8 Best Credit Cards for Bad Credit January 2022 – Check Features & Fees

Updated on - Written by
Fact check by Marie Still

Best Value

Capital One Platinum Secured Credit Card for Bad Credit

Capital One Platinum Secured Credit Card

  • Fast approvals
  • Faster credit line increases
  • Easy to earn back security deposit

Apply Now

Most Easy

Self-Credit Builder Visa Credit Card for bad credit

Self-Credit Builder Visa Credit Card

  • Easy to get approved for a card
  • The card is usable in different stores
  • Good customer service support team for any queries

Apply Now

OpenSky Secured Visa Credit Card for bad credit

OpenSky Secured Visa Credit Card

  • Manageable annual fee
  • Builds credit quickly
  • Deposits are quickly refunded

Apply Now

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.

The Lineup At A Glance

Platinum Secured from Capital One

Editor’s Choice

Capital One Platinum Secured Credit Card

  • Good for rebuilding credit
  • Refundable security deposit
  • No hidden fees

Self-Credit Builder Visa Credit Card

Best for Building Your Savings and Credit

Self-Credit Builder Visa Credit Card

  • Easy to get approved for a card
  • The card is usable in different stores
  • Good customer service support team for any queries

OpenSky Secured Visa Credit Card

Best Customer Support

OpenSky Secured Visa Credit Card

  • Manageable annual fee
  • Builds credit quickly
  • Deposits are quickly refunded

Credit One Bank Platinum Visa Credit Card

Best for Cash Back Rewards

Credit One Bank Platinum Visa Credit Card

  • Easily earn cash back rewards
  • Do not require deposits
  • Good for building credit

Discover it Secured Credit Card

Best No Annual Fee Card

Discover it Secured Credit Card

  • Easy to build your credit
  • There is no annual fee
  • Accepted nationwide

Petal 1 Visa Credit Card

Best for Foreign Use

Petal 1 Visa Credit Card

  • No annual fees
  • High credit limits
  • Higher cash back rates

Bank of America Secured Credit Card

Best for Credit Education and Card Use

Bank of America Secured Credit Card

  • Easy to get the card
  • Fast credit line review
  • Access important credit education

DCU Visa Platinum Secured Credit Card

Best for Low-Interest Rates

DCU Visa Platinum Secured Credit Card

  • Low interest rates
  • No annual fees
  • Easy to get more credit limits

8 Best Credit Cards for Bad Credit January 2022

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. This card is loved for not having hidden fees or an annual fee. A good feature is 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.  Your credit limit might be improved after only 6 months. 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 be so worried 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, 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. How the card is used 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 credit limit will be determined by the amount of security deposit made. . 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 and 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 provided, you may get the card approved 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.
  • You are facing foreclosure.
  • A bankruptcy was recently filed.
  • You have 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

Why was my application denied?

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.

What is the difference between secured and unsecured credit cards?

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.

Can you be given a credit card when you have no bank account?

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.

Can you get a credit card pre-qualification even with bad credit?

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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Written by:

LLC Staff

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