Credit cards for bad credit in the US may have some of the worst terms for cardholders. Many card issuers don't offer ‘normal' credit cards to people with bad credit, and if they do, those cards will come with very high interest rates, penalties and fees which could crush you if you already face financial difficulties. It's almost impossible to do without a credit card in this day and age. But fret not, because we are here to help you! If you have a bad credit score (below about 640-660), read on to find out which is our best rated credit card for bad credit you can consider getting if you want a card to help improve your credit score and to make life easier for you.
GET.com's best cards for bad credit
|Best For||Credit Card|
|Cashback||Discover it® Secured Credit Card - No Annual Fee|
|No Annual Fee||Capital One® Secured MasterCard®|
|Low APR||First Progress Platinum Prestige MasterCard® Secured Credit Card|
Below, we've included our best rated credit cards for bad credit or no credit:Discover it® Secured Credit Card - No Annual Fee received high ratings from the GET.com team because it has a no annual fee and you earn 2% cash back on up to $1,000 in combined purchases at restaurants and gas stations each quarter when you use this card to pay. Plus, you earn 1% cash back on all other purchases that you charge to this card. It has no foreign transaction fee, which is a great money-saving perk if you travel outside of the U.S., and it also has no late fee on your first late payment and your APR won't increase when you pay late (though paying late will damage your credit score so don't do it). See your FICO® Credit Score for free, both on monthly statements and online. Since your credit behavior is reported to all 3 major credit bureaus (Experian, Equifax and TransUnion), using this card responsibly will help you repair or build credit. Your security deposit of $200 or more will determine your credit line, up to the amount which Discover can approve. After 7 months Discover will begin to review your creditworthiness on a monthly basis, and you may become eligible to get your security deposit back, while you continue to use this card and enjoy its benefits. Read our review of Discover it® Secured Credit Card - No Annual Fee here.
Capital One® Secured MasterCard®. This card issued by Capital One reports automatically to all 3 credit bureaus. This is a real credit card, not a prepaid card. The minimum refundable security deposit is $49, $99 or $200 based on your creditworthiness. Your minimum deposit gives you a $200 credit limit, and you may qualify for an increase based on your creditworthiness and payment history. There is a 24.99% variable APR on purchases and balance transfers. No balance transfer fee. No annual fee. Read our review of Capital One® Secured MasterCard® here.
First Progress Platinum Prestige MasterCard® Secured Credit Card. You can get approved for this card without having any credit history or minimum credit score. It reports to all three major credit bureaus monthly. This card is secured by your refundable deposit of $200 - $2,000. The minimum interest charge is $1.50. The variable purchase APR is 11.99%. Nationwide Program though not yet available in NY, IA, AR, or WI. It has an annual fee of $44.
OpenSky® Secured Visa® Credit Card. This is a decent card for anyone with bad credit. One of the reasons to get this card is that it reports monthly to the 3 main credit bureaus, which is very important for anyone who is looking to build good credit. It has a 17.64% variable APR for purchases and balance transfers. It gives you a credit line of $200-$3000 and you don't need to have a checking account to make deposits. You can increase your credit line up to $5,000 at any time. Applying for this card doesn't require a credit check, so you can apply in less than 5 minutes. The $35 annual fee is high, but less than what you pay for many other secured cards.
First Progress Platinum Elite MasterCard® Secured Credit Card. This full-feature First Progress Secured Platinum MasterCard® Credit Card is excellent for people who have bad or no credit because it doesn't require you to have any credit history or minimum credit score to be approved and it helps you build your credit by reporting to all three major credit bureaus every month. You must maintain a security deposit of at least $200 and up to $2000. If you are charged interest, you will be charged no less than $1.50. The variable APR on purchases is 19.99%. It has an annual fee of $29.
First Progress Platinum Select MasterCard® Secured Credit Card. Even if you have bad credit and no credit history you can get approved for this card. Every month it sends a report to all three major credit bureaus which will help build your credit. You must maintain a refundable deposit of no less than $200 and up to $2,000. The minimum interest charge is $1.50. There is a 14.99% variable APR on purchases. The annual fee for this card is $39.
Credit Card for Bad Credit and Prepaid Card Tips
If you would like to build your credit history from scratch or raise your credit score, then we recommend that you apply for Capital One® Secured MasterCard® as it reports monthly to the 3 major credit bureaus in the US. If you pay your bills on time with all your creditors and maintain your account balances below the credit limits, your credit score would improve over time.
Many of these cards also let you check your balance on your phone, as well as receive alerts before your payment is due each month. If you are under 21, you won't be accepted for a credit card unless you show proof of income that you are capable of repaying any debt you may incur, or if you have a co-signer who agrees to be liable for any debt you may incur.
Ivan Daniel is a writer at GET.com. Email: firstname.lastname@example.org.Editorial Disclosure: Any personal views and opinions expressed by the author in this article are the author's own and do not necessarily reflect the viewpoint of GET.com. The editorial content on this page is not provided by any of the companies mentioned, and has not been reviewed, approved or otherwise endorsed by any of these entities. Opinions expressed here are author's alone, not those of the companies mentioned, and have not been reviewed, approved or otherwise endorsed by any of these entities.
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