Credit Cards for Bad Credit

Looking for bad credit credit cards? Having trouble getting approved for a new credit card?

Our recommended credit cards for bad credit, secured credit cards, and prepaid debit cards are specifically designed for people with less than perfect credit. If you have bad credit, limited credit history, or no credit history at all, read our expert reviews below and choose the best credit card to help you begin reestablishing your credit history.

Even if you have horrible credit, it's never too late to get your credit back on track. The credit card offers on this page, both secured and unsecured, will help you build your credit as long as you maintain all balances below your credit limits and make your monthly payments on time. It's as simple as that. Live within your means, use credit sparingly, pay your credit card bills on time, and your credit scores will continue to improve.

Bad credit credit cards are for consumers with FICO credit scores below 650. If your credit scores are above 650 but below 700, try comparing credit card offers in our Credit Cards for Fair Credit section instead.

There are three main types of cards we show on this page that can help you if you have bad credit: Unsecured credit cards, Secured credit cards, Prepaid cards.

If you're having a tough time deciding which credit card to get or how credit cards can help you rebuild your credit, read our "How to Rebuild Credit with Credit Cards for Bad Credit" section below.

Updated by Joshua Heckathorn on February 22, 2012

Unsecured Credit Cards for Bad Credit

Credit cards for bad credit provide the opportunity to rebuild your credit history without the need for a security deposit.

Secured Credit Cards

Secured credit cards require a deposit with the credit issuer, but they have higher approval rates and will report your payment history to the credit bureaus so you can begin rebuilding your credit scores.

Prepaid Debit Cards

Prepaid debit cards won't help you rebuild credit, but they can act as a low-cost substitute for a checking account while providing the convenience of paying with plastic instead of cash. Like a regular debit card, you'll only be able to spend what you preload on the card.

Nobody wants to deal with bad credit, but the truth is many of us are just one serious illness or job loss away from a credit nightmare. The good news is that bad credit isn't a permanent thing. It can always get better!

Here are 3 tips to keep in mind as you choose a bad credit credit card and begin your journey back to excellent credit:

1. Unsecured or Secured Credit Cards?: Both types of credit cards will help you build credit, but secured credit cards require a deposit as collateral for your account. If you want to take the safe route, choose a secured credit card. However, if you're committed to always paying your balances in full and on time, unsecured credit cards will help you build your credit scores just as fast as secured credit cards.


2. Keep Credit Utilization Low: Credit cards for bad credit often have low credit limits. Since credit utilization is a very important factor in determining your FICO scores, make sure you keep balances at 30% or less of your available credit. If you can manage to keep you r credit utilization at 10% or less, that's even better. Your FICO scores will love you!


3. Upgrade to a Fair Credit Credit Card: Credit cards for bad credit aren't meant to be used forever. They're a stepping stone on your journey back to good credit. In fact, after 6 to 12 months of responsible use, you should be able to upgrade to a better credit card with rewards and lower fees.