Credit Cards for People with Bad Credit
When you are planning to apply for a credit card but you have bad credit, there are two types of credit cards which you could actually apply for. These would be the subprime and secured credit cards. Those having bad credit will find that rebuilding their credit can be difficult.

The best way to improve your credit history and help raise on your credit score is through opening new accounts and then managing this responsibly. When you have bad credit, you mostly wont get any approval in applying for credit cards. 

Secured Credit Card

A secured credit card will also work like other credit cards. But you will need to submit a refundable security deposit prior to opening an account.

In secured credit cards, the credit limit which you are going to get is in fact equal with the amount of security deposit. After opening an account, secured credit cards will also work just like other credit cards. If you are going to use the card, other people won't be able to realize that you are using a secured card.

If you have made a yearly on-time payment, many secured card users will get an improved credit, which will help them to quality for a standard and unsecured card. When you are going to change from a secured card to the unsecured card or you will pay off the balance and close the account, you will be able to receive a refund with your security deposit.

These card actually have low fees and it could also provide you with various benefits on your entry-level credit cards, which is beneficial for people who are new to credit.

Subprime Credit Card

A subprime credit card is likewise known as unsecured cards that is specifically designed to meeting the needs of people having bad credit. The fact there's no deposit needed, the credit card issuer will impose a substantial credit card fee on the increased risk for extending on the credit to any customer who has bad credit. 

With subprime credit cards, you need to expect that the interest rates are higher than other credit cards and customers will mostly get a small line of credit with it. These cards will likewise offer few travel insurance and purchase protection policy which is present for most credit cards.

Most of these cards also needs a big payment and have non-refundable fees before opening one. However, this can actually offer customers good line of credit. Most of these subprime cards tend to subtract the amount of fees that are billed from its customers line of credit that will leave you with little spending power before you make the payments on its fees.