There was a time, not all that long ago- that I could not get approved for credit.  My credit score was in the low 600’s, and there wasn’t anything I applied for that I could get approved for.  I knew I needed credit in order to rebuild my credit- but felt trapped because I couldn’t get the credit in the first place!I live in NY- and payday loans are illegal.  I found that out by applying to several payday loan companies and kept getting denied.  When I finally got someone to respond to a customer service request, I found I was getting denied only because of my address.  (Not that payday loans are the best way to rebuild your credit because they sometimes have over 300% interest if you don’t pay them back 100% before your next payday!)What I know now- but didn’t know then- was that I could have gotten a secured credit card.  Secured credit cards make you place a deposit (which is what “secures” your card).  There are a number of card issuers that offer secured credit card options- sometimes called credit cards for bad credit, including:

Wondering why putting money down for a credit card is worth your while?  Well, if you can’t get a credit card in the usual way (by applying- because your credit history isn’t great) then you’re also not going to be able to get any other kind of credit.  That means you can’t go and get a car… a personal loan… a mortgage… you’re just sort of STUCK.  With a secured card- yeah you have to pay to get it; yeah the rates aren’t the best as far as credit card rates go; and ok- so their may be an annual fee… but you know what it DOES do for you?  It reports your successful payments to the credit bureaus which will result in an increase in your credit score over time.  In fact- if you make your payments on time for three consecutive months, you’ll see your credit score go up a few points.  Do it for a year and you’ll have a considerable jump in points- perhaps as many as 20 points (that can take you from “bad” credit to “good” credit!)

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One Response to “Secure Your Future With Secured Credit Cards”

  1. Albert said:

    If you are just starting out or had trouble with credit in the past, a secured credit card may be the most suitable way out.

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