Getting a secured card fast is easy with a down payment or some sort of collateral but maybe you don’t have any. Then try for an unsecured credit card. That being said, there are some things you need to know to avoid paying high upfront fees or ridiculous interest rates. This is all can sometimes come standard with unsecured credit cards. Since past economic crisis has caused companies to tighten up their approval procedures, there are some things you should know before you go looking.

Determine why you may want the credit card in the first place. Is it for those unexpected expenses or to work on repairing your bad credit? Chances are it’s probably both. Prepaid cards are the easiest card to get but they aren’t really traditional credit cards. You have to put money on them to spend. So those are out of the question. Not to worry, there are quite a few bad credit programs available to you.

Secured credit cards are out of the question, so let’s look at unsecured credit cards. The best way to find what you need is to compare offers. Recognize the differences between what the various providers are offering. Do they have cash back? Do they offer lower interest rates for on time payers? How easy is the approval process? Use the power of the internet to answer these questions.

This is important for a number of reasons. I’ll explain further. Some unsecured credit card providers make their money on high fees and interest, hidden back end costs or missed payment fees. Pay attention to what you are agreeing to. Take First Millennium Platinum Card for instance, right on their website it says zero percent APR. They are upfront about the fact that if you keep your card in good standing, you will not be charges enormous interest rates, where you’ve had bad credit in the past. In fact they accept people with bad credit and don’t do checks.

Don’t be too worried about a small credit line, it can always be changed. Get organized and make your payments on time as it shows you are a responsible credit card holder, then simply as for a credit line increase. Look for cards that offer cash back, like First Millennium Platinum Card. It can be helpful when you need some extra cash. Did I mention they will approve you instantly? First Millennium Platinum Card has a short application form on their website and approval is quick and easy.

This article is related to the subject of bad credit. If you are looking for first millennium platinum card then http://www.card-approvals.co.uk/ is the greatest place for you.

Far too often people speak of their credit score as if they have been marked. It’s as if they feel the credit bureaus just assign them a low number to make things difficult. This is anything but true. The credit reporting agencies simply look at the information that has been reported and calculate a score using their methods. They are not biased nor do they hold any kind of vendetta against you personally.

So above all else you need to begin reporting positive information. Add items that can’t help but bring up your score. Promptly paying your bills, paying down credit cards, and paying off debts early as possible will all bring your score up. Your creditors are required to report your information accurately, they must report the good and the bad. Once again you are in control of what gets reported.

While on the topic of creditors reporting accurately it must be said that they do make mistakes. You are doing yourself a huge favor by obtaining your credit reports each year. You can do this for free at www.annualcreditreport.com. Take the time to look there at these reports carefully and identify any errors. Dispute them and have them remove or corrected. Depending on the amount of errors you may see a significant credit score increase just from this.

If you are in need of Credit Repair for any reason, take the first step and Click Here!

Be the First to Mention It

Don’t go through ninety percent of the hiring process, only to be shut out at the last minute because of dings on your credit report. Potential employers will resent having to go through all the trouble of interviewing and running checks, only to find that you don’t meet their credit standards. To maximize your chance of landing the job, tell the employer that you’re aware of some problems with your credit, but that you’re in the process of repairing them.

Be Open and Honest

The employer will want to know what steps you’re taking to repair your credit. Let them know everything you’ve done so far, including refinancing and paying down your credit cards. Be prepared to provide documentation. The idea is to let the employer know you’re not trying to hide anything. Bring your own copy of your credit report to the interview to show that you’re doing everything you can to comply with the company’s rules.

Choose Smaller Companies

Small companies are more likely to cut you some slack over items on your credit report. If you can, try to develop some rapport with your interviewer. Once you’re both at ease, bring up the topic of credit checks and let them know you want to save them time and trouble by discussing a few items up front. Then produce your report and explain the problems. There’s no need to divulge personal details about an illness that left you in dire straits, but do let the employer know that your negative credit items weren’t due to financial mismanagement. (Unless they were due to financial mismanagement, in which case it’s best to stay vague and move on.)

