Have you tried to rent a car lately or book a flight in advance? If you have, you know they require a credit card.
If you have bad credit or no credit, you most likely don't have a credit card and it is almost a necessity these days.
You can get a credit card, though.
It isn't easy but it can be done.
This article will cover some of the things you need to know about how to get a credit card with bad credit.
The first thing to know is that there are two kinds of credit card.
The first is an unsecured credit card.
This type of credit card will be the hardest to get because there is nothing to guarantee that you will make payments except your agreement that you will.
Since a bad credit rating means you are considered high risk, it will be harder to get and the interest rates will be much higher than for someone with a good credit rating.
Of course, they do have higher credit limits, too, and are the preferred type of card to have.
If you want an unsecured credit card, there are some things you can do to improve your chances of getting one.
The first thing you need is a checking account that you are maintaining a good standing in.
Second, be sure you have not defaulted on any current loans nor have any accounts that are currently in collections.
If you have either of these, try to work out a payment plan to bring them to a current standing.
If you have had anything repossessed, such as a car, check to see if it is possible to make a payment and retrieve it.
A repossession will stay on your credit for a long time, so it is best to get it removed if at all possible.
Once you have done these things, your chances of getting an unsecured credit card will improve.
The second type of credit card will be easier to get and the interest rates won't be as high as they are with unsecured credit cards.
This type of credit card is the secured credit card.
It is called a secured credit card because you attach your bank account to it as guarantee that your balance will be paid.
Some companies will have you send them a certain amount that is often the amount of the credit limit, which is usually low.
While these cards are actually of limited use as far as usable credit, they do help you bring your credit rating up when you make regular payments on them.
Now you know how to get a credit card with bad credit for two types of credit card.
When deciding how to get a credit card with bad credit, you want to weigh the pros and cons of each type of card.
Consider your situation and make your choice on what is most feasible for you.
Go over all the fine print carefully so you know what is expected and you will be able to get a credit card even with bad credit.