Which credit card is suitable for bad credit?

Credit cards can help to improve credit rating, if you use them well. However, getting your hands on a credit card is difficult, if you have a low credit rating. One thing that you will not be able to do is get the best offers, including zero percent interest as introductory offers and the best reward programmes. However, there are some excellent cards for those with bad credit and here are just three ideas.

Think about Captial One

Capital One is a provider which is well known to help those with bad credit and there are a variety of cards to choose from. One of those is the Classic Card. However, while the card will help your credit rating, the APR is extremely high at 34.9 percent (as of 01.08.11). Introductory offers with Capital One Unlike many other credit card providers, Capital One is able to offer an introductory offer for those people with bad credit. The Classic Card offers three months zero percent APR on all purchases. Unfortunately, there is no offer for those looking to transfer a balance from existing credit cards.

Go to Barclaycard

For those people who are looking to earn reward points because they know that they are sensible users, the Barclaycard Initial Credit Card is something worth considering. You will enter the rewards programme and will gain cash back, when you make purchases in certain places. This money can be redeemed in specific stores. Lower interest rate for those with bad credit The interest rate on the card is much lower than the Capital One card. This is 29.9 percent. However, there are a few catches. The first is that the Barclaycard will not accept anyone who has had CCJs or has filed for bankruptcy within the past five years.

Opt for a prepaid card

Not everyone can get their hands on a credit card because their credit rating is so bad. However, the only way to improve credit is by having a credit card. Due to this, you need to start thinking of other options. One is the use of the prepaid cards. You will need to pay a fee each month for these cards, but you load them with money to use, rather than end up in any debt. No interest rates The benefit of having prepaid cards is that they are 0 percent interest cards. Since it is money that you have loaded onto the card, the provider will not charge you any interest. However, there are some fees that you will need to look out for. The Blue Sky prepaid card is something worth considering to help you with your credit rating.