100% Free for You100% Free for You
100% Security100% Security
Tips and ReviewsTips and Reviews
24/7 Online Support24/7 Online Support

Ideal Credit Cards for Bad Credit in 2017

Capital One Secured Mastercard

If you get the most beneficial card in your condition and use it the right way, it can be the first step you make on the way of transforming your credit score.

General overview of the cards:

Capital One® Secured Mastercard®

The best card for you in terms of the deposit being low – Capital One® Secured Mastercard®:

Capital One Secured Mastercard

  • No annual fee.
  • APR may amount up to 24.99% but it may vary depending on your credit history.

 

OpenSky® Secured Visa® Credit Card

The best card for you in terms of that there is no credit check – OpenSky® Secured Visa® Credit Card:

OpenSky Secured Visa Credit Card

  • You have to pay the annual fee that amounts to $35.
  • APR may amount up to 18.39% but it may vary depending on your credit history.

 

Discover it® Secured Card – No Annual Fee

The best credit card for you in terms of rewards and upgrading – Discover it® Secured Card – No Annual Fee:

Discover it Secured Card - No Annual Fee

  • No annual fee.
  • APR may amount up to 23.99% but it may vary depending on your credit history.

 

Digital Federal Credit Union Visa Platinum Secured Credit Card

The best credit card for you in terms of low interest and fees – Digital Federal Credit Union Visa Platinum Secured Credit Card:

Digital Federal Credit Union Visa Platinum Secured Credit Card

  • No annual fee.
  • APR may amount up to 12.50% but it may vary depending on your credit history.

 

As a rule, those people who have a bad credit score are only approved for having secure credit cards. The difference between these cards and unsecured ones is that there is a need for a cash security deposit that, in most cases, is equal to your credit line. Still, you’ve got an opportunity to get an unsecured card if you use your secured card the right way. A secured card allows you to build your credit. Consequently, you’re very likely to qualify for an unsecured card in the nearest future. In case you decide to close your secured card account or convert it into an unsecured one, the emitting bank will give the deposit back to you.

In this article. We are going to point out the best credit cards in case you have a bad credit. However, we’ll also provide information on the cards you’d better refuse to apply.

The best card for you in terms of the deposit being low – Capital One® Secured Mastercard®

Capital One Secured Mastercard

General information on the card:

  • Special offer concerning APR: No offer for this card.
  • Standard APR amounts to 24.99% but it may vary. The card comes with the Cash Advance fee of 24.99% that may also vary.
  • There is no fee to pay.
  • Special Offer: No offer for this card.

More details concerning the card:

  • You don’t have to pay any annual fee and you can focus on building a good credit score.
  • 3 major credit bureaus will get reports every 3 months concerning your credit score. Therefore, if you use the card the right way, you are very likely to be approved for unsecured cards issued by other banks in the nearest future.
  • Once you make a security deposit, you’ll get an initial credit line of $200. The sum you need to use as a deposit depends on your creditworthiness.
  • Pay off on time during the first 5 months of using the card and you’ll get a higher credit line without any additional deposit.
  • You can contact the customer support service by phone. Alternatively you can use online banking or your mobile app if you need to make some operations with your account.
  • The card is accepted all over the world.

Advantages

This secured credit card is very different from the majority of secured credit cards available. The thing is that the sum of the deposit you have to make depends on your creditworthiness and is not equal to your credit line. Besides, there is a chance that you’ll be approved for a higher credit line if you meet the requirement mentioned.

Disadvantages

If you don’t have any savings or if you have a very bad credit history, your application for the card isn’t likely to be approved.

Conclusion

If you have a bad credit history and want to improve it, this card is your ideal solution.

The best card for you in terms of that there is no credit check – OpenSky® Secured Visa® Credit Card

OpenSky Secured Visa Credit Card

General information on the card:

  • Special offer concerning APR: No offer for this card.
  • Standard APR amounts to 18.39% but it may vary. Bear in mind that if you fail to pay off on time, the penalty fee of 22.50% applies. The penalty fee is also a subject to changes. The card comes with the Cash Advance fee of 18.39% that may vary.
  • There is a fee of $35 to pay each year.
  • Special Offer: No offer for this card.

