Have you totally messed up you credit? Did you lose your job or just get done with a messy and costly divorce? Did you have a huge medical emergency that put you into the figurative depths of the debt world? Or did you just not give attention to your finances and now that you’re finally becoming responsible you have realized that you have horrid credit? Well don’t fret. Thanks to the credit card industry you can still get a credit cards with bad credit. If ever you would like some other answers relevant to this topic, see; Pay Day Loan In Florida.
I want to help people that have bad credit because once upon a time I had very bad credit. The first time I checked my credit score it was like 520. I could not get credit cards and I surely could not get loans. I could not even get cell phones or satelite television. I dug out of this hole and I did it primariliy because I found some bad credit credit cards that helped my to build back up my credit.
Let’s take a step back
When you have bad credit, card companies do not want to assume a risk on you. I tried and tried and tried some more to search for a card but I got denied again and again. I finally started doing a ton of reading online to find out that what I really needed to do was get a secured card. The stuff that I read claimed that I would just have to get a credit card for bad credit once and my score would be raised enough to have a better card in the future.
This is among the few areas of the lending world where there are several legit tools for people with bad credit. If your debt load is horrible and you get not be eligible for a normal credit card you can obtain a secured credit card. With a secured credit card you send in money and you can only spend that amount. What is the point? The point is that they still report to the credit bureaus so it appears as though you’re fixing your credit and repaying the card.
Once I had used the secured card for like six months, I started getting credit card offers in the mail. I picked the best one and applied for it. Holy smokes I was approved and that led to me establishing a solid credit history.
When I got my secured card, I simply searched online for ‘credit cards bad credit’ and found a slew of offers. None of these cards provide the best deal ever. Interest rates are not that great and you’ve got to pay annual fees. You also have to put out a security deposit. However, looking back this was the smartest financial decision I’ve made.
Another option for getting a credit card with bad credit is to ask for a secured card. A secured card requires that you put an amount, typically at least $200, on deposit with the credit card company. The company then issues you a credit card with a credit limit equal to your deposit. The card itself is identical to an unsecured card in its look and functionality. Be sure to carefully read the fine print on unsecured credit card applications as upfront and monthly fees could eat into your available credit.
A third option for getting a card with a bad score is to ask for a sub-prime credit card. These cards could be very expensive owing to the very high processing fees, and extremely high interest rates. This may not be worthwhile, as high interest rates could get you into a lot of problems in the future. Once again it’s critical that you read the fine print carefully. Never accept a card offer when you need to provide a fee or call a ‘900’ number before you’re approved for the card. Most of the time, these aren’t legitimate offers that you should consider.
Why is a co-signer so good when getting a loan or credit cards for bad credit? Well if someone if to cosign on your loan then the bank is assuming that you’ll not rip off you dad or your neighbor and that is why it is a safer loan. The bank also is in a position to go after the cosigner, thereby giving the bank a second option of recourse if they have to come after you to get paid back.
Sometimes people that have no credit or bad credit still get offered credit cards if they enter in school. This generally happens because kids that enroll in school are either getting money from parents or they’re taking out student loans. Either way they enjoy access to money and card companies can get a slice of that money by getting student to put things on their cards.
Enrolling in school will surprisingly start making card offers magically show up in the mail. Ok maybe it is not magic-card companies watch to find out who is taking out loans and signing up for classes.
This is one of the only ways that you’ll find a credit card for people with bad credit that will not cost you a security deposit. If I had taken care of the first cards I got I never would have had to obtain the secured card in the first place.
The secured card I decided to use when I had bad credit was the Orchard Bank secured Mastercard. I had to provide a $200 deposit and the arrangement was I had to make on-time payments for a year before I got it back. I made my payments on-time and received my money back. I still have that card today although I do not really use it anymore. I have much better cards now but it helps your credit to keep old credit lines open.
I honestly had a really hard time dealing with my bad credit. However, I got over it. I had to read a great deal and talk to a group of people before I fully understood what had to be done to fix my credit situation. Honestly, looking back, it was fairly difficult. I’m glad I went through that though because I’m now a much stronger person.
There are however many lenders who’re happy to take bigger risks and will lend to people who’ve had some troubles in their past. People looking for credit cards for bad credit history need only look here.
It is an easy page to navigate and immediately lists the top 10 credit cards on offer for those with bad credit. Most UK credit cards, especially those with the least interest rates, are for main stream borrowers but they do have some credit cards on offer for those with bad credit. These cards, being a higher risk, attract a higher interest rate. This shouldn’t be serious if you are able to manage to pay back the card every month.
The website describes the interest rate coupled with the card, the credit line available, and additional statistics such as annual fee, what the card is supposed to do, and supplementary characteristics that the card might possess, such as identity theft protection. The site also includes a search function down the left hand column. On this list you can select the card by issuing bank. Above that you can select travel cards, options for a credit transfer, and further types of cards that are presented on this website.
The hardest part about having bad credit is that you cannot take control of your finances. Let’s say that you are a home owner stuck with a terrible interest rate on your home loan. You cannot do a refinance mortgage loan because the bank thinks you are high risk. That sort of thing will make you crazy.
You cannot get unsecured business loans because you are too high of a risk, as a business owner. You cannot get a cell phone, again, because you are too high of a risk. You cannot get satelite television because you are too high of a risk.
I finally decided to take charge of my financial life and that meant fixing my credit score. I now have fantastic credit but it took about 7 years to get there. Back in the day I could not get a $5000 loan, now I have credit cards that have $20000 limits. There’s no way I ever could have gotten a $20000 loan, not even for a car. I’ve come a long way, but have a long way to go. At least now I’m focused on my finances and am going to make them better and better every day.
Once you have solid credit, you do not have to get junk loans anymore. You can take out low interest personal loans and other low interest loans.
Overall guys I would love to meet you improve your credit. Get yourself a credit card with bad credit and improve the situation. Take care of business! Stop messing around with paying bills late. Commit to yourself to become a person that always pays your bills on time and you will be a whole lot better off. Please take some steps today because honestly life gets a lot easier when you have taken care of business.