8 Best Credit Cards for Bad Credit June 2023 – Check Features & Fees
Reviewed by Marie Still, MBA
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Having a bad credit score sometimes can make things hard for you. Even landlords now check your credit score before renting you a house. It is that tough for those who have bad credit. The worst happens when you approach a lender for a loan and it seems you’ll never qualify for one.
If you have been facing this, then you need to look into the best credit cards for bad credit. These are credit cards that have been designed to meet your needs even if your credit history is not the best. We compiled a list of such credit cards for you below. Take a look.
Top 8 Best Credit Cards for Bad Credit 2023
- Capital One Platinum Secured Credit Card – Editor’s Choice
- Self-Credit Builder Visa Credit Card – Best for Building Your Savings and Credit
- OpenSky Secured Visa Credit Card – Best Customer Support
- Credit One Bank Platinum Visa Credit Card – Best for Cash Back Rewards
- Discover it Secured Credit Card – Best No Annual Fee Card
- Petal 1 Visa Credit Card – Best for Foreign Use
- Bank of America Secured Credit Card – Best for Credit Education and Card Use
- DCU Visa Platinum Secured Credit Card – Best for Low Interest Rates
8 Best Credit Cards for Bad Credit of June 2023
Capital One Platinum Secured Credit Card
One of the biggest pros of getting this card is that there are no annual fees. Also, your credit limit can be improved without depositing any additional amount.
- No hidden fees
- It is easy to get approved
- Get automatic increase in credit lines
- High interest rates
Anyone can end up with a lower credit score, but what matters is to find secured credit cards such as these ones which can help to get your finances back to better health. Many people love this card for not having hidden fees or an annual fee. A good feature is a same-day approval – provided that the credit applicant completes all the required information properly.
One of the terms for getting the card is to pay a refundable security deposit of $49. This would give you a $200 initial credit line. Completion of this deposit assures approval for the credit card. This credit card is for people with bad credit. It can take only 6 months to improve your credit limit. You don’t have to add any deposit. Also, with the $0 fraud liability policy, it means that you are not responsible for the unauthorized charges on the card.
Self-Credit Builder Visa Credit Card
Building your credit with a savings account is easier and also means there is the possibility of getting a refund for your deposit. That is what this card will help with.
- Easy approval process
- Savings account builder
- Millions of locations accept the card
- High annual fee
Do you have a savings account? This is the best choice among cards for bad credit if you choose to build your credit with a savings account. The best part for anyone with a low credit score is that no credit history or credit check is necessary. As such, approvals just got easier.
For this type of secured credit card, you have to choose a credit-builder account that will report to all the 3 major credit bureaus. Provided you make your monthly payments on time, you get an improvement in your credit score and positive history. Of course, you also build your savings account.
The savings in the credit builder account will act as the refundable security deposit. So, you should not worry about that first deposit.
OpenSky Secured Visa Credit Card
No more worries about your credit history here. Simply deposit from as low as $200 to set your credit limit for the card.
- No credit history is necessary
- A solid community that offers help
- Easy to understand credit cardholder agreement
- High initial deposit
Wouldn’t you be happy to know that no credit check is required to apply for this credit card? That is good news for most people who know that their credit score is nowhere good. As such, the company is following its mission of giving everyone the opportunity to get credit.
How about the security deposit? The credit limit that you get on the visa card depends on the deposit you make. You can start from as low as $200. From the company’s website you can see how much credit you would get for various deposits.
Within six months of using this card, and paying on time, your credit scores with the different credit bureaus may improve. There is also a Facebook community and a forum where the support team makes it easy to reach them and share your experiences.
Credit One Bank Platinum Visa Credit Card
Since the company reports to the credit bureaus, it can help in rebuilding your credit score faster. Also, an automatic review of your credit line improves how much you can access with the card.
- Easy process to apply for the card
- Earn cash back rewards
- It has a $0 fraud liability policy
- High annual fees
If you enjoy cash-back rewards, this is the best credit card for you. It is an unsecured credit card that has many benefits to encourage more people to consider it. Even those with a bad credit history have a chance of rebuilding it to better financial positions. You could also check if you pre-qualify for the card without necessarily impacting your current credit score, unlike other credit card issuers.
There is also a $0 fraud liability on the card. This means even if your card gets charged where you did not authorize, you are not liable for unauthorized charges on the card. Automatic reviews of the credit line generally increase your opportunities with the card.
Also, the company reports to the three major credit bureaus each month. This is an opportunity to rebuild your credit faster since updates are made to your credit history regularly. You can also get credit tips from the company’s website.
Discover it Secured Credit Card
Discover does ask you to pay an annual fee. Also, you get cashback each time the card is used to make a purchase. These are two vital features anyone with bad credit can benefit from.
