If you are like many people out there, you struggle to make ends meet sometimes. This might not be a day to day, or even week to week occurrence, but it would be nice to have something to fall back on when you need some extra money. One option, of course, is a credit card, but what if your credit is bad?
Just because you have bad credit doesn’t mean that you can’t get a credit card. In fact, we see many customers who request credit card with bad credit. The process of requesting is probably easy than you think.
Before You Request Credit Card with Bad Credit
More than a quarter of people out there have credit that is considered to be “poor,” so you are certainly not alone. The first thing you want to do is to check on what your credit score actually is. There are many resources out there online that help you do this, and you might even have this service through your bank.
Once you know your credit score, you know what you are up against. There are some credit cards that you can easily get if your credit score is over 500, for instance, which is still considered a “poor” score in some circles. If your credit score is lower than that, you might have limited options, but it is still not impossible.
Understanding Different Credit Cards for People With Bad Credit
There are two main types of credit cards out there: secured and unsecured. Both are available for people who have bad credit, but unsecured credit cards are more difficult to qualify for.
A secured credit card is one that requires a collateral. This is in the form of a security deposit. For instance, if you put a security deposit down of $300, you would have a $300 limit on that card. The beauty of these cards is that they help you to improve your credit score, assuming you pay them on time.
An unsecured credit card is one that doesn’t require a security deposit. However, you often need a credit score that is a bit higher, though one that is still considered “poor.” Some people have to go with a secured credit card for a few months to build up their credit score before qualifying for an unsecured card.
What to Expect From a Credit Card for Bad Credit
You are probably wondering what you can expect when you request credit card with bad credit. The first thing you should expect is a higher APR. This might be as high as 30%. For someone with poor credit, they should expect the APR to range from around 20% to 30%, and some go even higher. In simple terms, this is the amount you pay to use that credit card.
Requesting a Credit Card for Bad Credit
It is easy to request a credit card for bad credit. There are many offering online requests. The tricky thing is, even if you are accepted after you request credit card with bad credit, you still have to wait around a week and a half. So, if you have an immediate need for money, one of our loans might be a better option.