Having no credit score can be one of the most disastrous things that a man or woman has to endure, as this changes the way banks and other lending institutions view his applications for financial products, such as loans or credit cards.
In some cases, you will be charged a higher interest rate, while in others your application might get rejected. But there are other ways by which you can obtain a credit card for people with bad credit, and here are three options that you should consider:
Option #1: Build your credit score the hard way
For those who have no credit score, the best way to get back in good financial standing is to build your credit score the hard way, and to limit your spending. If you have a bank account, ensure that you balance it and pay your bills on time for the next six months, and you should be well on your way to building your credit score back up again. Also, remember to use certain free sites that allow you to perform credit monitoring on your score from time to time.
Option #2: Joint credit card with someone who has good credit
If you ‘team up’ with someone who owns a credit card by means of a joint credit card, you should be able to enjoy the benefits that a credit card can offer, despite having a bad or no credit score. Remember to pay your bills on time as this can affect your partner’s standing too.
Option #3: A student credit card
One of the smartest ways by which you can obtain a credit card is if you are a student, as the process of getting one of these cards is much easier, and could help you even if you aren’t able to qualify for a poor credit credit card.