Cards that can pull you out of bad credit history

Advertising Disclosure

Credit-Land.com is an independent, advertising-supported web site. Credit-Land.com receives compensation from many credit card issuers whose offers appear on our site. Compensation from our advertising partners impacts how and where their products appear on our site, including, for example, the order in which they may appear within review lists. Credit-Land.com has not reviewed all available credit card offers in the marketplace.

Credit Card Applications » Research » Guides » Building Credit History » Cards that can pull you out of bad credit history

Cards that can pull you out of bad credit history


Updated: December 26, 2012

Add to Favorites:
There are credit cards using which one can cash in on excellent credit. There are credit cards which one can use as a lifejacket, to come out of bad credit history. Using the right credit card depending upon your financial condition is critical. Here are some of the credit cards, you can check out to help you out of bad credit history. Balance transfer cards Balance transfer cards come with a primary caveat. Too many balance transfers does not augur well for your credit history. However, when a good card comes along, you can transfer your balance from your existing credit card to the new one. Most balance transfer credit cards offer an introductory rate which is extremely low and sometimes even 0%. So, you are virtually freed from the obligation of paying interest on your debt. This allows you to concentrate on repaying the principal debt as soon as possible and repair your bad credit history significantly. Lower the credit card debt, better it is for your credit rating. It will also give you the added motivation, as you are constantly racing against the introductory period which lasts between 6 – 18 months on an average. Make sure, you are perfect in your calculations though, because balance transfer cards are known to have higher interest rates after the introductory period expires. Low interest rate cards If your credit history is in a mess, low interest rate credit cards are something you can always turn to. These are useful because they are absolutely without any sort of risk. There isn’t the temptation of lot of rewards which can lead you to bigger expenses. The interest is not building up on top of the principal all the time. This lowers the pressure on the card holder significantly. It is the ideal credit card for those whose bad credit score is primarily due to a huge rotating debt as opposed to inconsistent payments. Low interest credit cards will go a long way in knocking off some part of the debt very quickly. Prepaid cards The post credit crunch era saw the emergence of several prepaid cards. A lot of customers bought into the idea of prepaid cards too because these cards will not allow you to spend more than a particular limit. You literally buy these cards with some cash and then the card at best, is worth the price you paid. It is ideal for those who would like to stick to their budget every month. In other words, if you are one of those who gives in to the temptation of swiping your credit card, at every possible place, prepaid cards will help you avoid that habit. There are a few caveats with prepaid cards though. The processing fee on some of these cards is very high. Similarly, not all prepaid cards, give you full value for the money you have paid up front. In most cases, you get only 75 – 80% of the cash you paid to get the prepaid card.

Add to Favorites:
Get the latest news, articles and expert advice delivered to your inbox. It's FREE.

Related Research:

How to Subdue Wedding Expenses and Earn up to $1,000 for Honeymoon

How to Subdue Wedding Expenses and Earn up to $1,000 for Honeymoon

Posted: June 21, 2017

Whether you are married or not, we all agree that marriage is incredibly important for a person. It signifies the beginning of two people as a team, as a family, of a long commitment. It is a newly born union and the sign of your choice, ... Continue reading
How To Choose The Best Credit Card For Everyday Spending

How To Choose The Best Credit Card For Everyday Spending

Posted: June 21, 2017

When you reach for your wallet to pay for groceries, gas, dinner out, or any other everyday purchase, are you searching for cash, a debit card, or a credit card? Many people hesitate to charge this type of everyday spending to a credit ... Continue reading
How to Save Money. Best Credit Card Deals and Tips.

How to Save Money. Best Credit Card Deals and Tips.

Posted: June 20, 2017

We all've been through or may find ourselves in such an emergency when money is needed immediately. Lucky you are if you have savings for unexpected expenses. If not, it's never too late to start saving money. There are different ways to ... Continue reading