Instant Approval Credit Cards For Bad Credit And No Credit
If you have bad credit or no credit and want to repair or establish your credit history, there are options in the form of instant approval credit cards for people with bad credit. People with bad credit or no credit are still very important to the banking and financial credit industry because extending them credit still means money for these institutions. It used to be that getting an instant approval credit card if you had no credit or bad credit was next to impossible, but not today. Creditors realize that there are many reasons why people have bad credit and and also realize that if you have bad credit that you may be looking for a way to restore it. Those looking to restore and establish credit are less likely pose a risk of financial loss.
If you have credit card bills already, you may want to look into a personal loan for people with bad credit who want to consolidate their credit card bills to make it easier to pay off. This may not be advisable in most cases, especially if you can't get a personal loan with a decent interest rate, but it is worth looking into. Also, many college students who don't have a credit history can easily get credit cards through their colleges. For some reason, credit card companies either don't do a credit check or have very relaxed standards for college students.
Therefore, if you are a college student with no credit and need to establish credit, it should be fairly easy for you to get a credit card from the applications that are in your college books when you purchase them, near the ATM machines on campus or whenever the financial institutions decide to visit your school. For college students, it is pretty easy to get carried away with all the cards you can get, however, it is important to remember that these cards are to be used to help build your financial history and not put you at risk and in bad financial shape before your adult life actually begins. Use these cards only when necessary and use them wisely.
Why Would Someone With Bad Credit Or No Credit Want A Credit Card?
Simple, because it is a business and they make money off you. It is a win win situation. You get what you want and need and so do they. These financial institutions are not extending you funds out of the goodness of their hearts, they are in it to make money so you may see some things that people with a good financial profile may not see. For example, someone who has a bad profile might have to pay higher interest that someone with a good financial profile. If you think of it as a business, you can see why they would need to charge more interest if they are in the business of making money. As a business, they have to minimize their risk and lending money to someone who has not established a good financial history is very risky. In order to hedge against loss, you most likely, will have to pay higher interest rates.
What Should I Watch Out For When Applying For An Instant Approval Credit Card For People With Bad Credit Or No Credit?
Even though you may be in a situation where you may not be too picky about what instant approval card you get, you should be very careful. Make sure the card you get is not a pre-paid card that you have to fund with your own money. If that's what you want, then fine, but some companies will trick you into thinking you are getting a card with actual money on it to spend when in reality, the only way you can use the card is if you fund it with your own money. Prepaid cards are also a good way to establish and build your history, but if it's not what you are looking for, it could be very disappointing when you get it.
- Watch out for cards that require large deposits. Just because you are not too picky right now doesn't mean you should accept anything. If your limit is $400 but you have to pay a $3oo deposit, it isn't really a charge card now is it? Something like that may just as well be a pre-paid card but some card companies will do that to you.
- Watch out for large late fees, maintenance fees and annual renewal fees. If all these fees are more that your charge limit, then you need another option. Some of these charge cards will try every gimmick to get money out of you because they know you need them to build or repair your financial history. If these fees are too much for you, then don't enter into the contract by applying for the charge card.
- Watch out for huge interest rates. High interest rates on bad credit or no credit charge cards is a way that financial institutions hedge against loss. While this is understandable, charge card interest rates should not approach loan shark levels. If the interest rate is too high, usually above 25 percent interest, then try to find another option.
Make sure you read the terms and agreement very carefully before you get an instant approval charge card for people with bad or no financial history. By reading the terms and agreements which explains all the above charges and how much this particular company will charge you, you can submit your instant approval charge card application with confidence. A couple of good companies to apply for charge cards for people with bad or no credit include: Capital One, First Premier and Orchard Bank.
Are There Other Ways To Build or Repair My Credit?
Yes, there are other ways to build your financial history. Buy now pay later no credit check catalogs are a good way to build up your credit history. These catalog merchants extend credit to you without involving banks and other financial institutions. When asked, they will report good credit to the national credit bureaus. With these buy now pay later catalogs and websites, you can get just about any and everything imaginable.
Learn More About Buy Now Pay Later Catalogs: PRESS HERE
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