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The Best Credit Cards for Bad Credit, July 2014

This article was written by in Credit. 5 comments.


For consumers with a poor credit history, the options for new lines of credit are limited. Far too often, lenders take advantage of people with poor credit by charging high interest rates and fees. Rather than improve their credit, the added debt only makes things worse. The world can be a much uglier place when your credit score is below 650. Before signing up for a new credit card, someone with bad credit should determine the cause of the low score. If it’s related to uncontrollable spending, this is the problem that should be solved before looking for new credit.

Many people with bad credit are interested in improving their credit score, and responsible use of credit is the perfect way to do this. Some credit card issuers offer products designed specifically for people with bad credit. Even though the terms may not be as favorable as other mainstream cards, these can be good instruments for proving to the financial industry one can now handle a credit card without creating more problems. The best credit cards for poor credit generally lack rewards and perks, but the cards you’ll find below do offer consumers a line of credit with reasonable interest rates and low fees. If you own a card designed for consumers with bad credit and you love it, let me know and I’ll add it to the list.

The cards on this list report your credit information to all three major credit bureaus, which will help improve your credit score if the behavior is positive.

Cards for bad credit

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Updated July 28, 2014 and originally published July 4, 2011. If you enjoyed this article, subscribe to the RSS feed or receive daily emails. Follow @ConsumerismComm on Twitter and visit our Facebook page for more updates.

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About the author

Luke Landes, also known as Flexo, is the founder of Consumerism Commentary. He has been blogging and writing for the internet since 1995 and has been building online communities since 1991. Find out more about him and follow Luke Landes on Twitter. View all articles by .

{ 5 comments… read them below or add one }

avatar shellye ♦107 (Cent)

This is really interesting to me because, even though I try to avoid using credit cards whenever possible, I do think there’s a huge market for secure credit cards to help people rebuild their credit in light of the recession, and the three listed above seem pretty reasonable. I work for a financial institution and wish we would do more to help people rebuild their credit. There are a lot of good people out there whose credit went up in smoke due to job losses, medical emergencies, who could use a secured credit card.

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avatar qixx ♦1,880 (Half-Dollar)

After looking at this list i wonder how some cards survive that have poorer terms than these and are not designed for individuals with bad credit. I’m looking at you HSBC run card (GM, Best Buy, etc)

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avatar Jim

At one time I had stellar credit, lots of cards, businesses, property and more. Then everything fell apart.

I did not even have a checking account for 6 years.

3 years ago, I went to check my FICO and did not even have a score.

I worked with my credit union and got a secured card, that after 12 months converted to a regular credit card that earns rewards. I recently stopped by for a chat and had my credit limit doubled with only a couple of signatures. I was also was able to refinance a high interest Car loan over to my credit union, that cut the interest by a factor of 3 and lowered the payment by 1/2 for the same loan period.

So I am a fan of the right Credit Union.

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avatar THOMAS

WHAT WAS THE CARD THAT CONVERTED IN 12 MONTHS?THANK YOU

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avatar skylog ♦368 (Nickel)

thank you for the list. i am going to forward this to a co-worker who has been looking for a way to improve their credit.

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