Bad credit will earn you a bad reputation, whether or not its deserved. This is unfortunate, as the rates of credit card default and unemployment continue to rise. Speak frankly with your potential employers. Let them know that you acknowledge the problems on your credit report, and that you’re willing to fix them. This tactic won’t work with every company, but it might convince a sympathetic hiring manager to bend the rules. Good luck!

by: Janna Weiss

Still, the fact that lenders need to protect themselves doesn’t mean you have to settle for predatory practices. If you have bad credit, there are ways to improve your situation without getting taken to the cleaners.

First, it’s important to shop around for the very best deal you can find. All sub-prime credit cards are not created equal. Some will squeeze you for every penny, while others have fair terms and conditions appropriate to your credit rating. Don’t waste your time applying for credit cards that won’t help you build up your credit score.

Beware of sub-prime credit cards that advertise low interest rates. The card issuer will recoup that money somehow, usually in the form of hidden fees and unfair restrictions. The low rate could just be a teaser rate that will skyrocket after a period of time. Most credit card interest rates are subject to change at any time, though there will soon be laws governing this. Also, some credit cards have monthly and annual fees, or account setup fees. These cards aren’t a very good deal if you’re getting a small credit limit to boot.

When you have bad credit, some lenders act like they’re doing you a huge favor by offering you a credit card. That’s because they are. Still, you need to make sure that you can use the card issuer to improve your credit score. Whenever you apply for a card, make sure the issuer reports to TransUnion, Equifax, and Experian. You want your timely payments to count for something! There are also cards that will upgrade to unsecured after you’ve paid on time for a year. Others offer credit limit increases after such a time.

Need to compare credit card rates? The Internet is a valuable tool. Go online to find the best deal on a secured or unsecured credit card for borrowers with poor credit. You’ll be surprised by how much the terms vary. Remember: the credit card industry is still largely unregulated, so it’s up to you to find a good deal and grab it. Good luck!

by: Janna Weiss

Secured credit cards give many sub-prime borrowers access to credit that they need, but can’t get through traditional means. Anyone can get approved for a secured credit card because these cards pose no risk to the card issuer. The credit limit is secured when the borrower deposits a certain amount of money into a bank account. This account is left alone unless the borrower defaults on their card payment, in which case the funds are used to cover the outstanding balance.

The amount of the required security deposit varies. Some credit cards require a minimum deposit of $200, while others require $1,000. The credit limit will be equal to the amount deposited in the security account.

When you choose a secured credit card, it’s important to make sure that the card issuer will report timely payments to the major credit bureaus. If they don’t, your credit won’t reap the benefits of your responsible habits. Once you’ve established that your repayments will be reported, make your payments a priority. Use the credit card for small purchases, and pay off the balance in full at the end of the month. If you do this for six months to a year, your credit score will improve and the card issuer might raise your credit limit.

Like other sub-prime financing products, secured credit cards can come with hefty fees and interest rates. These high fees reflect the amount of risk the lender is taking by giving the borrower a credit card. Some of these cards can have truly predatory terms, so always be certain of what you’re agreeing to before you become a card holder. Never pay more to open an account than you will receive as a credit limit. Don’t agree to terms over the phone; get a printed cardholder agreement that you can read for yourself, and don’t sign it until you understand the conditions.

Luckily, there is pending legislation that will limit so-called “fee harvesting” credit cards – those that subject the card holder to exorbitant fees without giving them a significant amount of credit. If you have suspicions about a secured card issuer’s ethics, move on to another source to avoid getting gouged.

by: Janna Weiss

Step 1 – Order your credit report.

Before you can raise your credit score, you have to know what it is. Get a free copy of your credit report from annualcreditreport.com or order your credit score from myfico.com. You’re entitled to a free copy of your credit report each year, or any time you’re denied for credit. While these free reports might not contain your credit score, they will give you some insight into what’s bringing it down.

Step 2 – Dispute errors on your credit report.

Most credit reports contain errors. Your credit score could be suffering because of negative items you weren’t responsible for. You can dispute these errors by following the guidelines at the Federal Trade Commission web site.

