Credit cards for bad credit

[Tygerlilly]

I don't have good credit thanks to some stupidity as an early 20 something, so a regular card will not work. However, I know I can get a secured card with a deposit and it will also help rebuild my credit Some with on time payments. My question is, does anyone know of any secured cards that have cash back or rewards? It'd be nice to be able to earn something back while trying to rebuild.

 

[dbavis]

Bank of America has a secured Cash Rewards card. My daughter got it when she turned 19 to start the process of building her credit.

 

[perditax]

Also sign up for creditkarma (free), and remember you can dispute negative items on your credit reports.

 

[Tygerlilly]

Also sign up for creditkarma (free), and remember you can dispute negative items on your credit reports.

I already am on it. Nothing's wrong on it, I was just a stupid young adult who had no concept of money, debt, or the effects of poor credit.

 

[LissA Ell]

The best credit cards I've seen for poor credit are from Capital One - they are not a savings secured account, but they are the most willing to work with poor credit. Are you in any sort of school / college program, by any chance? You can nearly always get a student credit card, even with poor credit. I feel for you! I was in the same boat myself, and it's taken a few years of hard work to finally get my credit score back up again.

 

[gcmeyer2]

I would suggest the secured card from Bank of America. You need to put up a small deposit but as long as you handle the account well you can graduate to an unsecured card.

 

[fifthdimensiondweller]

I know Discover has a secured card, but I'm not sure if it offers cash back. When DH was first building his credit history, he went through Capital One. Like an above poster said, they seem to be more willing to work with bad or no credit.

Congrats on beginning the journey of rebuilding your credit! You'll be glad you did!

 

[FINFAN]

I was also going to suggest Capital One..we have an extended family member who (after divorce) needed to climb uphill and Capitol One offered the best option . The cash back was great and her credit limit was increased after 3 months and then again at 6 giving her peace of mind for an emergency.

 

[MrPTato]

Definitely either Bank of America or Capital One. Both have rewards and are good banks to deal with.

 

[MamaBelle4]

My husband and I both had bad credit, due to several factors, not the least of which was him getting injured while working a part time job to save money for when I was going on maternity leave. Because it was on a part time job, WC only paid that, so for 9 months, he (the primary breadwinner) was earning $67 a week. We managed to keep our home and our car, but that was about all we could manage.

That was 2012-2013. In 2015 we both applied and we're approved for Capital One cards. Since then we've made every payment on time and our credit lines have increased significantly and our credit scores have gone up from "very poor" to "average". I know that doesn't seem terrific, but that's a huge jump in so little time. I highly recommend capital one from personal experience.

ETA: The quicksilver does have cash back. I don't have that one, but DH does.

 

[mblondie0509]

I have done some research on these and the Capital One and Discover ones both come back with the best reviews. Capital One generally will give you a card with a little more money than your deposit. For example you might qualify for a $200 card with a $49 deposit. Discover, on the other hand, not only allows you to add to your deposit over time thus increasing your credit limit but they will also give you back your deposit and turn the card over to an unsecured card after a year of on time payments and no overdrafts.

 

[Rusty2rules]

I had the same issue unfortunately. Capital One Quicksilver card worked perfectly. Also, as silly as it sounds, an HSN (Home Shopping Network) account worked perfectly! Buy something small-ish, use the 4 or 6 flex pay plan, and it was perfect. BTW, I was using a credit repair company. They said the quickest way to improve your credit is use the card on a regular basis in small amounts and then pay it off each month. Like, use it to put a tank of gas in your car and then pay it off at the end of the month. You'll be stunned at how quickly your score improves. Good luck!

 

[tylerzmommy]

Definitely Capital One! I'm a bit biased since I'm in HR at COF but our Mainstreet card products (our rebuilding credit clientele) are really great and our Creditwise platform (totally free!!) is helpful with tracking your credit rebuilding progress. CW is similar to CreditKarma except that CW makes public which credit bureau your info is coming from and allows you to run scenarios based on life changes that may impact your credit score so you can almost prepare for how decisions you are considering may affect your credit score (buying a house or car, paying off debt, increasing the debt you are carrying, etc.). I've worked for other financial institutions but COF is by far the most customer oriented.

 

[angierae]

I have the Capital One secured card (rebuilding credit after a mis-spent youth) and I deposited $100 and they gave me a $200 credit line. I put my gas on it every month and then pay it off.

 

[single_eeyore]

I'll be "that person" for a minute. As a fellow stupid-with-money-early-20-something, I really want to suggest you check out Dave Ramsey. I'm not 100% on his train, but I'm heading that way, and he teaches life without credit cards or a credit score. Full disclosure: I admit I still play with snakes and use my Discover as a cashback card, but after listening to his podcast for a few years now I'm so much more confident about money and my choices there now and in the past. Just a thought and I wish you success in all you do OP

 

[Tygerlilly]

I'll be "that person" for a minute. As a fellow stupid-with-money-early-20-something, I really want to suggest you check out Dave Ramsey. I'm not 100% on his train, but I'm heading that way, and he teaches life without credit cards or a credit score. Full disclosure: I admit I still play with snakes and use my Discover as a cashback card, but after listening to his podcast for a few years now I'm so much more confident about money and my choices there now and in the past. Just a thought and I wish you success in all you do OP

We actually don't have much debt. We have a two furniture leases that are almost paid off and two small loans that have been helping to slowly improve our credit scores over the last couple years. We pay most things in cash.

That being said, some day in the near future we want to own a home. The cost of buying one without a mortgage here will never be something we can achieve paying cash. We will have to take out a home loan. I'm 100% okay with that, since it will most likely be our only debt when that time comes, which is why I need to improve my credit score.

 

[single_eeyore]

No worries Tygerlilly, I just thought I'd mention it as it's something that's helped me in my situation and the DR program offers info on all the topics you mentioned not just debt That said, intentionality is key and you've got it going on! Have a good one!

 

[verleniahall]

I’m going to chi Capital One - I am in rebuilding from stupid 20s and I got an unsecured qu Cksiover card with a 300 limit on it. Going to use it for student loan payments and then pay it off each month.

I will look into the boa one as well!

 

[mousehockey37]

I’m going to chi Capital One - I am in rebuilding from stupid 20s and I got an unsecured qu Cksiover card with a 300 limit on it. Going to use it for student loan payments and then pay it off each month.

I will look into the boa one as well!

You can't pay student loan payments with a credit card, especially if they're Federal loans. This is due to bankruptcy rules of student loans not being able to be discharged in a bankruptcy. You'll need to pay your student loans via checking/savings account.