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As a person you are always held responsible for your actions. When you can't take out a loan during emergency then there is no one to be blamed but yourself. Too much spending with not a single cent under your name is an attitude that will surely make your finances suffer.

It is very common to see people spend more than what they can earn and as a result they have a lot of debts left unpaid and earning interest rates. It is too late when they realize that the interest is way way higher then the principal. And what's next? Higher interest charges.

This same scenario is what hurts one's credit reputation. A credit history that turns bad will give a consumer hard time applying for another loan. No lenders would want to risk their money on them but in case an investor gets interested financing people with bad credit history then unreasonably high rates apply.

But what is credit history? Credit history is a report from major credit bureaus like the Equifax, TransUnion and Experian. Report includes all the transactions a person have entered to in the past like loans or mortgages or even dues which had been paid and had not been. When your credit report shows records of non-payments or bankruptcy then this sure is a red flag for your account; something that you need to fix if you want your creditworthiness back.

While having a bad credit history will give you thin to no chances of applying for a regular credit card, there is a special card that you could apply for. The secured credit cards are cards which are meant to help people with bad credit history fix it. Such cards work the same way as the regular ones except that fund should be deposited before the card could be used. The fund is not a form of an advance payment but a security in case you default. Remember that you applied for this card to fix your credit record so make it a point to repay each month.

Having an expert advice on how credit is fixed is very helpful. Debt consolidation with the help of some credit organizations could also make things lighter for you. The process of fixing a badly hurt credit history could be painful but as earlier said, you are responsible for your actions.

Most important thing you must not forget: learn your lesson.