| Search Engines | | | | “credit” available on the card is |
| | | | pre-paid in full by the card holder. |
| Anyone can perform an internet search to look | | | | |
| for credit cards with poor credit and find | | | | This type of credit card for poor credit |
| hundreds of results; there are so many | | | | applicants works much like a debit card to a |
| choices and the “small print” is | | | | checking or savings account except balances |
| so varied it can be hard to understand | | | | left on the credit card are charged a monthly |
| exactly what a consumer is agreeing to. | | | | fee based on an annual percentage rate; these |
| | | | balances are also subject to minimum finance |
| | | | charges. |
| | | | |
| Below is some information to help distinguish | | | | Pre-Paid Credit Cards |
| one kind of “credit card with poor | | | | |
| credit” offer from another; each | | | | Pre-paid credit cards are somewhat different |
| company will have its own small print | | | | from secured credit cards because a pre-paid |
| naturally but this should clarify some of the | | | | card will have no annual fee; it is more of a |
| common terms used for credit cards. | | | | gift card with a Visa or Master Card logo |
| | | | than a true credit card. |
| Pre-Approved And Acceptance Guaranteed* | | | | |
| | | | These credit cards for poor credit applicants |
| Credit cards for poor credit offers which | | | | can seem like a good option because the |
| include the terms pre-approved or acceptance | | | | company doesn’t check credit or |
| guaranteed are almost always followed by an | | | | employment history; but because this |
| asterisk (*); this is because the terms and | | | | isn’t a true credit card it will not |
| conditions will state that the card holder | | | | improve any credit rating or good spending |
| must meet certain qualifying conditions. | | | | and payment habits will not be reported to |
| | | | credit agencies. |
| Common qualifying conditions will include | | | | |
| income, time of employment, time at | | | | Why Get A Credit Card |
| residence, and of course credit rating; the | | | | |
| exact amount will vary by credit card, most | | | | Credit cards for poor credit applicants are a |
| will require a minimum of 12,000 dollars | | | | good tool to turn poor or terrible credit |
| annual income and six months of continuous | | | | around after time; the trick is to get a |
| employment. | | | | credit card with a small limit to start and |
| | | | try to pay off new debt each month instead of |
| When residency is an issue the company may | | | | carrying a balance. |
| also require a minimum of six months at the | | | | |
| address and most charge a higher annual | | | | This is debatable by credit experts, some |
| percentage charge the lower credit rating the | | | | credit experts say to carry a balance and pay |
| applicant has; while the company will accept | | | | just a bit more than the minimum to build |
| any credit they will charge the people with | | | | credit, while others suggest paying off the |
| poor credit higher annual fees, annual | | | | balance monthly. |
| percentage rate, and possibly require a | | | | |
| deposit. | | | | Credit cards for poor credit applicants |
| | | | should be paid off monthly because this |
| Secured Credit Cards | | | | lessens the risk of getting into further |
| | | | financial trouble, establishes a good payment |
| Secured credit cards for poor credit | | | | pattern, and shows future creditors on time |
| applicants may charge a higher annual | | | | regular payments; many creditors look for |
| percentage rate like the unsecured variety; | | | | regular on time payments, when considering |
| the major difference will be that there is | | | | offering credit. |
| less qualifying information because the | | | | |