3 Credit Building Cards You May Be Approved For

If you have a low credit score or no credit history opening a credit card can be a good way to help you rebuild or build your credit. With poor or no credit , your choices will be limited but it’s possible.

A secured credit card is probably your best chance at qualifying for credit. A secured card is like a traditional credit card as in it extends credit, reports to credit bureaus, charges you interest , and probably has perks and rewards you can take advantage of. The main difference is a secured card requires you to make a deposit to access the credit. You pay a deposit and that is your credit limit. I’ve seen deposits as low as $200 with the ability to deposit up to $2500 or more if you’d like a higher limit. What you deposit becomes your limit and is used as collateral in the case that you don’t or aren’t able to pay the balance. The good news is if your account remains in good standing and you pay it off and close it out , your deposit is returned. Having a secured card can also make it easier to transition to a traditional card with the same lender upon building a good consumer relationship with them.

As a new credit specialist I am constantly doing research to be able to help and guide my clients the best way possible. I’ve had the chance to review some offers and am highlighting a few of them below.

The first is a card for building credit and an offer exclusively for students. The Discover it Student Cash Back offers a 0% APR introductory bonus on new purchases for the first 6 months , there is also no annual fee! This card also has a cash back program. This is a great card to apply for in college to start building credit at a young age. Check out the offer here

Then you have the Discover it Secured card. It’s a little different from the student card. It's secured opposed to traditional. It has a welcome bonus and cash back program as well. This card is good for those rebuilding and building credit. After 7 months Discover will automatically review your account to see if you are eligible to transition to an unsecured account. If you are ,your deposit is returned to you! Check out this discover card here.

This last card the Petal2 is a little different and uses uncommon practices to determine eligibility. I said uncommon! Not unprofessional or unlawful, just uncommon. Instead of basing the decision solely on credit score and history, WebBank analyzes bank statements , income, bill payments , and other factors to contribute to their decision. Check out Petal2 card here.

As you can see there are options available to those looking to repair or build their credit. The most important thing to remember is that incurring any debt is a risk and you should always use your credit cards and your credit responsibly. Spend wisely and within your means and budget and pay your bills on time and in full whenever possible so that having these accounts is working for you and not against you.