{"id":8078,"date":"2023-10-09T13:50:56","date_gmt":"2023-10-09T13:50:56","guid":{"rendered":"https:\/\/topat10.com\/the-best-credit-cards-for-bad-credit\/"},"modified":"2023-11-03T08:40:37","modified_gmt":"2023-11-03T08:40:37","slug":"the-best-credit-cards-for-bad-credit","status":"publish","type":"post","link":"https:\/\/topat10.com\/?p=8078","title":{"rendered":"The Best Credit Cards for Bad Credit"},"content":{"rendered":"\n
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Posted<\/strong>: 10\/9\/2023 | October 9th, 2023<\/p>\n

I write a lot about using credit cards to get points and miles for free travel.<\/a> It\u2019s a topic I\u2019m passionate about because it has not only saved me thousands of dollars over the years, but it\u2019s helped thousands of my readers too.<\/p>\n

And, while earning points and miles has never been easier (at least in the US), there\u2019s a common question I get that I wanted to address today.<\/p>\n

\u201cMatt, what if I have bad credit? I can\u2019t get those fancy cards. What can I do?\u201d<\/p>\n

While it\u2019s true that if you have bad credit you probably won\u2019t get approved for the best travel credit cards<\/a> right off the bat, that doesn\u2019t mean you can\u2019t get approved for any<\/em> card. Just because you don\u2019t have the best credit today<\/em> doesn\u2019t mean you shouldn\u2019t start working towards better credit tomorrow<\/em>.<\/p>\n

Having bad credit can be difficult in the credit-centered US, but it\u2019s something you can improve \u2014 more quickly than you might think. Banks know that not everyone has excellent credit, and many offer credit cards for people either rebuilding their credit or starting to build credit from scratch. You can also check with your local bank and credit unions to see if they offer any options (many do).<\/p>\n

To help you get started, here\u2019s my list of the best credit cards for people with bad credit (as well as everything you need to know about credit scores).<\/p>\n

What Is a Credit Score?<\/span><\/h3>\n

The first credit score wasn\u2019t invented until the late 1950s, and the FICO score (which 90% of lenders use) wasn\u2019t introduced until 1989. But, since then, they\u2019ve become an incredibly important part of financial life in the United States.<\/p>\n

A credit score is a number between 300-850 that attempts to predict how likely you are to pay a loan off, and if you\u2019ll do so on time. Lenders (like banks and credit card companies) use your credit score to determine whether to give you a new account of credit, which could be a credit card, mortgage, or car loan. Your credit score also influences key factors when opening new accounts, like the interest rate and credit limit (with higher credit scores come lower interest rates and higher credit limits).<\/p>\n

Credit rating companies, of which FICO\u00ae is the most widely used, get credit reports from the three credit rating bureaus, Experian\u2122, Equifax\u00ae, and TransUnion\u00ae. FICO\u00ae uses five factors to come up with your score (in order of descending importance): payment history, credit utilization, credit age, credit mix, and credit inquiries.<\/p>\n

Since the number and frequency of credit inquiries makes up part of your score, you may see a slight dip when you apply for a new card, but it bounces back pretty quickly (especially because when you open a new line of credit, your credit utilization goes down, since you are using up less of your available credit).<\/p>\n

If you\u2019re not sure what your credit score is, start by finding out by requesting your free score and credit report at AnnualCreditReport.com. Federal law requires each of the credit bureaus to give you a free report once every 12 months. Make sure to look at not just your score but your report too as then you\u2019ll be able to see the areas in which you need to improve.<\/p>\n

To give you an idea of where your score falls, here are the general ranges for FICO\u00ae credit scores:<\/p>\n