This is one of best Cards for Bad Credit Holders.
Some features include:
- Set your credit limit (between $300 and $3000) based on the amount you deposit into your credit builder savings account
- Accrued Interests on Savings – The money in your savings account will earn interest, adding to your savings
- Raise your credit limit by adding funds in the increments of $50 or more to the savings account
Harley Davidson Visa Secured Card
One doesn’t need to be a Harley enthusiast to carry this card. It can be used to build a good credit history as it is a decent product. This is one of best Cards for Bad Credit Holders.
Some of the details for those who want to have this credit card in their pocket are:
- No Annual Fee
- Auto rental collision damage waiver
- Zero fraud Liability
- Online banking
- Automatic Bill pay
- Fraud Protection
Hey everyone! Leo here! Wanna know all the cool hacks related to finance, credit cards and more? Well, then keep reading my blog and you’re completely sorted for a long time! 🙂