You have a lot of options when it comes to credit cards used to rebuild you credit history. You would think that the opposite would be true. But there are a lot of companies who aim at consumers with bad credit.
Credit cards to rebuild credit history has become big business. Unfortunately not all the companies are honest. Some are looking to take advantage of people who are already down on there luck.
How do you know which ones to trust? First lets look at the three types of cards and how they may help you rebuild your credit history.
1. Catalog clubs that issue so called "credit cards" for people with bad credit. These companies are pedaling overpriced products. The cards they issue can only be used to purchase their products. The only good part is that they do report to credit bureaus. This will rebuild credit history. This is an expensive way to go.
2. Rebuild your credit history with prepaid credit cards. This option is not really a credit card. These are most like a debit card. They have a Mastercard or Visa logo but are only good for the amount you have preloaded on them. When the balance gets low you just reload the amount you want on them. There is usually a fee associated with them. They are available at major retailers.
3.Secured credit cards- the best way to rebuild credit history. A secured card relies on you making a deposit in the credit card companies bank. This deposit is held as collateral. It only gets touched if you miss a payment. Since you are buying on credit they report to the credit bureaus. This is a good way to rebuild credit history. The starting credit limit is usually the amount of your deposit. As you establish a good track record they may raise your credit limit. Rates can vary so shop around.
There are a lot of options for people with bad credit but investigate thoroughly. Dont let companies take advantage you. - 29970
Credit cards to rebuild credit history has become big business. Unfortunately not all the companies are honest. Some are looking to take advantage of people who are already down on there luck.
How do you know which ones to trust? First lets look at the three types of cards and how they may help you rebuild your credit history.
1. Catalog clubs that issue so called "credit cards" for people with bad credit. These companies are pedaling overpriced products. The cards they issue can only be used to purchase their products. The only good part is that they do report to credit bureaus. This will rebuild credit history. This is an expensive way to go.
2. Rebuild your credit history with prepaid credit cards. This option is not really a credit card. These are most like a debit card. They have a Mastercard or Visa logo but are only good for the amount you have preloaded on them. When the balance gets low you just reload the amount you want on them. There is usually a fee associated with them. They are available at major retailers.
3.Secured credit cards- the best way to rebuild credit history. A secured card relies on you making a deposit in the credit card companies bank. This deposit is held as collateral. It only gets touched if you miss a payment. Since you are buying on credit they report to the credit bureaus. This is a good way to rebuild credit history. The starting credit limit is usually the amount of your deposit. As you establish a good track record they may raise your credit limit. Rates can vary so shop around.
There are a lot of options for people with bad credit but investigate thoroughly. Dont let companies take advantage you. - 29970
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More information on other aspects of rebuilding your credit history can be found located here Repair Bad Credit Fast. Tlocated here is also a More free report located here.
