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Credit Cards for Bad Credit

By: Stephen Bishop Jr.

Believe it or not, there are several great credit cards available for people that have bad credit. In fact, many credit card issuers specialize in providing credit cards for this purpose. Some of these issuers include HSBC Orchard Bank, First Premier Bank, Bank of Delaware, New Millenium Bank, Plains Commerce Bank, and MetaBank. These credit card issuers offer different types of credit cards including secured, unsecured, and prepaid, so finding the right one can easily be done!

Secured Credit Cards for Bad Credit:

A secured credit card is simply one that requires a security deposit that serves as the cardholder’s credit line. Often times, the card will be linked to the cardholder’s bank account or savings account in order to ensure security. There are many secured credit cards for people with bad credit to choose from. The New Millenium Bank offers the Secured Platinum Visa and also the Secured Platinum MasterCard. Cardholders are approved for these two cards regardless of credit history and income level. To become approved, you must open a FDIC insured savings account with The New Millenium Bank, meet the age requirements, and provide your address as well as your social security number. With the New Millenium Bank Secured Platinum Visa or MasterCard, cardholders can enjoy up to a $5,000 limit! This card offers warranty protection and car rental insurance. Also, cardholders can increase their credit score because the New Millenium Bank reports to all three major credit bureaus.

Orchard Bank also provides secure credit cards for people with bad credit. The Orchard Bank Secured MasterCard has several features. Cardholders can increase their purchasing power with periodic credit limit review. Also, the Secured MasterCard from Orchard Bank reports to the major credit bureaus. Online account management tools and Bill Pay make it easy for a cardholder to check his or her balance and make monthly payments. The cardholder can even choose the payment due dates to fit their own financial needs.

Perhaps the most interesting and innovative secured credit card for those with bad credit can be obtained from MetaBank. MetaBank provides the UltraVX Visa card. UltraVX’s trademarked Credit-On Demand system can allow cardholders to receive up to a $25,000 credit line. The patent-pending Credit-On Demand system consists of three different accounts; the cash account, secured account, and credit account. The cash account will be used by the cardholder to make account transfers, money transfers, and bill payments. The secured account is used to establish the cardholder’s credit limit. Funds from the cash account can be transferred into the cardholder’s secured account to increase his or her credit limit. The credit account is used by the cardholder for all of his or her purchases. Along with reporting to the credit bureaus and instant approval, the UltraVX Visa card from MetaBank offers their trademarked Clear Rewards program.

Prepaid Cards for Bad Credit:

A prepaid credit card’s available balance is paid in advance by the cardholder. A prepaid credit card is simply a prepaid debit card. MetaBank, BankFirst, Monterey County, New Millenium Bank, and others provide prepaid cards. MetaBank’s AccountNow Vantage MasterCard features 100 percent approval, free bill pay, and access to over 900,000 ATMs around the world. MasterCard’s Zero Liability is available to AccountNow Vantage cardholders as well. This means that cardholders are not responsible for any unauthorized purchases. The Eufora Prepaid MasterCard is another prepaid card for those with bad credit. This card, issued by BankFirst, allows cardholders to build their credit with monthly credit reports. With this prepaid card, cardholders can enjoy the benefits of the Cash Rewards Program and the security of MasterCard’s Zero Liability, Identity Theft Insurance, Car Rental Insurance, and Travel Accident Insurance.

Unsecured Credit Cards for Bad Credit:

An unsecured credit card does not require any prepayment or advanced payment. Nor do they require to be secured with a banking or savings account. Yes, there are unsecured credit cards for people that have bad credit! The First Premier Bank MasterCard is an unsecured credit card that specializes in helping those that have bad credit. The First Premier Bank MasterCard offers 9.9% APR on purchases. However, there is a setup fee and an annual fee required for this card.

The Total Visa Card from Plains Commerce Bank is an unsecured credit card featuring online payment, 24 hour online account access, fraud protection, and monthly reporting to the major credit bureaus. The Total Visa Card provides excellent customer service and 19.92% APR on purchases. Like most unsecured credit cards for those with bad credit, the Total Visa Card requires a setup fee and an annual fee.

When choosing a credit card that specializes to people with bad credit, be sure to consider all of the terms, rates, fees, conditions, and other important information. Be sure that you are responsible in making your monthly payments. You can be well on your way to better credit!