- No annual fee
- Earn cash back easily
- The card is accepted across many locations
- A higher deposit is required
Often the annual fee is what drives people away from some credit card issuers. However, the good news for this one, is there is no annual fee and you earn cashback of 2% on select purchases. Also, people get to build their credit once again with responsible use of the card.
There is a refundable deposit of $200. Just make sure you provide all the necessary information so that the approval process is smooth. If you keep up with the monthly payments, you can expect credit score improvements and credit line increases within 8 months.
This card is accepted in 99% of different places, it should be easy to use it from one place to another. Also, there is a dedicated credit education page on the website to help you learn more about how to rebuild your credit.
Petal 1 Visa Credit Card
Petal reports to all the 3 major credit bureaus so that you can build your credit faster. With no annual and foreign transaction fees, it is a good choice for you to get right now.
- No deposit is required
- Get up to 10% cash back
- Get credit line increase in 6 months
- High interest rates
This is another top choice for those who want a credit card with no annual fee. Also, it provides an impressive credit limit, between $500 to $5000. The way people use cards and timely monthly repayments made is very important towards rebuilding credit.
For people with no credit score or those with a generally bad credit score, this is a great card to get. Additionally, a credit limit increase can be earned faster than what other card issuers offer.
Its rewards program promises 2% to 10% on select merchants. Check out the official website to see how you can earn cashback using the card. . Download the mobile app, to; manage the money on the card, track expenses, and automate payments.
Bank of America Secured Credit Card
The approval process is quick. Increases in credit limits can be earned faster than most cards.
- Zero annual fee
- Fast credit reviews
- Access to educational material
- High foreign transaction fee
This card is a good option if you have a bad credit score. This secured credit card will help you rebuild credit even if you have a poor credit history. Very important to make your monthly payments on time.
The amount of the security deposit made will determine the credit limit. Additional factors include your total income and the ability to pay for the credit line once established. There can be a few changes in the policy, so always check the company website to understand more about the minimum security deposit.
The mobile banking app helps to track your spending habits, credit history, and more. It also grants access to important credit educational topics that help maximize the use of the card, including budgeting.
DCU Visa Platinum Secured Credit Card
The card does not have foreign transaction fees or annual fees. Interest rates are also lower than what other companies offer.
- There are no foreign transaction fees
- No annual fees
- Low interest rates
- A high minimum deposit
When a person with a bad credit score looks at getting a credit card, one thing he or she considers is the interest rate. This card has one of the lowest interest rates in the market and it has no annual fee. These are all good things for someone who has no idea where to start looking for a credit card.
If your credit report shows that you have a history of carrying balances, it is best not to choose the month-to-month option. This can be tough for rebuilding your credit. So, it is best to choose this low-interest and secured card. It can also be great for acting as a safety net.
The refundable security deposit is $500. This can be high for some people. However, it comes with several other benefits, including; travel insurance, extended warranty protection, and more. You also get a higher credit limit within a couple of months of using the card.
How To Get Approved For Credit Cards With Bad Credit
Getting approved for credit cards will involve a couple of things from the card issuer. So, to increase your chances of getting approved for a card, here are the things you should do.
- Fill in the correct information as requested
- Check your credit report and match it to a company willing to work with your history
- You can dispute any incorrect activity on your credit history
- Pay any debts first, if you can, before applying for another card
- Get a card that would matches your overall situation
How To Apply For Credit Cards With Bad Credit
When it feels like other card issuers are not approving you for a credit card, the list above can help you get approved. You’ll need to approach the card issuer and fill in the right information as requested during the applying stage. Depending on the company and the accuracy of the information, you may be able to get the card instantly.
Who should get a credit card for bad credit?
Companies create these types of credit cards because they understand the importance of improving a credit score for individuals with bad credit or no credit at all. Here are examples of when you might get such a type of card.
- You often default on loans that have now negatively impacted your credit score
- There was a bankruptcy recently.
- You are facing foreclosure
- Having a history of late repayments
- You have maxed out all your other cards
Conclusion
From the information above your credit score is quite vital if you want to finance a large future purchase, perhaps a house or a car, or even get a personal loan. If you are able to get an unsecured credit card, take note of the features of the card. Some individuals end up paying exorbitant fees over the months because they settled on the first card they saw. Take your time to find a good card that will help you improve your credit score and ultimately your finances over time.
Frequently Asked Questions (FAQs)
There are several reasons that can lead to your credit approval request being denied. They include; having too much debt, low income, you are too young, or the score is too low.
The secured credit cards will require a refundable deposit before being approved. As for the unsecured credit cards, you get the credit line without putting down a deposit.
It is difficult to be approved for a credit card without a bank account. Most of the card issuers would want you to deposit the security through a bank account. You may find one that allows a deposit from somewhere other than a bank account, but not many.
Yes. It is possible to get a pre-qualification, but not all issuers do this. So, check the card details to find out if it is possible or not.
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