Published on September 21st, 2015 | by EFH9990
Credit cards for people with bad credit
Bad credit credit cards
If you have no credit history, or you are struggling with debt, then it is very hard to prove to any lender that you will handle your finances responsibly.It is for this reason, we have Bad credit credit cards.
Typically, a Bad credit credit cards will have a low credit limit and charge high-interest rates. However, you can be able to boost your credit rating if you use it sensibly. Better credit rating gives you a chance to have a better chance of borrowing in future or even have a more competitive credit card. They aren’t there to rebuild your credit score, rather give you a chance of flexible payment. That means you will sometimes have to organize your finances before making a payment because typically you have more that 50 days of interest-free borrowing with bad credit credit cards such as the Vanquis bank credit card.
You should, however, use your credit card wisely because, remember there are higher interest rates attached. So if you use it more often and at the same time do not pay your monthly card debts in time, you will be doing yourself more harm than good. Just make sure you don’t spend more than you can afford and at least make sure you pay your monthly dues on time.
It is worth mentioning that, Bad credit credit cards providers offer different apr rates, so it is worth considering what is available and what suits your needs.
The credit limit is a very imperative factor to consider when applying for Bad credit credit cards. Many card provider will give you a limit of £200-£1200, but the only way you can build your score is by keeping your Limit as low as possible.
Also using cash most of the time when you reach a specific balance is very important to ensure you do not land yourself in a financial situation that you were avoiding in the first place.