More details concerning the card:

  • The emitting bank won’t check your credit. OpenSky’s priority is to give a chance to everyone.
  • The deposit you provide is equal to the credit line you’ll get.
  • You can build your credit in a short period of time. The bank sends reports to 3 major credit bureaus every 3 months.
  • Almost all the clients who came to OpenSky with a very bad credit score managed to significantly improve their situations within only 6 months.
  • If you want to share your opinion with other OpenSky cardholders, you can subscribe to the official community on Facebook.
  • The bank provides recommendations and other information you may need concerning the process of your bad credit transformation.
  • In order to get more information on the card, you should visit the official website of the emitting bank. Read through the Cardholder Agreement.

Advantages

The card is your ideal solution if your credit is very severely damaged since there is no credit check procedure involved. However, this doesn’t mean that you can have no income at all. Besides, there is no need to open a bank account with the card. You can use your debit card to pay off the credit.

Disadvantages

If you plan to convert your secured credit card into an unsecured one, you’ll have a problem here. There is no such like an option for this card.

Conclusion

The card is very beneficial from the point of view of those seeking to improve and convert their credit into a good one. It’s also great for those who prefer not to use traditional banking services.

The best credit card for you in terms of rewards and upgrading – Discover it® Secured Card – No Annual Fee

Discover it Secured Card - No Annual Fee

General information on the card:

  • Special offer concerning APR: There is an APR of only 10.99% on balance transfer operations during the first 6 months after you open an account.
  • Standard APR amounts to 23.99% but it may vary. The card comes with the Cash Advance fee of 25.99% that may also vary.
  • There is no fee to pay each year.
  • Special Offer: You get cash back on the sum spend during the first year. The cash back is automatically credited to your account.

More details concerning the card:

  • You’re not expected to pay any annual fee, but you’re expected to get cash back for every purchase you make with the card.
  • If you want to be approved for the card, you need a deposit of at least $200. It’s refundable and it’s equal to the credit line you’ll get. You’ll also need to provide your bank information when applying for the card.
  • 8 months after you open an account, the bank will see how you’re using your card. If you pay off on time, there is a high chance that your card will automatically be converted into an unsecured card.
  • You get a cash back of 2% on the total sum of $1,000 each quarter of a year. The cash back is provided for the purchases made in the activated bonus categories. All other purchases will give you 1% cash back.
  • You’ll get cash back at the end of the first year of you using the card. All the sum spent during this period will be taken into account.
  • You get alerts each time you visit suspicious websites. The feature is new. There is a special monitoring system that looks out for the websites that are dangerous to visit.
  • If you want to get more information concerning the rates and other terms, click on the “APPLY NOW” button.

Advantages

This card is very popular among those who have a bad credit. There are several reasons for such a big popularity: no annual fee to pay and the cash back that you can earn on all the purchases made with the card.

Disadvantages

The biggest drawback is that the initial deposit should be made by you with your existing bank account. Consequently, if you don’t have one, you won’t be able to get approved for the card.

Conclusion

Overall, the rewards rates and other beneficial features available for the card are much better than those implied by the majority of the unsecured cards.

The best credit card for you in terms of low interest and fees – Digital Federal Credit Union Visa Platinum Secured Credit Card

Digital Federal Credit Union Visa Platinum Secured Credit Card

General information on the card:

  • Special offer concerning APR: No offer for this card.
  • Standard APR amounts to 12.50% but it may vary. Bear in mind that if you fail to pay off on time, the penalty fee of 18.00% applies. The penalty fee is also a subject to changes. The card comes with the Cash Advance fee of 12.50% that may vary.
  • There is no fee to pay each year.
  • Special Offer: No offer for this card.

More details concerning the card:

  • The card’s rates are much lower than the average rates implied by many cards.
  • No annual fee to pay.
  • No fees or rates apply for the Cash Advance and Balance Transfer operations.
  • You can use your DCU savings account to get approved for a credit line on the card.
  • The card allows to make purchases via Apple Pay®, Android Pay™, and Samsung Pay.
  • The card comes with benefits in terms of travelling, car rentals and warranty.
  • If you wish, you may turn on the Overdraft Protection concerning your DCU Checking.
  • Visa Checkout allows you to make purchases easily and safely.
  • The card has an EMV chip to protect the information on your card.

