Getting a Credit Card Even If you have Poor Credit Scores

| November 20, 2014 | 0 Comments

Poor credit scores are almost handicap for people today. If you have a bad or no credit score, you find it difficult to get loans, apartments on rent and even jobs. Fortunately, there are ways such as catalogues with credit account to get credit cards even, if you have a poor financial history. You just have to be more diligent about your finances for a few months.

poorscore-creditcard

Credit cards for poor rating

Typically, credit cards are offered to people who:

  • Have a healthy financial situation
  • Have a history of making timely payments
  • Have very little debt that has not been unpaid
  • Have a stable job and do not switch employers frequently
  • Have a stable residence that do not change frequently

If you have a bad credit rating, you probably don’t fare well in most of the above aspects. You can still get a credit card by:

  • Applying for secured credit card
  • Being willing to pay higher interest rates
  • If you are a student, applying for a student card

Building your credit score

Your first job is to get a credit card because that will allow you to make regular payments. In order to improve your credit score, you need to:

  • Make regular payments
  • Clear your debts
  • Improve your income gradually

Getting a credit card, even if you have a bad credit rating allows you to make those regular payments. It is the start of a history of regular payments. This will gradually improve your standing with credit rating agencies. As it improves, you will be eligible for more loans and lower interest rates and can save even more money.

Credit catalogues

If you do not want to go the credit card route, credit catalogues are another excellent avenue that you can explore. They work by:

  • Providing you with a catalogue of products you can buy
  • Letting you buy products without immediate payment
  • Letting you repay within 28 days with no interest
  • Allowing you to spread your payments over months

With catalogues with credit account, you do not need necessarily need a credit card, but this still creates a way for you to make regular payments towards something. Only, you will be paying for what you need such as clothing, accessories, home appliances, laptops, smartphones, etc.

All of these things allow you to create a better life for yourself. Your laptop for instance can become a source of income for you. You can use a laptop or smartphone to conduct business, even if a small one. If you are smart about your credit catalogue shopping, you will make regular payments and improve your finances at the same time.

Buying things on credit when you have a bad credit score might seem counter intuitive, but it is actually a very smart strategy. Unless you suddenly happen to earn a lot of money, you will need to repair your credit score slowly. Secured credit cards and credit catalogues allow you to do exactly that and without taking on too many risks.

Author’s Bio:

Frank Spark is the author of this blog post, and he is a successful financial advisor for over a decade. If you are looking for catalogues with credit account to improve your credit history, please visit their website.

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Category: Credit Cards

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