Poor Credit Credit Cards
A poor credit credit card is a card that has easy approval requirements. You can be approved for an unsecured, secured, shopping, and prepaid credit card.
Unsecured cards offer you a line of credit and often come with high fees ranging from $150-$200.
With a low credit score, each of these cards will unfortunately have fees. An unsecured card is the riskiest type, so they will therefore have the highest fees.
With a secured card, you open a bank account and secure it with a deposit. Your card is then issued with a credit limit equal to the amount of your deposit.
With a secured credit card, you will have monthly bills and an interest rate, just like an unsecured card. You deposit earns interest and is 100% refundable, provided you close your account on good terms.
Both unsecured and secured credit cards report your activity to the major credit bureaus. A shopping card is another credit card choice.
We do not suggest getting this type of card, because it is only accepted at a certain retailer, often part of the credit card company itself.
In other words, you may face higher merchandise costs as well as either a monthly membership charge or large down payment. In addition, shopping cards usually only report to one of the credit bureaus.
The last option is the prepaid debit card. This is similar to a bank card or checking account. You can deposit funds by direct deposit and pay your bills using a feature called bill pay.
However it is important to look at the fees associated with this card. One of the most popular cards will charge you $1.00 for every purchase you make using the card, citing a convenience fee.
If you have a poor credit rating, your credit choices unfortunately are dramatically reduced. Despite what you may think, though, derogatory items are removed from credit reports on a daily basis.
Don't think that you just have to live with a poor credit rating. You may contact the credit bureaus to dispute the negative items and have them erased without waiting seven years.
There are numerous credit card options out there, even for those with poor credit. Before applying for a card, be aware of all the associated fees and if the card reports to the three credit bureaus.
Unsecured cards offer you a line of credit and often come with high fees ranging from $150-$200.
With a low credit score, each of these cards will unfortunately have fees. An unsecured card is the riskiest type, so they will therefore have the highest fees.
With a secured card, you open a bank account and secure it with a deposit. Your card is then issued with a credit limit equal to the amount of your deposit.
With a secured credit card, you will have monthly bills and an interest rate, just like an unsecured card. You deposit earns interest and is 100% refundable, provided you close your account on good terms.
Both unsecured and secured credit cards report your activity to the major credit bureaus. A shopping card is another credit card choice.
We do not suggest getting this type of card, because it is only accepted at a certain retailer, often part of the credit card company itself.
In other words, you may face higher merchandise costs as well as either a monthly membership charge or large down payment. In addition, shopping cards usually only report to one of the credit bureaus.
The last option is the prepaid debit card. This is similar to a bank card or checking account. You can deposit funds by direct deposit and pay your bills using a feature called bill pay.
However it is important to look at the fees associated with this card. One of the most popular cards will charge you $1.00 for every purchase you make using the card, citing a convenience fee.
If you have a poor credit rating, your credit choices unfortunately are dramatically reduced. Despite what you may think, though, derogatory items are removed from credit reports on a daily basis.
Don't think that you just have to live with a poor credit rating. You may contact the credit bureaus to dispute the negative items and have them erased without waiting seven years.
There are numerous credit card options out there, even for those with poor credit. Before applying for a card, be aware of all the associated fees and if the card reports to the three credit bureaus.
About the Author:
For more about Bad Credit Cards or for a review of the Total Visa an unsecured credit card visit us. For a free credit consultation call 1-800-253-3735.
posted by Credit Counseling at
1:06 PM
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