Your credit score is probably the most important thing in your financial life. This is because it tells the lenders your credit worthiness. A bad credit score – below 600 – can mean limited or expensive sources of funds when you need them the most.
This situation is particularly worse for people who have declared bankruptcy before. If you have, the bankruptcy issue can haunt your credit score for years.
Fortunately, many financial institutions offer quality credit cards for people with bad credit. Here are five of the best credit cards for you if your credit scores are low
Indigo Platinum card
If you have a bad credit score – and filed for bankruptcy before – the Indigo Platinum Card is an ideal card. The card comes with a low annual fee that ranges from $0 to $99 and an annual interest rate of 23.9% for purchases and 29.9% for cash advances.
The card offers no fees for cash advances for the first year. After one year, the card charges you either $5 or 5% of the transaction.
In addition to the physical card, the providers (Genesis Bank) provides you with access to a mobile-friendly platform where you can access the information in your card.
Also, the card gives you the ability to shop in more than 35 million locations worldwide.
Finally, the card does not require a security deposit from you.
Signing up for the card is easy. First, I recommend that you take time to read the terms and conditions for the card which are available in this page.
After this, you should select the design of your card and then provide a few details about yourself in this page and then proceed for pre-qualification. Then, you will proceed to make the full application.
The card comes with a penalty of not more than $38 for late repayment, overlimit, and return payments. It also comes with more penalties which you can read in the terms and conditions page.
Total Visa Credit Card
The Total Visa Card is ideal for people with bad credit who want to access funds and improve their credit rating. The card is offered by Mid America Bank & Trust Company.
The card is easy to get. All you need to do is visit the website, select your card design, and then answer a few questions for pre-qualification purposes. In all, the process can take less than five minutes to complete.
The card charges an APR of 29.9% for purchases and advances.
It comes with a few charges which include: $89 one-time processing fee, $75 annual fee for the first year which drops to $48, and no monthly fee for the first year which increases to $75 in the following year.
Finally, it requires no cash advance fee for the first year which increases to either $5 or 5% of the money you borrow.
The card also charges a penalty of $38 for late repayment or for returned payment.
Another limitation for the card is that it requires one to have a checking account. Also, you can only shop with it only in the United States.
It is very important for you to read the terms and conditions before you subscribe to any credit card. For the Total Visa Card, you can find the terms here
Milestone Gold MasterCard
The Milestone Gold Mastercard is provided by the Mid America Bank & Trust Company. It is ideal for people with poor credit score even those who have declared bankruptcy before.
The card offers features like:
Easy process to enroll for the card. You can apply for the card online within minutes. However, you will be required to pay a registration fee of $5.Fast pre-qualification without impact to your credit score.A low APR of 23.9% for purchases and 29.9% for advances.A low annual fee of $75 in the first year and $99 thereafter.It comes with the Mastercard Gold Benefits which include: Master Rental Insurance, Extended Warranty Coverage, Master Roadassist Service, and Travel Assistance Services.You can buy with it in more than 35 million locations worldwide.Free custom card designAn online platform to access your credit card account.
The card comes with several fees and penalties which you must always consider when enrolling for a credit card.
It charges you a fee of up to $38 for late payment, overlimit, or returned payments. Also, it charges you a 1% fee for all foreign transactions. For the first year, it charges you no fee for cash advances which increases to either $5 or 5% per transaction.
Credit One Bank Unsecured Platinum Visa
This card is one of the best credit cards if you have a bad credit score. It has low APRs and is more flexible than its competitors.
It is offered by the FDIC-insured Credit One Bank.
Applying for a card is easy. All you need to do is to visit their website, fill in your details, and wait for a confirmation. The entire process takes less than one minute to complete.
Its key features are:
It provides a monthly progress of your credit score which you can view in your online dashboard.Account alerts by a text message or an email when you make a transaction.Fraud protection which protects you against unauthorized charges.1% cash back rewards for all eligible purchases.Low APR of between 16.99% to 24.99% for all purchases.Low annual APR of between 18.90% to 25.9% for cash advances.Low annual membership fees of between $0 to $75 in the first year and $99 thereafter.You can shop with the card everywhere Visa is accepted.Low penalty fees of up to $37 and $35 for late payment and returned payment respectively.
The first minor limitation with this card is that you need to have a checking account with Credit One Bank to access it. This can however be done within minutes.
The other minor issue with the card is that you can’t select a preferred design for the card.
Like in the other cards I have reviewed, I recommend you to read the terms and conditions before you enroll.
First Access Card
This is another card ideal for people with bad credit score. It is provided by the FDIC-insured bank, Mid America Bank & Trust Company.
The card’s features are:
An APR of 29.9% for purchases and cash advances.Monthly reports to the major credit reporting agencies.A simple, fast, and secure online application. To register, you need to visit this website and fill in your details. It takes less than a minute to get approved.No processing fee for the first year which rises to $89 thereafter.No cash advance fee for the first year.
The card’s limitations are: you can’t purchase items when outside the United States, and you can’t select the card design of your choice.
You should also consider the different fees that the card comes with which include: a monthly fee, annual fee, cash advance fee, late payment fee, returned payment fee, copying fee, and the express delivery fee.
No one choses to have a bad credit score. When it happens, you need not to give up. As you have seen, there are companies that offer credit to people like you.
The secret is to work towards improving your score. You can achieve this by paying your credit debt early and to pay all the fees on time.
Another mistake you should avoid is getting a credit card without reading the terms and conditions. Some cards come with so many hidden fees that could lead to worsening of your credit score.