Tag Archives: credit cards for bad credit

How To Get A Credit Card With Bad Credit

The Credit History report is like the Hall Monitor in the world of credit cards. The credit history report will serve as a security for credit card companies to screen out the bad weeds and the good weeds.

However, it might be hard for some of us to maintain that perfect credit history. This is because life is not perfect; some of us will encounter problems in our cash flow to pay off certain bills. When that happens, it damages your credit score more. 

The lower credit score you have the harder time it is for you getting a credit card or even loans. Lower credit scores may even give you problems finding a job or an apartment.

To be on the fair side, credit card companies do look at other matters when you apply for a credit card. It will only serve as a consideration. The other thing they look at is your credit history. On your credit history, they will base how many times you’ve paid late, how much debt you owe and how much is the credit still available. They will also look at the time you have spent with your job and if you have been earning a steady income with that job.

The lender will usually consider person who has made late payments but has seen that the debt to income ratio is manageable. This means that you can make enough money that can pay off the debts you currently owe.

When also applying for a credit card. Limit your application to a few numbers of credit card companies. The greater number of pending applications you have, the more damaging it could be to your credit score. Try to research before applying for a credit card. Check out the cards that are catered for people with low credit scores.

If you are afraid of all the bad things and risk involved when getting a card also consider the benefits the credit card is able to provide. If you are a person who is repairing or improving your credit rating. You are most likely using all the cash you must pay out those bills. Therefore, making you have less money available for emergency purposes.

Having a card will give you the money you need. However, do be responsible with the card and do not overcharge it. Also learn to pay the bill of card on time.

It is suggestible for people with bad credit rating to get secured credit cards. These cards work by making the user deposit certain amount of money to the card company. The limit you have is the amount you have deposited. When you use the card, the amount will be deducted to your deposit.

The good thing about this is, when you are not using the deposited money, the money will be earning form the interest. It also helps improve your credit rating.

How To Secure Low APR Credit Cards

Getting a low APR credit card has a lot to do with your credit history, but how can you better your abilities of securing one?  This article describes how to secure low APR credit cards.

A low APR credit card is the best option for securing credit by far.  The lower your interest rate is, the less you must pay for borrowing money and using your card.  Yet, it is clear to most of us that our credit score is the main factor in what makes this number high or low.  The better your credit has been, the better your ability to secure a low APR credit card.  Is there anything you can do to better your opportunities?  Of course, there is.

Why Low APR Is Important

If you are looking at two credit card offers that have come your way, you want to determine which one offers you the lowest APR, or annual percentage rate.  This number will define how much the credit lender will charge you to use their service.  Even a few fractions of a rate will matter greatly.  If you carry a balance on your credit card, as most people do, you will be charged interest on that amount.  The lower the interest rate is, the less you have to pay. 

What Determines It?

What is it that determine is if you get low interest credit cards?  There are many things that play a role in what you are offered, how much you are offered, as well as in the interest you will be charged.  One of the most fundamental aspects, though, is that of your credit score.  The ability that you have to secure a low APR is based at least in part on this.  The lower your score, the more of a risk you are to the company.  Therefore, to keep it worth the while for them, they charge you more in interest.  If you have a better score, you are less of a risk.  Therefore, you get the lowest APR.

How to Lower APR

It goes without saying that if you want to improve your ability to secure low APR credit cards that you would do so by improving your credit.  So, how do you do that?  It can be a bit worrisome to individuals that have a low credit score.  Here are a few ways to improve your score quickly.

1.  Pay your bills on time.  Just one late payment on your credit report is going to cost you dearly in your score.  This mark on your report will hurt you considerably.

2.  Pay down debt quickly.  If you know you will need to extend your credit over the next few months and want to get a low APR credit card, you need to pay down as much debt that you currently have.  You create a shift from having too much debt to credit ratio to having more credit than debt.  This is a big plus for you.

3.  Do not close accounts.  It pays to have accounts opened with no balance or low balances on them.  This provides for addition debt to create ratio numbers that greatly impact your abilities to secure low APR credit cards.

While we all want low interest credit cards, you are better capable of getting this ability if you work hard at improving that score.  There are many other things to do, including not spending on credit cards and not opening too many accounts at once.  You surely can be in a better place when you do get those numbers up and improve your overall ability to secure low APR credit cards in the future.