Having bad credit can feel incredibly limiting, but there are many credit cards for bad credit that can help you rebuild your credit moving forward. Many of these cards offer low variable APRs, no or low annual fees and other credit-building tools. These cards, combined with smart spending habits, can open up new possibilities and grant you the financial freedom to meet your goals.
Note: There’s no one “best” card for everyone. All cards have their perks and quirks. So, you simply need to choose the card that’s “best” for your needs and spending habits. To help you figure out which one is the right card for you, here are a few of our favorite credit cards for bad credit.
Best Credit Cards for Bad Credit 2020
Here are our picks for the best credit cards for bad credit:
First Progress Platinum Prestige Mastercard Secured Credit Card: A low APR balances out this card’s $49 annual fee.
OpenSky Secured Visa: There’s no credit check necessary to access the low rates of this card built to help you rebuild your credit.
First Progress Platinum Prestige Mastercard® Secured Credit Card
- Receive Your Card More Quickly with New Expedited Processing Option
- No Credit History or Minimum Credit Score Required for Approval
- Full-Feature Platinum Mastercard® Secured Credit Card
- Good for Car Rental, Hotels; Anywhere Credit Cards Are Accepted!
- Monthly Reporting to all 3 Major Credit Bureaus to Establish Credit History
- Credit Line Secured by Your Fully-Refundable Deposit of $200 -- $2,000 Submitted with Application
- Just Pay Off Your Balance and Receive Your Deposit Back at Any Time
- Apply in just a few moments with no negative impact to your credit score; no credit inquiry will be recorded in your credit bureau file
- Nationwide Program though not yet available in NY, IA, AR, or WI * See Card Terms.
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Benefits: The First Progress Platinum Prestige Mastercard also offers a super-low 9.99% Variable APR for Purchases. The card is secured by a fully refundable deposit of $200 to $2,000.
Disadvantages: The main disadvantage to this card is its $49 annual fee. Unfortunately, the card is not yet available nationwide, either. If you live in New York, Iowa, Arkansas or Wisconsin, you’ll need to find another credit card for now.
OpenSky® Secured Visa® Credit Card
- No credit check necessary to apply. OpenSky believes in giving an opportunity to everyone.
- The refundable* deposit you provide becomes your credit line limit on your Visa card. Choose it yourself, from as low as $200.
- Build credit quickly. OpenSky reports to all 3 major credit bureaus.
- 99% of our customers who started without a credit score earned a credit score record with the credit bureaus in as little as 6 months.
- We have a Facebook community of people just like you; there is a forum for shared experiences, and insights from others on our Facebook Fan page. (Search “OpenSky Card” in Facebook.)
- OpenSky provides credit tips and a dedicated credit education page on our website to support you along the way.
- *View our Cardholder Agreement located at the bottom of the application page for details of the card
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Benefits: If you’re trying to rebuild your credit, the OpenSky Secured Visa is a great choice. You determine your credit line—submit a fully refundable security deposit between $200 and $3,000—and increase your credit line up to $5,000. There’s no credit check necessary, so you don’t have to worry about another dip to your credit score.
Disadvantages: There is a $35 annual fee, and the ongoing APR is a little high—it’s currently 17.39% (variable).
How to Choose the Best Credit Card for Bad Credit
Choosing a credit card for bad credit depends on your financial circumstances. One of the most important reasons to get a card for poor credit is to rebuild your credit, so you’ll want to choose a card that can help you do that.
Pay attention to the fees and APR associated with any card you’re considering. While a security deposit for a secured card may seem like a steep up-front expense, it might be worth it if you can avoid higher fees later and improve your credit health overall.
Choose a card that rewards your spending habits and provides incentives for the types of purchases you tend to make. Before you apply, you should know your credit score so you can have a better idea of what cards are right for you. You can check your credit report for free with Credit.com.
Editorial disclosure: Reviews are as determined solely by Credit.com staff. Opinions expressed here are solely those of the reviewers and aren’t reviewed or approved by any advertiser. Information presented is accurate as of the date of the review, including information on card rates, rewards and fees. Check the issuer’s website for the most current information on each card listed.
Note: It’s important to remember that interest rates, fees, and terms for credit cards, loans, and other financial products frequently change. As a result, rates, fees, and terms for credit cards, loans, and other financial products cited in these articles may have changed since the date of publication. Please be sure to verify current rates, fees, and terms with credit card issuers, banks, or other financial institutions directly.