Credit Cards

Roundup: Credit Cards for Rebuilding Credit

Comments 47 Comments

Once your credit score slips into the poor or bad credit category — below 650 — consider getting a credit card that’s designed to help you rebuild your credit. Sometimes, this means you’ll have to get a secured card. With these cards, you deposit an amount of money in a bank account and this “secures” the card.

Let’s face it. You might qualify for a credit card, but you could get stuck with a 24 percent (V) APR (or much higher). Sometimes, it’s best to spend some time focusing on fixing your credit. Once your score climbs, your options — and APRs — will only get better.

Here are some examples of good credit cards for rebuilding credit:

OPEN SKY Secured Visa® Credit CardThe Open Sky Secured Visa card reports to all three major credit bureaus. So here’s the plan: If you use this card, pay off your balance in full every month. And pay it on time. No exceptions!OPENSKYSecuredVisaCreditCardsm The issuer is Public Savings Bank. There’s a $50 annual fee, but that’s your only upfront cost. This card doesn’t have a monthly maintenance fee or a processing fee, like many secured cards do. You’ll get a 14.25 (V) APR on purchases. Credit limits are from $200 to $3,000.

Capital One Secured MasterCard. This secured card features a reasonable $29 annual fee and will report payments to the major credit bureaus. Cardholders may also receive a credit line increase as their credit improves. This card has a standard interest rate of 22.9% and a 25-day grace period.

First Progress Platinum Prestige MasterCard. This card’s $44 annual fee is a little high, but its 11.99% APR standard interest rate is quite low for a secured card. There is a 25-day grace period for this card. Cardholders must make a deposit of at least $300 but it is held in an interest-bearing account.

Capital One Cash Rewards For Newcomers. Those with few negatives on their credit report but a limited credit history should consider this card. It has no annual fee, but a 24.9% APR standard interest rate. In addition, cardholders earn 2% cash back on travel purchases and 1% back on all other transactions.

Do your homework! Research and compare more credit cards for rebuilding credit.

At publishing time, OPEN SKY Secured Visa® Credit CardCapital One Secured MasterCardFirst Progress Platinum Prestige MasterCard and Capital One Cash Rewards For Newcomers is offered on Credit.com product pages and Credit.com may be compensated if our users apply for and ultimately sign up for the card. However, this relationship does not result in ANY preferential editorial treatment.

 

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  • glenn hall

    Can you apply for the Citi card online?. When i clicked on it i got sent a word doc.

    • Beverly Harzog

      Hi Glen–you can complete the application online, but then you have to print it, sign it, and then mail it to Citi with a check or money order for the amount of your deposit. This is an excellent secured card, by the way. Nice you get to earn a little interest on a CD!

  • michael j collins

    I need help getting my bills consolidated.

  • Elaine Scott

    I want to build my credit score. I need a credit card that going to fit me.

  • Monica

    The Open Sky visa is a ploy to get you to credit.com. I clicked on the card, the links and even searched online and it takes you to credit.com, not the application for the sky visa.

    • Beverly Blair Harzog

      Monica–Looks like the Open Sky card is no longer available so I apologize for the inconvenience. I looked at this card last February. Take a look at the Orchard Bank cards and the Citi Secured card. They’re both very good cards for rebuilding credit.

  • John

    I was just told by Citibank that because I have a closed account I am not eligible for a lower APR Rate. More bank B.S.!!!

  • Mrsas

    On most of these credit cards….Do they have the 14 day rule with the notification of their rate increase due to payment that is due within your or the overall billing cycle?

  • Ryan

    These cards are all a joke I’ve learned if I can’t pay for what I want with cash I don’t need it.

  • Tom S

    Hi Beverly,

    I appreciate you exploring the credit restoration topic and offering your perspectives. There are millions of people (like me) who can benefit from assistance from helpful and informed persons such as you.

    Tom

  • http://windowslivemail Donyell Jordan

    i have a problem when i have my credit checked in order to quailify whick causes my criedit score to go even futher down. that’s not fair if i’m tring to rebuild my credit.

  • Sarah king

    Thanks for giving me another change 2 try 2 get a credit card with my bad credit

  • Pingback: The Best Credit Card for Rebuilding Your Credit | Credit.com News + Advice

  • mary

    i am in the process of rebuilding my credit and raising my credit score i now know the importance of good credit i would like a chance with this card to rebuild my credit and credit score

  • william D traylor

    I need for someone to take a chance on me so i can restore my credit.

  • JACQUELINE M SMITH

    I AM IN THE PROCESS OF BECOMING DEBT FREE, I WOULD LIKE TO HAVE A CREDIT CARD FOR EMERGENCY’S THAT MAY ARISE

  • http://NA Edmund M. Rice

    I am applying for this credit card for the sole purpose of using it only in the case of a totally unexpected emergency. This card will not be used for things that I want, and cannot afford.

  • conway roush

    i want to get an unsercured credit so that i can use it when i need to .plus i want to build my credit

  • conway roush

    i want to know the best credit card to get i want an unsecured one.i want so i can build my credit for my future

  • David

    Hey My credit is a 460 I’m trying to find a credit card to rebuild my credit I’m a full time job and everything It’s new credit card build my credit what would be the best one to get

  • nancy flynn

    my husband was very sick when he passed and there are a lot of doc bills that has really klled my credit i want a house agian and rebuild my credit

  • nancy flynn

    want a home

    • nancy flynn

      please any advice

  • stephen welch

    I need a card that doesn’t have a high limit so that I can rebuild my credit it is in the 300′s. Beverly Blair Harzog is there any way that you can help me to get a card so i can rebuild my credit that isnt going to cost me a arm and a leg?

