When it comes to managing your finances with less-than-perfect credit, your options may seem limited, especially when it comes to credit cards. However, there are credit cards designed to help you progress and improve your credit score. In this article, we’ve compiled a list of the best credit cards for bad credit in 2024 that can suit your specific needs.
Best credit cards for bad credit compared in 2024
If you’re looking for a credit card that suits your needs, we’ve compared and selected 11 of the best credit cards for bad credit in 2024. Each card has its unique focus and offer to cater to different financial situations.
Our recommendations for the best credit cards for bad credit
Best secured credit card: First Progress Platinum Elite Mastercard® Secured Credit Card
With secured credit lines up to $2,000, the First Progress Platinum Elite Mastercard® Secured Credit Card is a great option for building credit. It has an annual fee of and an annual percentage rate (APR) of .
Best for low APR: Applied Bank® Secured Visa® Gold Preferred® Credit Card
If you’re looking for a credit card with a low APR, the is a top choice. It offers APR, which is significantly low for a credit card for bad credit. This secured card also has a annual fee.
Best for no credit check: OpenSky® Secured Visa® Credit Card
The OpenSky® Secured Visa® Credit Card is an excellent option if you want to avoid a credit check. It offers a credit line increase after six months and a deposit as low as $200. The card has annual fee and APR. It also offers a chance to “graduate” to an unsecured card after six months.
Best for rewards: Capital One Quicksilver Secured Cash Rewards Credit Card
For those interested in earning rewards, the Capital One Quicksilver Secured Cash Rewards Credit Card is a top pick. It offers 1.5% cash back on all purchases and 5% cash back on hotel and rental car purchases made through Capital One Travel. The card requires a minimum deposit of $200 and has an annual fee of .
Best for low deposit: Capital One Platinum Secured Credit Card
If you’re looking for a credit card with a low deposit requirement, the Capital One Platinum Secured Credit Card is the best option. For an annual fee, you can secure a credit line up to $200. The card also offers the possibility of earning back your security deposit and credit limit increases after six months.
Best for small businesses: Revenued Business Card
The Revenued Business Card offers a unique financing tool for small businesses, allowing you to purchase future revenue receivables at a discount. It also earns 3% cash back on every purchase after earning your bonus.
Best for upgrading: Prosper® Card
The Prosper® Card is a great option for those looking to upgrade their credit card. It considers credit line increases for cardholders and offers a waived annual fee for the first year with AutoPay enrollment. The card requires no security deposit, has no ATM withdrawal fees, and provides access to a digital wallet before the physical card arrives.
Best for rebuilding credit: Self — Credit Builder Account with Secured Visa® Credit Card
The Self — Credit Builder Account with Secured Visa® Credit Card offers an opportunity to rebuild credit without a hard credit check. Although it has a high APR of 29.24% variable rates†, it offers a path to qualifying for the card by meeting specific eligibility requirements.
Best for 0% APR: Chime Secured Credit Builder Visa® Credit Card
The Chime Secured Credit Builder Visa® Credit Card sets itself apart by not charging interest on purchases. It also has no credit check and requires a qualifying direct deposit of $200 or more to be eligible. The credit limit is equal to the amount deposited.
Our Methodology
We’ve selected the best credit cards for bad credit based on a comprehensive evaluation of 30 credit cards marketed to borrowers with low credit scores. Factors such as APR, annual fees, late fees, penalty fees, rewards, balance transfer offers, and other considerations were taken into account.
How to tell if you need a credit card for bad credit
If you have bad credit, getting a credit card can be an effective way to build your credit score. By making on-time payments and maintaining low credit utilization, you can improve your creditworthiness and qualify for better financial products in the future.
How to choose a card for bad credit
When choosing a credit card for bad credit, consider the following:
- APR: Look for a card with a reasonable APR.
- Annual fees: Evaluate whether the annual fee is worth the card’s benefits.
- Credit-building features: Determine if the card offers credit limit increases or other credit-building features.
- Fees: Consider the card’s fees, including late fees.
- Rewards: Assess the usefulness of the rewards offered by the card.
What’s the easiest credit card to get approved for?
If you’re concerned about getting approved, a secured credit card is the easiest option. It requires a deposit that determines your credit limit, making it a low-risk option for lenders.
How to apply for a credit card for bad credit
To apply for a credit card with bad credit, gather the necessary information, such as income, debts, and personal information. Apply online, and a decision will typically be made quickly.
Credit cards to avoid
Avoid credit cards with excessive fees and high interest rates, such as the Total Visa Card, Revvi Visa Credit Card, First Access Visa Credit Card, and PREMIER Bankcard Grey Credit Card. These cards often come with numerous fees that outweigh their benefits.
Alternatives to credit cards to raise your credit
If you’re not ready for a credit card or want additional options to build your credit, consider the following alternatives:
- Take out a debt consolidation loan.
- Set payments to auto-pay.
- Keep older accounts open to increase your credit history length.
- Choose credit carefully to minimize credit inquiries.
- Pay down balances on revolving lines of credit.
TIME Stamp: Our top choice
The Chime Secured Credit Builder Visa® Credit Card is our top choice for building credit. With no interest charges or annual fees and no credit check required, it offers a favorable option for those looking to improve their credit score.
In conclusion, building your credit score is essential for accessing better financial products. By choosing the right credit card and using it responsibly, you can pave the way to a brighter financial future. Remember to set your payments on auto-pay and be patient as you work towards achieving a higher credit score.
Frequently asked questions (FAQs)
Q: What credit card can I get with a high limit with bad credit?
A: The credit limit you’re approved for depends on various factors, including your credit score, income, and debt levels. Secured credit cards are a good option for obtaining a higher credit limit as they require a deposit that determines your credit line.
Q: Can I get a credit card with a 500 credit score?
A: Yes, you can still get a credit card with a 500 credit score. Look for secured cards that accept applications from borrowers with any credit score.
Q: Can I get a credit card even with bad credit?
A: Absolutely. There are credit cards specifically designed for borrowers with bad credit. Finding the right card and using it responsibly can help you rebuild your credit.
Limited Time Offer: $51 funding voucher applied for all new accounts. Get a $200 credit line for $149. Click the OpenSky® Secured Visa® Credit Card link to see additional terms and conditions.
†Self Visa® Credit Card issued by Lead Bank, First Century Bank, N.A., or SouthState Bank, N.A., each Member FDIC. See Self.inc for details. The Self Visa® Credit Card requires an active Self Credit Builder Account and eligibility.
1Card eligibility: Active Credit Builder Account in good standing, 3 on-time payments, $100 or more in savings progress, and satisfying income requirements. Criteria subject to change.
Credit Builder Accounts & Certificates of Deposit made/held by Lead Bank, Sunrise Banks, N.A., SouthState Bank, N.A., First Century Bank, N.A., each Member FDIC. Subject to credit approval.
That concludes our list of the best credit cards for bad credit in January 2024. Remember, with patience and responsible use, you can rebuild your credit and improve your financial future.