Easy to get credit cards for poor credit

what credit cards are easy to get

Since the financial crisis took hold banks have been keen to take less risk with their cash, which means some borrowers may struggle to get credit cards.

So unfortunately it’s not a simple case of applying for credit these days and being accepted by the provider, as banks have been changing their criteria when it comes to who they’ll lend to.

How do banks decide?

Credit card providers use a ‘score’ to check if you are suitable, but this will differ between lenders and products so there’s no ‘one rule fits all’ and some are more lenient than others.

As a starting point, it could be worth checking your current credit rating with one or more of the reference agencies, including Experian and Equifax, as this plays a key part in lenders’ decisions.

If you are finding it difficult getting accepted for a credit card, it is likely to be down to a muddy credit history, or lack of it if you’ve never been a borrower before. Or it might simply be a case of you not fitting that particular provider’s list of criteria.

What are the options?

There are accessible credit cards for people who find themselves in this situation.

However, easy to get credit cards are likely to have hefty interest rates, and lower credit limits, along with additional fees – so it’s vital to check the detail before applying.

Yet if you need to rebuild your credit rating they are worth considering, as this will give you more option

in the future to apply for other cards. But to do this, you’ll have to make sure to keep up with your repayments.

Cards designed for applicants with credit issues

For example, the Luma Reward card is aimed at those with a poor credit score or past issues which make it tricky to get credit.

However, this card comes with a very chunky representative APR 35.90% (variable) so it’s vital to repay your balance every month to avoid suffering high interest charges. This card, unlike some others, won’t automatically exclude anyone with past CCJs or defaults, and if you’ve a bankruptcy from more than a year ago you could also be considered. The credit limit is £1,500.

Credit card providers use a ‘score’ to check if you are suitable, but this will differ between lenders and products so there’s no ‘one rule fits all’ and some are more lenient than others.

Another option is the Aqua Reward card, with a high representative APR of 29.70% (variable), but can be as much as 49.90% depending on the borrower’s situation. To apply it also won’t exclude people with past CCJs or defaults over a year old, and there is no minimum income requirement.

A word of warning – borrowing on these cards is hugely expensive if you fail to repay the balance every month, unless you carefully stick to any 0% periods on offer. They should be used to gradually clean up a tarnished credit history, or rebuild one so that you can access more attraction options.

Source: www.moneysupermarket.com

Category: Credit

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