There isn’t a single cause of bad credit. Some people develop bad credit after a history of skipping payments, while others see a drop in their credit scores after a repossession or bankruptcy. However, the exact cause of bad credit isn’t important. What’s important is figuring a way to fix bad credit and rebuild your score.
If you have a bad credit score, applying for a credit card might be the last thing on your mind. You might have settled into a life of paying cash for everything. There’s nothing wrong with cash. In fact, this is an effective way to stay out of debt. But if you want to rebuild your credit and qualify for financing in the future, you have to use credit. This doesn’t suggest applying for a high-rate personal loan or auto loan. Improving your bad credit can be as simple as applying for a bad credit credit card.
Here is a list of some of the best credit cards for bad credit.
Complete your application and submit a security deposit up to $3,000, and you can use your Capital One Secured MasterCard wherever MasterCard is accepted worldwide. This credit card reports to the three major credit bureaus and there is no processing fee or application fee. There is a low $29 annual fee, as well as a variable APR as low as 22.90%. Maintain timely payments each month and you might qualify for periodic credit limit increases.
Apply online for the First Premier credit card and receive a response in less than a minute. There is no security deposit, but you will pay a one-time $95 processing fee. The annual fee is $75 the first year, and then $45 a year thereafter. The initial credit limit is $300, but can increase with timely payments. This credit card sends reports to the three credit reporting bureaus. You can use the credit card wherever MasterCard is accepted worldwide. The annual percentage rate for purchases is 36%, but you can avoid interest by paying your bill in full each month.
Submit a security deposit of $300 to $2,000 and receive a credit limit of an equal amount. This credit card is available to people with no credit and bad credit. There is a $39 annual fee and a variable APR as low as 14.99%. This credit card reports to the three major credit bureaus on a monthly basis. Apply online and receive an instant response. The First Progress Platinum credit card is not available to residents in New York, Wisconsin, Iowa or Arkansas.
You can qualify for this secured credit card with a security deposit as low as $200. There is a $35 annual fee, and APR’s start as low as 7.99%. There is no processing fee. The credit card automatically sends monthly updates to the three credit reporting bureaus.
This article was first published on http://moneyprime.com.