  • jeanet percy

    Im planning to but a house .and I was told I was in great need to repair my credit.I need some one to tell me how to repair my credit.and to rebus.please help.

  • donald carroll

    yes can you sen me info on these cards

  • http://christopher.estudillo@yahoo.com christopher estudillo

    I am looking for a credit card so I can use to pay off some bills that need to get payed right away. My credit is kind of bad but I would like to have a second chance to see if I can get a credit card to help me out. So is there anyway you can help me find one that is good for me let me know okey please.

    • cj

      Call me please…….

  • http://credit.com(roundup) alicia

    where is the grant approval network? I”ve already got my credit score and know my situation concerning a credit card.What about finding grant money? I just signed up for a free trial…Hmmm

  • sophia

    I REALLY NEED HELP IN REBUILDING MY CREDIT

  • paul freeman

    i need a credit card bad

  • James Rawls

    I need a credit card like yesterday please help.

    • Jeremy mack

      I have a score of 576 can u help me

  • http://yahoo debbie owen

    I need to bulid my credit score to buy and get a home loan

  • jeannell

    My credit score is 450,I have 2 credit cards,I’m trying to build up my credit score. What can I do to do so.Help.

  • lerato

    i have a bad credit record and would like to rebuild it so i can buy a home for my 3 girls
    i am based in South Africa. is this available to me

  • tina hook

    I don’t understand, if I allready had a credit card I woul d not need to applie foe a credit card. Because I would have allredy would have had one so how can I get one without having. A credit card .the only account I have is my savings account. What can I do, im desprit ..thanks …

  • Ricky Reeves

    Why want this card. You already have a secured card at your local bank.

  • charity luke

    my credit score is about 417 how can I get a credit card without having to pay an annual fee.

  • chelle

    Would Like to apply for a credit rebuilding card

  • George Anthony Corbridge

    i would like to get my scores better then they are one is a 540 and the other is 420 and i don’t have the third score i have it thank you

    • Credit.com

      Hi George — The first place to start is to find out what’s causing your scores to be low. All credit scores are returned with reason codes or score factors that explain where you lost the most points in your credit scores. This will help you pinpoint where you need to focus in order to improve your scores. To find out more about improving your credit scores, here are two great resources:
      Rebuilding Your Credit
      11 Tips to Rebuild Your Credit 

  • Kimberly

    My credit score is 590, not too bad yet not too good. I am still having trouble with getting a credit line established. I am self-employed and a credit card could help with the business expenses. Can you please tell me how I can get my score up so I can get approved for a credit card.

  • http://www.credit.com/ Credit.com Credit Experts

    Mark – We appreciate your feedback. The points you raise are important ones and you’re probably not the only one wondering about them. First, it’s important to understand that the Credit.com editorial team is an independent news operation. Credit card issuers don’t commission or pay for articles. We write about the topics and products we think people should know about. These are editorial decisions. Now, you may disagree with these decisions and this article in particular, and you may advise people not to listen to it or us — it is your right and we encourage you to exercise it here. However, your assertion that this article is compromised because of who advertises with Credit.com is unfounded and untrue.

    To address your points:

    The credit cards that were mentioned in this article are in fact available in the Credit.com product pages, as we disclose very clearly in the article. But again these credit card companies didn’t pay for the article. If someone clicks over to one of the cards on a Credit.com product page, applies for it, and gets it—then Credit.com may be compensated. But again, that’s not why we wrote about it.

    When we write about credit cards, we do so without consideration for whether they are available on the site. Plenty of articles we write highlight cards that aren’t available on the site. We’ve given many of them awards as part of our Best Credit Cards in America series, in fact. But we believe in transparency, which means that when we do write about a card or service that’s offered on Credit.com, we disclose that.

    Your argument against the 23% interest rate is understandable, of course, but it’s important to consider that this was an article about “Credit Cards for Rebuilding Credit.” Yes, a 23% interest rate is high but consumers who have bad credit tend to pay higher interest rates, and these cards are one vehicle for rebuilding and improving credit and lowering interest rates over time. The key is managing the card responsibly. The whole goal is to use a secured card as a stepping stone to better interest rates and terms reserved for those with great credit.

    To your point, Credit.com is a for-profit company, something we openly acknowledge and do not hide from our readers or the public. We are also independently owned and operated by the former head of consumer affairs for the state of New Jersey. Our value proposition is pretty simple. We provide people with news, information and basic guidance relating to how to manage credit, debt and finances in general. We also provide people with access to free tools like our Credit Report Card, which provide you with an easy to understand overview of your own credit, along with your credit scores. If people find these services valuable, and find that they like what we do, then they may use Credit.com to search for a credit card, mortgage, or other type of financial product —and if they do, we may be compensated. But there’s obviously no obligation, and again, these relationships do not determine what we write about. We think it’s a pretty good deal, and we’re really proud of what we do here.

    Thanks again for your comment, and we hope you keep reading.

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