Step 3 – Pay down your credit cards.

Having a lot of available credit is good for your score, but having a lot of debt will bring it down. The best scenario is to have several credit cards that have very few charges. If your cards are almost maxed out, your score could drop by a hundred points or more. Pay down your balances as quickly as you can, and resist the temptation to use the cards while you’re trying to pay them off. You don’t want to sabotage your efforts.

Step 4 – Don’t apply for too many cards.

If you have a substantial amount of debt and apply for more credit cards, lenders might take this as a sign that your spending is out of control. Don’t apply for more than one card every six months. Each credit card application you submit will be logged on your credit report, and each one can ding your score by a few points.

Step 5 – Make your payments on time, every time.

Even if you can’t afford more than the minimum monthly payment, make sure you pay your credit card bills on time. Each time you’re late by 30 days or more, your credit report will reflect a negative item in your payment history. If your credit card account is closed due to non-payment, it can haunt your credit for up to 7 years.

Of course, the best way to pull up your credit score and get out of debt is to make more than the minimum required payment each month. If you can double or triple the minimum amount, do so. The faster you pay down your card balances, the faster your credit score will rise.

by: Janna Weiss

First, some background: In May of 2008, the Federal Reserve Bank proposed price controls for subprime credit cards. If these changes are passed, subprime credit cards could no longer charge startup fees higher than 50% of the total credit line. Startup fees higher than 25% of said credit line would have to be spread out over a period of one year.

At first glance, these changes look great. Who wants to pay hundreds of dollars for the dubious privilege of a $50 credit limit? Besides low limits, many subprime credit cards come with monthly fees, annual fees, and other fine print fees that bring their worth into question.

On the other hand, more than 70 million Americans can’t qualify for prime credit cards. These people need credit, but lenders won’t give it to them because of the financial risk involved. That’s where subprime credit cards come in. Anyone can get one, and wise card holders use them to pump up their credit scores so that they can qualify for better cards in years to come.

The credit bureau TransUnion was commissioned by Citizens for Equal Access to Credit to conduct a study of 365,000 subprime card holders. TransUnion found that 37% of those card holders saw significant improvements to their credit scores within 2 years.

Groups like the one that commissioned the study argue that, without low-limit credit cards, millions of Americans wouldn’t be able to obtain any credit cards at all. These sentiments are echoed by people who have pulled up their credit score through the use of subprime credit cards.

Others, including the Federal Reserve Bank, consider these cards to be another form of predatory lending. Critics claim that high fees and low credit limits aren’t doing card holders any favors.

by: Janna Weiss

Unscrupulous sub-prime card companies count on this. These companies take advantage of desperate folks by spelling out contract details in vague terms, down-playing changes to interest rates after a specified length of time, extending pitifully low credit limits, or charging exorbitant fees. How can a person with no credit (or bad credit) protect themselves?

The first step to selecting a fair credit card offer is to read the fine print. Yes, all of it. Credit card offers grab our attention with huge print and colorful graphics promising zero interest and low annual percentage rates. Low credit? No problem. No credit? Fine. These companies are more than willing to overlook such details and issue cards to high-risk applicants.

But the truth is in the details. Toss aside those distracting envelopes and look for terms and conditions. Those promises on the packaging might have a shirt life span, after which the card holder is stuck with high rates and fees. Be aware that, if you have no credit history, or a flawed history, you can expect interest rates that range from eighteen to twenty-five percent, or higher. If no good offers are forthcoming, potential card holders can go to their banks. It is often easier to get a credit card from a financial institution where one has had savings and checking accounts. Once you establish a reputation for keeping a positive bank balance over time, your bank might even approach you with a sweet credit card deal.

Those who are still unable to qualify for regular credit cards aren’t completely out of luck. Secured credit cards are a good choice for many people in this situation. These cards are secured by a deposit made by the card holder into an account that is set up specifically for this purpose. Then, if the card holder doesn’t make their payments, the card issuer can take the money they’re owed out of that account. Many banks and companies are more willing to issue secured cards, since their risk is decreased by doing so. Secured cards might or might not come with hefty annual fees.

