View from the back of a girl standing in shopping centre walking area and holding credit card. Concept: credit cards for bad credit
Maja Mirosavljevic
By: mmirosavljevic
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Best Credit Cards for Bad Credit

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Did you know that you can still qualify for some credit cards, even if you have a poor credit score? That’s right: credit cards for bad credit exist. Moreover, if you use them properly, they can help you rebuild your credit and increase your credit score. That way, you can fix your past credit mistakes and create a better financial future for your business.

A difference from the credit cards that you can obtain with good credit score, these are pretty simple cards. That’s perfectly fine, because the whole point is to use them to build your credit, show that you’re financially responsible and then to apply for a better solution.

Also, there are secured and unsecured cards for bad credit. The difference is that secured credit cards for bad credit require a security deposit which protects the issuer in case you fail to pay your debts. For this reason, it’s easier to get a secured credit card. On the other hand, unsecured cards for bad credit don’t require a deposit, but they usually have high interest rates and low credit limits.

If you have a poor credit score (from 300 to 639) and you want to build your credit, consider applying for some of the best credit cards for bad credit.

Top 10 Best Credit Cards for Bad Credit

After researching the main requirements, such as deposit, annual fees, regular APR, and other conveniences, here is a list of ten best credit cards for bad credit.

#1 Credit One Bank Visa Credit Card

This is an excellent option that will help you improve your bad credit. Credit One Bank Visa Credit Card has a rewards program, which allows you to receive a 1% cash back on purchases like groceries and gas, and on services like mobile internet, phone, and cable. Also, one of the great features is that you get to choose your own payment due date.

  • Best for: building credit.
  • Minimum credit score required to qualify:
  • APR:24-26.24% (variable).
  • Annual fees: $0-$75 for the first year, $0-$99 each additional year.

#2 Discover it Secured

This is one of the best credit cards for bad credit for cash back. With its reward program, Discover it Secured enables you to get  2% cash back on up to $1,000 a quarter at restaurants and gas stations, plus 1% on all other purchases. Just keep in mind that it requires a refundable deposit of $200.

  • Best for: getting cash back.
  • Minimum credit score required to qualify:
  • Intro APR: 99% on Balance Transfers for six months.
  • Regular APR:24% (variable).
  • Annual fees: $0.

#3 Capital One Secured Mastercard

This is one of the best credit-builder cards given that it doesn’t come with annuals fees or hidden costs. Besides, it’s possible to get access to a higher credit line if you make on-time payments for five months. However, you need to put down a refundable deposit of  $49, $99 or $200 to get a credit limit of $200.

  • Best for: rebuilding credit with minimal upfront costs.
  • Minimum credit score required to qualify:
  • APR:99% (variable).
  • Annual fees: $0.

#4 Indigo Platinum Mastercard

This is one of the most convenient credit cards for bad credit for anybody who has filed a bankruptcy. Indigo Platinum Mastercard offers easy pre-qualification process that doesn’t affect your credit score. Plus, there are other convenient features such as only 1% foreign transaction fee and travel benefits. For instance, if you pay for your car rental using this card, you’ll get coverage against theft and physical damage.

  • Best for: anybody that has filed for bankruptcy.
  • Minimum credit score required to qualify:
  • APR:90%.
  • Annual fees: $0 to $99.

#5 DCU Visa Platinum Secured Credit Card

This is an excellent choice for people with bad credit that are looking for an economical solution. DCU Visa Platinum Secured Credit Card comes with no fees, a low-interest rate, and flexible credit amounts, meaning you can cash practically as much as you wish. Besides, there are car rental, travel, and insurance benefits. But, unfortunately, there are no rewards.

  • Best for: low interests and no fees.
  • Minimum credit score required to qualify:
  • APR:75%, (variable).
  • Annual fees: $0.

#6 Total Visa Unsecured Credit Card

One of the best credit cards for bad credit that will assist you in rebuilding your credit. The bank will report your credit-building habits to the three main credit bureaus. However, Total Visa Unsecured Credit Card comes with a program fee, an annual fee, a monthly service fee and has an initial credit limit of only $300.

  • Best for: people who need to become disciplined about their credit.
  • Minimum credit score required to qualify:
  • APR: see terms.
  • Annual fees: see terms.

#7 OpenSky Secured Visa Credit Card

This is a convenient option for everybody who would like to avoid a credit check. Plus, you don’t need a bank account to qualify, and you’ll be able to build your credit quickly given that the issuer reports to the three major credit bureaus. On the other hand, OpenSky Secured Visa Credit Card has an annual fee, high ongoing APR, and it requires a $200 minimum deposit.

  • Best for: no credit check.
  • Minimum credit score required to qualify:
  • APR:64% (variable).
  • Annual fees: $35.

#8 Green Dot primor Visa Gold Secured Credit Card

This is one of the best credit cards for bad credit, especially if you’ve been struggling to get approved for a credit card. Green Dot primor Visa Gold Secured Credit Card doesn’t have minimum credit score requirements, so you can qualify even if you have damaged credit or no credit history. On the other hand, it has an annual fee, and it doesn’t offer any rewards.

  • Best for: the lowest interest rate.
  • Doesn’t require a minimum credit score to qualify.
  • APR:99%.
  • Annual fees: $49.

#9 Credit Builder Secured Visa Credit Card

Even though Credit Builder Secured Visa Credit Card doesn’t offer rewards and has a high APR, as well as an annual fee, it allows you to set your own credit limit between $300 and $3,000 based on the amount you deposit into your Credit Builder Savings account. Also, Armed Forces Bank will help you build your credit history by reporting your financial performance to the three major credit bureaus.

  • Best for: a flexible credit limit.
  • Minimum credit score required to qualify:
  • APR:24% (variable).
  • Annual fees: $3,500.

#10 First Progress Platinum Prestige Mastercard Secured Credit Card

The last option when it comes to best credit cards for bad credit is First Progress Platinum Prestige Mastercard Secured Credit Card. There is no minimum credit score or history required to get approved. Likewise, the use of this credit card is reported to the three major reporting agencies. The minimum deposit required is $200.

  • Best for: building or rebuilding your credit history.
  • Doesn’t require a minimum credit score to qualify.
  • APR:74% (variable).
  • Annual fees: $49.

What if you don’t want to have a credit card? Is there any other alternative to access credit if you don’t have credit history?

Is there any other alternative to access capital with no credit history?

Yes, there is – Camino Financial small business loans.

You don’t need a credit history or a minimum FICO score to qualify for a business loan with us – just a few simple requirements. However, remember that solid credit history will allow you to be eligible for lower interest rates. Besides, we offer:

  • Fast funding.
  • Larger loan amounts than the credit cards shown above.
  • Fixed monthly payments, so you know exactly what you owe every month and are in control of your finances.
  • Lower interest rates than most credit cards.
  • No hidden costs. Apart from the interest, you only have to pay a closing fee.
  • Our loans are unsecure: you don’t need to put up collateral to guarantee your loan.
  • Applying for a loan with us won’t impact your credit
  • We report all your payments to Experian, so you can build your credit.

Not convinced yet? Find here a detailed comparison of business credit cards with our business loans.

Our priority is to help businesses improve their financial performance and thus access better capital opportunities. For this reason, we have numerous resources that will help you rebuild or improve your credit.

After discovering the best credit cards for bad credit, we invite you to learn how to improve your credit score to access better business opportunities.

 

 

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