Can I get a credit card with bad credit?

Even if you have low credit scores, you may have options when it comes to getting a credit card. Secured cards, student cards and cards for building credit could be good places to start. 

Learn more about some types of credit cards for bad credit and how to compare options and improve your chances of getting a card. 

What you’ll learn:

• It’s possible to get approved for a credit card even if you have bad credit scores.

• If you’re having trouble getting approved for a traditional, unsecured credit card, a secured card might be an option.

• To improve your chances of approval, you can start developing responsible habits before you apply.

When you compare credit cards, you may see them grouped into two categories: secured and unsecured. Within either category, there are potential credit card options for people with bad credit: 

• Secured cards require a refundable security deposit, which the credit card issuer holds as collateral. 

• Unsecured cards don’t require a deposit to open the account.

Both could include different types of credit cards, such as cash back cards, travel cards and student cards.

It helps to understand credit scores and what’s meant by a bad or poor credit score before comparing credit card options.

Credit-scoring companies use different formulas, or models, to calculate credit scores. There are many different credit scores and scoring models. That means most people have more than one credit score.

FICO® says scores below 580 qualify as poor. And VantageScore® classifies any score below 600 into a similar category known as subprime.

According to FICO, borrowers with a FICO score in a lower range may be viewed as a credit risk. And VantageScore says those with subprime credit might struggle a bit more when applying for cards or loans. But ultimately, decisions come down to each lender.

Comparing credit card offers and eligibility requirements before you apply could help you find the right card. Comparing card fees, interest rates and terms can help you find the right fit for your situation. Secured cards, student cards and cards for building credit may be some options to look into.

Interest rates on a credit card are typically the same as the card’s annual percentage rate. Comparing rates can be a good place to start when shopping for a card.

You may also want to take note of annual fees and other potential charges. Cash advance fees, late fees, balance transfer fees and foreign transaction fees are a few other examples.

If you’re using your card responsibly and making on-time payments every month, credit reporting may be one potential benefit of using a credit card instead of a prepaid credit card or debit card. You can’t build credit unless your responsible use is being reported to the credit bureaus. And generally, debit card and prepaid card use isn’t reported.

Consider which card issuers might allow you to upgrade your credit card as your credit improves. Upgrading might let you keep the same account open and unlock additional benefits.

If approved for a credit card, you may be offered a lower credit limit than people with higher credit scores. But once you’ve established a history of on-time payments, your lender may consider you for a credit limit increase. 

For secured cards, some issuers allow cardholders to increase their credit lines if they deposit more than the minimum security deposit.

Before you submit an application, you could take a couple of steps to check your credit and see what cards you might be eligible for:

Knowing where your credit stands could help you avoid applying for cards you’re unlikely to be approved for. CreditWise from Capital One can help. It’s free and available to everyone, even if you’re not a Capital One cardholder. 

You can use CreditWise to track changes to your credit report and credit score. And using CreditWise won’t hurt your credit scores.

You can also use the CreditWise Simulator to understand the potential impact of your financial decisions, like applying for a credit card, before you make them. Another option is to get free copies of your credit reports at AnnualCreditReport.com.

If you’re pre-qualified or pre-approved for a credit card, it usually means you’ve met some general criteria required to become a cardholder. Seeing if you’re pre-approved can help you focus on cards you’re more likely to be approved for and avoid unnecessary hard inquiries to your credit reports.

But if you receive a pre-approval offer and decide to accept, submitting a full application typically triggers a hard inquiry.

Here are a few commonly asked questions about getting a credit card with bad credit:

If you have low credit scores, you might find that your credit card options are limited. But finding a card that works for you and getting approved is still possible. With responsible use, a credit card can help you build your credit and improve your credit scores over time. And that could open the door for better cards in the future.

New to credit or looking for your next credit card?

• Check out credit cards for building credit.

• Check for pre-approval offers with no risk to your credit scores.

• Earn unlimited 1.5% cash back on every purchase, every day, with a cash back credit card.

• Monitor your credit score with CreditWise. It won’t hurt your credit, and it’s free for everyone.