Advantages

The APR is very low. In fact, it’s much lower than the APR that applies in case of many well-known secured cards. There are no limits concerning your credit line since the deposit that you initially make doesn’t have to necessarily be equal to the credit line you get.

Disadvantages

In order to get the card, you must be a member of Digital Federal Credit Union. Actually, it’s not that difficult to become one, but for some people it may be troublesome.

Conclusion

If you get the card with the view of converting your bad credit into a good one, you’d better pay off in full each month. Overall, the card is cheaper than the majority of other secured cards you can get.

Other great options to consider

The cards described above are great but they are not the only good cards you can get if you have a bad credit and want to improve your situation. Below, there are other good options to consider.

  1. CITI® SECURED MASTERCARD®

The card is pretty much the same as many secured cards. It has an APR of 23,49% and implies no annual fee. The deposit you can make may vary from $200 to $2,500. However, if you went bankrupt at least 2 years ago, you won’t be able to get it.

  1. FIRST PROGRESS SECURED CREDIT CARDS

The cards are meant for those who had problems with credit in the past and now desperately need to improve the situation. The cards will also meet the needs of those who never had any credit card below and want to start establishing a credit score. There are 3 cards to choose from. They have different APR, but the lower the APR is, the higher annual fee you’ll have to pay. The credit line you’ll get will depend on the minimal deposit you’re able to make.

  • Platinum Elite card implies no annual fee during the first year, but after that you’ll have to pay $29 each year. The APR amounts to 19.99% but it may vary.
  • Platinum Select implies no annual fee during the first year, but after that you’ll have to pay $39 each year. The APR amounts to 14.99% but it may vary.
  • Platinum Prestige implies no annual fee during the first year, but after that you’ll have to pay $44 each year. The APR amounts to 11.99% but it may vary.

Of course, the best way for you if you don’t want to pay any interest is to pay the sum you used in full each month. If that’s your plan, you can apply for the card with the lowest fee to pay each year. If you think that you won’t manage to do that, you’d better choose the card with the lowest APR. Starting from the February 2017 these cards are not available for those living in Arkansas, Iowa, New York and Wisconsin.

  1. BANKAMERICARD SECURED CREDIT CARD

The biggest benefits of the card are the following: you can get a very high credit line (since the maximal deposit is $4,900) and you may get your deposit back while continue using the card under the condition that you use the card the right way for at least 1 year. The annual fee to pay amounts to $39 and the APR amounts to 20.99%. The APR may vary.

  1. WELLS FARGO SECURED VISA CARD

The popularity of the card has to do with the fact that it implies a very big credit line. The maximal deposit you can make amounts to as much as $10,000. It’s a great option for those having problems with credit but having a very big sum of cash. There is a possibility to upgrade it to an unsecured credit cards, but there are no exact time frames provided. The annual fee you’re expected to pay for the card amounts to $25. The APR amounts to 19.99%, but it may vary.

Credit cards you’d better refuse applying for

Even though the cards mentioned below doesn’t require you to make the initial deposit, they imply very high fees. Consequently, these cards are not the cards a person who already has a bad credit needs. The cards mentioned below may come with application and processing fees, fees to pay for activation and monthly “maintenance” or “membership” fees. To crown it all, you’ll also have to pay annual fees.

So it’s better to avoid these cards at all costs and find a secured card with the requirement of a deposit.

  1. FIRST PREMIER BANK CREDIT CARD

The fees for these cards are one of the highest compared to other secured cards. Besides, there is a processing fee of $95 that you need to pay before you get the card. The higher your credit limit is, the higher the annual maintenance fee is. The cards allow you to get a credit line of $300-500. The annual maintenance fee varies from %75 to $125.

Even if you get the card with no fee to pay during the first year, you’ll still have to pay the processing fee that rather high. Overall, you’re expected to pay the sum of approximately $120 -$175 just to pay off the fees that apply for 1 year of you using the card. The cards had one of the biggest rates that amounted to %36 in February 2017.

