Credit Cards For Bad Credit
If you have an adverse or bad credit history and need a credit card then we can help find you the best card to suit your needs. Below we have compared all the best UK credit card lenders for people who have a poor credit history or those looking to build or improve their credit score.
Finding the best credit cards for people with bad credit
Having a bad credit history can make getting a credit card extremely hard. Banks and credit card companies are extremely unwilling to help borrowers with poor credit ratings, and regular refusals can make the score even worse. Borrowers have often had to go outside the traditional banks and building societies in order to get a card that suits them, but there are now some options and alternatives when it comes to finding a credit card if you have bad credit.
Understanding your credit score
If you are surprised by a bank’s rejection of your credit card application, then you may not have realised that your credit rating is low prior to the refusal. Understanding how your credit score works is vital to ensuring that you know whether you need to get a card that can help you to boost your credit score, or get one that is simply going to help you use your money wisely even though you have a very low score indeed.
In order to get a glimpse of your credit score, you need to get a free account from one of the credit check companies. You should use your account to monitor your score, and work out where you are having problems. You may also find that credit check companies offer advice about how to improve your credit score without having to use specialist accounts and cards. Taking this advice may mean that you don’t need to improve your score using other methods, and will allow you to obtain an ordinary credit card.
Finding a credit card to improve your bad credit
If you decide that you do need to invest in a credit card designed for those with bad credit, there are two types of company offering these services. The first set offer cards which will not only serve as credit cards for the user, but will also allow them to improve their credit rating through regular maintenance of their account. Capital One and Aqua both offer credit building cards, reporting responsible use of the card to credit check companies so that your score can be improved. In some cases, the lenders actually require you to have bad credit before they will offer you a card. With the Barclaycard credit builder, you can apply even if you have had a CCJ, but you must have an overall income of more than £3,000 per annum.
Credit cards for bad credit
It is also possible to obtain credit cards which are simply for people with bad credit. This can help you if you think that your credit is not too bad, and you want a card to use while you work on improving the score in other ways. When researching these cards, it is important to remember that you will need to pay a much higher rate of interest than with a standard credit card. You may even be asked to make a deposit into the account before you can use the card after it has been provided. With high interest rates and charges, it may be more of a struggle to repay purchases, so take extra care when applying for these credit cards