Some low-credit card holders feel that they must settle for atrocious offers, like a $200 credit limit after paying $100 in up-front fees. If those atrocious terms were spelled out in writing, then card holder took themselves for a ride by signing up for the card in the first place. Sub-prime predators are a fact of life, but they would not offer ridiculous terms if people didn’t accept them.

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If you’re a parent who is concerned about your child’s credit score, take heart. Here are five strategies for getting them started down the path to good credit.

Car Loans

Teenagers eventually need cars, and it often falls to parents to provide those cars. But the teens should be involved in the paperwork, too. One of the simplest (and most overlooked) ways to start building your child’s credit is to get them to co-sign for their car loan. Once their name is on the contract, they will begin to receive credit for timely car payments.

Your Own Cards

If your child is trustworthy, you can add them to your own credit card accounts. Any credit history associated with your credit cards will then influence your child’s credit score.

Bank Cards

Start a checking or savings account for your child while they are in their early to mid teens. Make sure that the accounts maintain a positive balance. Then, by the time your child is ready to head off to college, they will already have a positive history with their bank. This can be very beneficial, because banks will often issue credit cards to clients who have proved, over time, to be financially responsible.

Retail Cards

Like bank cards, credit cards from retail stores are relatively easy to obtain. Try to select a store that your child will shop at, but not one where you think they might be tempted to spend beyond their means. Make sure your child understands that the key to building a good credit history is to charge a small amount every month, then pay off the balance in full.

Secured Cards

Secured credit cards are another option for teens and young adults who are trying to build up their credit. These cards are secured by a deposit made by the card holder into an account that is set up specifically for this purpose. Then, if the card holder doesn’t make their payments, the card issuer can take the money they’re owed out of that account. Since this significantly reduces the risk to the issuer, banks and credit card companies will issue secured cards to applicants who might not qualify for non-secured cards.

With a little pre-planning and strategic thinking, you can have your child’s credit up and running in no time. Whichever card you and your child decide to go with, emphasize to them the importance of not carrying a balance, lest they get mired down in fees, penalties and interest. Your child might think you’re nagging, but since when has that stopped a good parent from getting their point across?

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So what if a loved one with less than stellar credit asks you to co-sign for a credit card? This can be a tough decision. Of course you want to help them build or rebuild their credit, but you probably have valid concerns about harming your own. After all, your credit score is a numeric representation of how responsible you are with your finances. And it can be used against you when you try to rent an apartment, buy a car, or get a job. How can you say yes to a friend in need without making a mistake that could have a very real impact on your life?

Before you co-sign, remember that if this credit card account goes unpaid, your credit score will be affected just as if you had caused the delinquency yourself. If this is not a chance you’re willing to take, politely point your friend to other possibilities, such as secured credit cards or other cards designed for consumers with poor or no credit.

If you do decide to co-sign, do it with the intention of taking over payments if it becomes necessary. If you can’t afford to do that, be honest with your friend. If you can afford to assume responsibility for the potential debt, there are some steps you can take to protect your credit from nasty surprises.

First, set some conditions. There has to be an agreed-upon credit limit, and your friend must agree to let you know if they’re unable to make a payment – before that payment is due. Also, have the credit card account set up so that it can be viewed and managed online. You should have access to the account. This gives you greater control and keeps you up to date about any changes to the credit card account.

In the past, credit card holders with good credit could simply add a friend, spouse, or child as an authorized user. This temporarily improved the authorized user’s credit score, allowing them to apply for their own cards or loans. But this tactic, called “credit piggy-backing”, is now obsolete. Authorized users no longer get a credit boost. In order to help someone pump up their credit, it’s now necessary to risk your own through co-signing.

Should you co-sign or not? That’s a question that only you can answer. Ask yourself the questions presented here, and then make an honest assessment of your friend’s trustworthiness. Co-signing isn’t the only choice available to people with poor credit. If you think it’s likely that your own credit would suffer, forget the co-signing and encourage your friend to explore their other options.

by: Janna Weiss