Having bad credit can feel incredibly limiting, but there
are many credit cards for bad credit that can help you rebuild your credit
moving forward. Many of these cards offer low variable APRs, no or low annual
fees and other credit-building tools. These cards, combined with smart spending
habits, can open up new possibilities and grant you the financial freedom to
meet your goals.
Note: There’s no one
“best” card for everyone. All cards have their perks and quirks. So, you simply
need to choose the card that’s “best” for your needs and spending habits. To
help you figure out which one is the right card for you, here are a few of our
favorite credit cards for bad credit.
Best Credit Cards for Bad Credit 2020
Here are our picks for the best credit cards for bad credit:
First Progress Platinum Prestige Mastercard Secured Credit Card: A low APR balances out this card’s [carddata api_url="https://static.ccom-cdn.com/marketing-services/external/v2/offers?end_user_type=BLOG&offer_type=CREDIT_CARD&affiliate_id=32806&cardId=first-progress-secured-card-blue-firstprogresscreditcardoffers" option="onGoingFee"] annual fee.
OpenSky Secured Visa: There’s no credit check necessary to access the low rates of this card built to help you rebuild your credit.
[schumerbox api_url="https://static.ccom-cdn.com/marketing-services/external/v2/offers?end_user_type=BLOG&offer_type=CREDIT_CARD&affiliate_id=32806&cardId=first-progress-secured-card-blue-firstprogresscreditcardoffers" button_text="Apply Now" button_color="green"]
Benefits: The First Progress Platinum Prestige Mastercard also offers a super-low [carddata api_url="https://static.ccom-cdn.com/marketing-services/external/v2/offers?end_user_type=BLOG&offer_type=CREDIT_CARD&affiliate_id=32806&cardId=first-progress-secured-card-blue-firstprogresscreditcardoffers" option="onGoingApr"]. The card is secured by a fully refundable deposit of $200 to $2,000.
Disadvantages: The main disadvantage to this card is its [carddata api_url="https://static.ccom-cdn.com/marketing-services/external/v2/offers?end_user_type=BLOG&offer_type=CREDIT_CARD&affiliate_id=32806&cardId=first-progress-secured-card-blue-firstprogresscreditcardoffers" option="onGoingFee"] annual fee. Unfortunately, the card is not yet available nationwide, either. If you live in New York, Iowa, Arkansas or Wisconsin, you’ll need to find another credit card for now.
[schumerbox api_url="https://static.ccom-cdn.com/marketing-services/external/v2/offers?end_user_type=BLOG&offer_type=CREDIT_CARD&affiliate_id=32806&cardId=capital_bank_open_sky_secured_visa-creditcardoffers" button_text="Apply Now" button_color="green"]
Benefits: If you’re trying to rebuild your credit, the OpenSky Secured Visa is a great choice. You determine your credit line—submit a fully refundable security deposit between $200 and $3,000—and increase your credit line up to $5,000. There’s no credit check necessary, so you don’t have to worry about another dip to your credit score.
Disadvantages: There is a [carddata api_url="https://static.ccom-cdn.com/marketing-services/external/v2/offers?end_user_type=BLOG&offer_type=CREDIT_CARD&affiliate_id=32806&cardId=capital_bank_open_sky_secured_visa-creditcardoffers" option="onGoingFee"] annual fee, and the ongoing APR is a little high—it’s currently [carddata api_url="https://static.ccom-cdn.com/marketing-services/external/v2/offers?end_user_type=BLOG&offer_type=CREDIT_CARD&affiliate_id=32806&cardId=capital_bank_open_sky_secured_visa-creditcardoffers" option="onGoingApr"].
How
to Choose the Best Credit Card for Bad Credit
Choosing a credit
card for bad credit depends on your financial circumstances. One of
the most important reasons to get a card for poor credit is to rebuild your
credit, so you’ll want to choose a card that can help you do that.
Pay attention to the fees and APR associated with any card you’re
considering. While a security deposit for a secured card may seem like a steep
up-front expense, it might be worth it if you can avoid higher fees later and improve
your credit health overall.
Choose a card that rewards your spending habits and provides incentives for the types of purchases you tend to make. Before you apply, you should know your credit score so you can have a better idea of what cards are right for you. You can check your credit report for free with Credit.com.
Editorial disclosure: Reviews are as determined solely by Credit.com staff. Opinions expressed here are solely those of the reviewers and aren’t reviewed or approved by any advertiser. Information presented is accurate as of the date of the review, including information on card rates, rewards and fees. Check the issuer’s website for the most current information on each card listed.
Note: It’s important to remember that
interest rates, fees, and terms for credit cards, loans, and other financial
products frequently change. As a result, rates, fees, and terms for credit
cards, loans, and other financial products cited in these articles may have
changed since the date of publication. Please be sure to verify current rates,
fees, and terms with credit card issuers, banks, or other financial
institutions directly.
