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While having a poor credit history limits your choice of options, there are still credit cards available that offer guaranteed approval without doing a credit check. These cards can be a great stepping stone to helping you build up your credit while saving your credit score from taking a hit.
If you have bad credit and are concerned your application for a credit card will be rejected, check out your options below.
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Apply today for this low annual fee secured card and get guaranteed approval with no credit check once you secure your card with some funds.
This comparison displays both secured and unsecured credit cards that don’t require a credit check.
Having bad credit usually means that your credit score is lower than average due to a history of missed payments, loan defaults or bankruptcy. Your credit history is stored by credit bureaus like Equifax and TransUnion and is used by lenders to decide whether or not to offer you credit. Your credit score determines your credit rating which could be “poor”, “fair”, “good”, “very good” or “excellent”. Your score is calculated by credit bureaus using the information on your file and is a number between 300 and 900. The higher your credit score, the lower your risk as a borrower.
There is no single, definitive credit score for an individual – credit scores differ slightly depending on the bureau, which means your Equifax score will probably be slightly different from your TransUnion credit score.
While not set in stone, the general credit tiers are:
All you need to know about credit scores
Before applying for a credit card, it’s important to distinguish between a “soft credit inquiry” and a “hard credit inquiry” search on your credit report.
When you’re considering a particular credit card, most banks and credit card providers offer an eligibility check on their website. This is a simple online form that can tell you your chances of success in obtaining a credit card. This is known as a “soft inquiry” that doesn’t impact your credit report because it isn’t an official application. A “hard inquiry”, on the other hand, happens when you officially apply and involves a credit check and your credit score will be affected. If a potential lender sees a lot of hard inquiries on your report in a small space of time, this could suggest you are struggling to find credit and this makes your application less likely to be approved by the lender.
If you have a bad credit score – or perhaps have no credit history at all – then a credit builder credit card could be a great place to start. While the credit limits are lower and sometimes a deposit is required (as is the case for secured credit cards), you can enjoy some of the benefits of credit card ownership while you build up your score with responsible use and regular payments.
Unlike many mainstream credit cards that offer travel or reward programs, there are usually few benefits or rewards offered by credit builder cards. The interest rate on purchases, however, can be very reasonable and some cards offer guaranteed approval. It’s important to note, however, that not everyone qualifies for “guaranteed approval”.
While each lender’s criteria is different, there are some general things you can do to increase your chances of approval.
It usually takes about 10-15 minutes to apply online and you usually know whether you’re approved in moments. Occasionally, some providers may require further information and your application could take up to two weeks to be processed.
Credit card providers have different reasons for accepting or rejecting your application. Here are some important dos and don’ts to help you increase your chances of approval and how to manage your credit card once you have it.
If you don’t want to go through a credit check to protect your credit score, there are credit card options available that don’t require credit checks and even offer guaranteed approval. It’s important to note, however, that approval is not always guaranteed even when it’s advertised. Even if you end up being eligible for a secured credit card which requires a deposit, there are options available that help you avoid taking a hit to your credit score.
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