Your credit is important. Poor credit prevents you from getting a mortgage, auto loan, being approved for an apartment, and more.
Unfortunately, bad credit can happen to anyone — not just irresponsible spenders. If you lost your job while having outstanding debt, your credit could be ruined.
It can be hard to recover from poor credit, but it is doable.
Not only does poor credit make credit cards off-limits, but getting a secured credit card is a great way to start repairing your credit today.
Here are a few great credit card options for people with poor credit.
What are Secured Credit Cards?
Secured credit cards are a great option for people with poor credit or people with no credit history.
They require you to put down a cash deposit as collateral. The cash deposit is usually equal to your credit line.
Your card issuer will then hold the deposit just in case you aren’t able to pay off your debt. Once you upgrade to a standard, or unsecured, credit card, you’ll be able to get your deposit back.
Since you have to put down collateral to get the card, secured credit cards are much easier for people with poor credit to get.
Credit Cards for People with Bad Credit
Here are a few great secured credit cards for people with poor credit.
Capital One® Secured Mastercard®
The Capital One® Secured Mastercard® is a great option for people who need to rebuild their credit.
There is no annual fee, it is accepted at millions of locations worldwide, and is backed by Capital One’s great customer service.
There is a $200 credit limit after making an initial deposit of $49, $99, or $200. However, customer can increase their credit line by making on-time payments on a regular basis.
Discover it® Secured
The Discover it® Secured credit card is one of few secured cards that offer fair rewards.
This credit card offers 2% cash back at gas stations and restaurants (up to $1,000 per quarter), and 1% cash back on any other purchases.
There is no annual fee and you may be offered a credit line of anywhere from $200 to $2,500.
After eight months, Discover reviews customer accounts to see if they are eligible to transition to an unsecured card.
Indigo® Platinum Mastercard®
The Indigo® Platinum Mastercard® doesn’t offer rewards but is still a great credit card for people with poor credit.
Customers can get pre-qualified without impacting their credit score, the approval process is quick and easy, there are no annual fees, and customers who have previously declared bankruptcy can still be approved.
You’ll also receive fraud protection in case your card is lost or stolen.
These are just a few of the many secured credit cards available on the market. These cards are easy to qualify for and will give you a great start on repairing your credit.
Start Rebuilding Your Credit
Poor credit shouldn’t stop you from getting a credit card on working on your future.
There are plenty of secured credit cards available to help people with a poor credit history begin rebuilding.
Start rebuilding your credit today by performing a simple search to compare credit card offers that meet your needs.