  1. HORIZON GOLD CARD

If you decide to apply for the card you may end up facing a number of problems. The biggest unsecured credit of $500 promised can be used only for the purchases you want to make on the Horizon Outlet online mall. The card comes with the membership fees that amount to approximately $300 a year. Definitely not the card for those who want to build a good credit score.

  1. CREDIT ONE CREDIT CARDS

Actually, the cards issued by Credit One Bank are meant for those who have a nearly great credit score. The official website of the bank doesn’t provide any certain information concerning the annual fees you’ll have to pay and whether or not there will be a grace period. It’s not clear whether you get rewards for the purchases made with the cards and, if you do, what are the rewards rates and what purchases are taken into account. Everything seems too complicated.

  1. SURGE CARD AND MATRIX CARD

The cards are issued by the Continental Finance Company. Don’t even bother considering any of them if you’re looking for a relatively low annual fee. Of course the annual fees for the cards decrease after the first year of you opening an account, but there appears a different fee to pay – maintenance fee.

  1. TOTAL VISA

Just the way it was with one of the cards already mentioned, you’ll have to pay a fee even before you get the card. The annual fee drops from $75 to $48 during the first year, but, starting from the 2nd year, you’ll have to a pay a processing fee of $6,25 per month. If you calculate the total sums you’ll spend during the 1st and the 2nd years, you’ll end up with the following numbers: $164 and $123.

  1. INDIGO PLATINUM MASTERCARD

The annual fee you’re expected to pay if you want to get the card will depend on your creditworthiness. Of course, if you’re one of those struggling to fight with a bad credit, your score isn’t great. Consequently, you’re more likely to get approved for the card only under the condition that you pay approximately $75-99 each year.

  1. MILESTONE GOLD MASTERCARD

With this card, it’s also all about your creditworthiness. You may be expected to pay each year $35, $59 as an annual fee or you may be expected to pay $75 in the first year and $99 in subsequent years. Besides, there may also apply a fee for the opening of the account. The APR is the same as the one that applies for the Indigo Platinum card. It’s not the worst credit card to have, but it’s definitely not the best one either.

1 Star2 Stars3 Stars4 Stars5 Stars (10 votes, average: 4.80 out of 5)
Loading...
Like this post? Please share to your friends:
Comments: 6
  1. Griffin

    I recently moved to US. I have a long history of using both credit and debit cards in my home country. I’m having problems with getting approved for a credit card in the US. Is there any way to count my history of using credit and debit cards in my home country?

    1. Thomas

      Hello, there. Unfortunately, it’s impossible to count the history of you using the cards at your home country since the factors for defining creditworthiness differ in each country. Your best option in this situation is to apply for a secured card to start establishing a credit history ion the US.

  2. SuzanneLee

    My husband failed to get a mortgage because of his low credit score. We were suggested applying for the First Progress card because it would raise his score by 20 points and there would be a report sent to bureaus one week after we opened an account. I want to know if it’s really so.

    1. ReginaST

      I’’ m using the card you were suggested applying for. Everything is right. The bank sends a report week after you got approved and accepted it. Unfortunately, in my case, it took a bit longer, but everything is fine now. You can also consider applying for OpenSky. The minimal deposit to make is the same but they send the report to 3 biggest credit agencies in the state.

  3. SherleyGlamour

    I’m a single mother raising 2 kids. I have a very limited budget available since I’m a full-time online student and I have to pay for my studies $400 per semester. My income amounts to $700 currently. I don’t have to pay for food and rent for now because my son has got a temporary disability. I’m wondering if it’s possible to start establishing my credit score considering my low income? Thanks in advance.

    1. Victoria

      Hello, there. Your situation seems to be rather difficult, but there are some really good options for you still. We’d suggest you applying for a secured credit card and make a deposit equal to the amount of money you want to borrow. It’s not very high in case of such like cards. This is a huge advantage. Use your card to buy some small things so that you’re able to pay in full each month.

Leave a Reply

;-) :| :x :twisted: :smile: :shock: :sad: :roll: :razz: :oops: :o :mrgreen: :lol: :idea: :grin: :evil: :cry: :cool: :arrow: :???: :?: :!:

Best of