Credit Cards for Poor Credit

Bad Credit History Cards Help Fix Credit Reports

Aug 24, 2009
Asa Ghaffar

Credit Cards for Poor Credit - U.S. Government

The best secured and unsecured credit cards for poor credit not only have a high credit limit and low charges, they also help to fix a bad credit history. Apply today.

Both unsecured and secured credit cards for poor credit customers are readily available but, due to the risk of default, the terms are completely different. The good news is that those who make punctual repayments to their bad credit history card will start to fix credit reports and repair bad credit. This could mean that mainstream financial products will become available in the near future.

How toSelect Credit Cards for Poor Credit

The best bad credit card deals are only available when a cash deposit or collateral is provided. This is because those who have defaulted on their credit agreement or declared credit card bankruptcy represent too great a risk to lenders. Possibilities include the Applied Bank secured VISA, First Premier platinum MasterCard or the New Millennium Bank secured platinum card.

Unsecured Bad Credit Score First Premier Platinum MasterCard

Unsecured poor credit credit cards offer a lower limit than their secured alternative. If accepted, a credit limit of at least $250 will be offered to customers. This amount will be re-assessed every 6 months so it could well be increased to a more useful level.

There is an annual fee of $30, a processing fee of $45 and a monthly servicing fee of $6.25. The APR is currently 59.9%. It is possible to use up to 10% of any available credit limit to enjoy a cash advance, although this may increase once 2 months payments have been made.

A credit check will be performed to establish eligibility which may mean that it is not suitable for those who have declared credit card bankruptcy. However, it could be amongst the best bad credit history card offers for those who have other past repayment indiscretions.

Secured Poor Credit Card from Applied Bank Secured VISA or MasterCard

This is amongst the best cards because no credit check is necessary, nor are there any specific income requirements. Punctual payments will be reported to credit reference agencies so your FICO credit score will start to gradually improve.

It offers customers a credit limit of up to $5,000 and a competitive interest rate of just 9.99% APR. It is important to note that the initial credit limit will be equivalent to the first deposit. The minimum initial deposit is $200. There is also an annual fee of $50 which will be charged at the end of the first month.

The main drawback is that there is no grace period which means that interest will accrue immediately. Online payment is possible at any time so interest payments can be avoided. This is an excellent chance to improve personal FICO credit scores if adverse credit or even credit card bankruptcy have been an issue.

Secured Poor Credit Credit Card from New Millennium Bank Secured Platinum

Customers could be offered a credit limit of up to $10,000. No credit check is necessary which means that it is one of several viable poor credit rating credit cards. The principle benefits include the provision of auto rental insurance, extended warranty on purchases and up to $100,000 of travel accident insurance.

An annual fee of $59 will also be charged; there is also a one-time processing fee of $99.95. Should a customer require both a VISA and a MasterCard, the processing fee will be $129.95. There is no grace period so interest becomes payable from the moment of purchase. The minimum deposit is $300.

Punctual repayments to a bad credit history card will be reported to all three credit reference agencies. This provides a good opportunity to recover from a low FICO credit score following missed and late payments or credit card bankruptcy. This may mean that you can qualify for the best credit card offers later on.

Fix Credit Reports with Bad Credit History Card

Credit cards for poor credit are available, but the terms will not be as favorable as they once were. However, making repayment punctually could mean that the best credit card offers will be available in the future. This is even possible for those who have declared credit card bankruptcy.