These credit cards have been designed to give you a second chance with your credit. It is for those with a low or damaged credit score.
Used responsibly these cards will create a positive payment history and improve your ratio of available credit to debt. Frequently these cards are used to repair a damaged score.
These two factors are heavily weighted on your credit score. Improving them you can achieve a high score even with negative items on your report.
There is monthly credit reporting with these cards. You should expect an APR of 19% and you will have some fees for these cards. This is the cost of a low score, however used correctly and this can be the last time you have a cost due to your score.
Your credit limit will be approximately $300 and you will be eligible for periodic credit limit increases. However some cards like the Tribute Gold MasterCard do offer a card with a limit of $70 for those with very bad credit.
These cards will help your score more that a secured credit card. This is because a secured card is reported to the bureaus as a secured account and will not impact your score as much as an unsecured account.
It is still wise to remove negative items from your report. However it has been discovered that once a negative item ages four years it will have much less impact on your score.
You should know that to get the most out of your card on your credit you should try to keep the balance at roughly 20% of your available credit. This will help because it shows the bureaus that you do use your card and are using it responsibly.
If you have; collections, charge offs, judgments, bankruptcy, or a repossession you can still be approved for this card. Each card will have different requirements for approval and you will get an immediate decision when you apply.
In sum if you have made mistakes in the past with your credit and want a second chance we suggest a sub prime card. It can improve your ratio of available credit to debt and build a positive payment history.
Used responsibly these cards will create a positive payment history and improve your ratio of available credit to debt. Frequently these cards are used to repair a damaged score.
These two factors are heavily weighted on your credit score. Improving them you can achieve a high score even with negative items on your report.
There is monthly credit reporting with these cards. You should expect an APR of 19% and you will have some fees for these cards. This is the cost of a low score, however used correctly and this can be the last time you have a cost due to your score.
Your credit limit will be approximately $300 and you will be eligible for periodic credit limit increases. However some cards like the Tribute Gold MasterCard do offer a card with a limit of $70 for those with very bad credit.
These cards will help your score more that a secured credit card. This is because a secured card is reported to the bureaus as a secured account and will not impact your score as much as an unsecured account.
It is still wise to remove negative items from your report. However it has been discovered that once a negative item ages four years it will have much less impact on your score.
You should know that to get the most out of your card on your credit you should try to keep the balance at roughly 20% of your available credit. This will help because it shows the bureaus that you do use your card and are using it responsibly.
If you have; collections, charge offs, judgments, bankruptcy, or a repossession you can still be approved for this card. Each card will have different requirements for approval and you will get an immediate decision when you apply.
In sum if you have made mistakes in the past with your credit and want a second chance we suggest a sub prime card. It can improve your ratio of available credit to debt and build a positive payment history.
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