For those with bad credit or low credit scores, getting a new credit card may seem like an unachievable dream. However, picking the right credit card for your current situation can repair your shattered credit history. You can use your new credit card to establish better debt management skills right from the start by taking the time to compare before you apply.
Instructions
- 1Make sure that other areas of your financial life are in shape before you apply for a new credit card if you have a bad credit report. This means maintaining an open checking account in good standing. If you can, maintain a savings account as well, as this improves your credit appearance.
- 2Pay all your bills on time. If your lights have been turned off due to late payment, now is probably not a good time to apply for a credit card.
- 3Avoid situations that will reflect negatively upon you and your credit situation, including repossessions and foreclosures. Before you apply for a credit card, make sure that you can pay any outstanding loan payments to keep a repossession off your record.
- 4Confirm that you do not have any other accounts that have been turned over to a collections agency. Even a small debt owed to a hospital or other service provider will harm your chances of receiving a credit card, especially if you have bad credit.
- 5Maintain your job. Credit card companies and other lenders like to see that you have a consistent form of income coming in before they are willing to risk their credit on you. Many times, the longevity of your position with a company can improve your chances of successfully applying for a credit card.
- 6Consider applying for a secured credit card through your bank if you are unable to get an unsecured one. These cards require cash collateral to set them up. Keeping the account in good standing by making regular, on-time payments should help improve your credit.
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A number of card issuers permit credit limit merely as much as the amount you lodged. This sum would function as a collateral in case you made a default in any one of your installments. Home Depot Credit Card
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