Best Credit Cards For Bad Credit 2024

The OpenSky® Secured Visa® Credit Card offers a straightforward, no-frills approach for rebuilding your credit. There’s no credit check or bank account required, and you can get started with a $200 deposit. Two-thirds of cardholders report a credit-score boost of 48 points or more after three on-time payments.

Pros

• No credit check required
• Low APR for this type of card
• Eligible to convert to unsecured card after six months

Cons

• Annual fee
• 3% foreign transaction fee
• No rewards

• No credit check means no credit impact to apply
• Free monthly access to your FICO score
• Reports to all three major credit bureaus to help you build your score across the board
• Choose your own due date
• Option to fund your initial deposit over 60 days

If you’re looking for a more traditional credit card to start rebuilding your credit, the Credit One Bank® Platinum Visa® is a great place to start. There’s no deposit required, it’s open to applicants with bad credit, and it offers 1% cash back on select purchases. Plus, you’ll get an automatic review to see if you’re eligible for credit line increases.

Pros

• No deposit required
• 1% cash back on eligible spending on gas, groceries, mobile phone, internet, cable, and satellite TV services
• Prequalify with no harm to your credit score

Cons

• High annual fee
• High APR
• Low credit limits

• Free access to your Experian credit report
• Choose your own due date
• Rewards are limited and require some work

For a secured card with a rewards punch, it’s tough to beat the Discover it® Secured card. Not only do you earn 2% back at gas stations and restaurants on up to $1,000 in combined purchases each quarter, but you’ll also get unlimited 1% cash back on everything else and a full cash-back match on all rewards earned in your first year. Your credit line will match your deposit, and you’ll be eligible to convert to an unsecured card after seven months if you pay on time.

Pros

• Strong cash-back rewards rate, especially in the first year
• No annual fee
• Eligible to convert to unsecured after seven months

Cons

• Cap on top rewards categories
• Deposit required
• Must provide bank account information

• Free monthly access to your FICO score
• Access to Discover’s extra account and identity theft security features
• No annual fee and low APR, uncommon for a secured card with such high rewards

Looking for more flexibility in a secured rewards card? Check out the Bank of America® Customized Cash Rewards card. This unique card allows you to choose a bonus category for 3% rewards, on top of 1% to 2% on other purchases. With no annual fee, you can rebuild your credit and stack up benefits without the extra costs.

Pros

• Choose 3% cash back on one of the following categories: gas, dining, online shopping, travel, home improvement and furnishings, or drug stores
• No annual fee
• May be able to upgrade to an unsecured card

Cons

• Deposit required
• Foreign transaction fees
• Complicated reward structure

• In addition to your 3% rewards category, earn 2% on purchases at grocery stores and wholesale clubs on a combined limit of $2,500 per quarter
• 1% cash back on all other purchases and any category purchases above the limit
• Balance transfer fee of either $10 or 5% per transaction, whichever is greater
• Deposit up to $5,000 for maximum credit limit

If you’re eligible for Navy Federal Credit Union membership, you can access one of the lowest-interest credit cards for bad credit. With the Navy FCU nRewards® Secured card, you’ll have a low 18% APR, no annual fees or balance transfer fees, and unlimited rewards of 1 point on every dollar you spend. That gives you a great bang for your buck while you work to rebuild your credit.

Pros

• Unlimited 1X points per dollar in rewards
• Low APR for a secured card
• No annual fees, cash advance fees, or balance transfer fees

Cons

• Navy FCU membership required, so you, a parent, grandparent or grandchild must be a veteran or active duty service member
• Deposit required (into Navy FCU savings account)

• Cell phone protection available when you use the card to pay your cell phone bill
• Easily redeem points for cash, gift cards, statement credit and merchandise
• Unlimited rewards make this a great everyday spending card for those rebuilding their credit

The Tomo card is unique among these credit cards for bad credit, as it doesn’t function like a normal credit card. You can’t carry a balance, so you’ll automatically pay off your balance at regular intervals and you won’t accrue any interest. Think of it more like a debit card that helps you build credit. There’s no deposit required, and Tomo will determine your credit limit based on your bank accounts and other financial indicators.

Pros

• Acts like a debit card but helps you build credit
• Report to all three major credit bureaus so you get the credit boost across the board
• Low-risk card since you can’t carry a balance or accrue interest

Cons

• $2.99 monthly fee
• No rewards
• Doesn’t offer the full benefits of having a credit card

Up to $10,000 limit based on an evaluation of your finances

• Set up autopay on a weekly, bi-weekly or monthly schedule
• No security deposit
• Non-U.S. citizens can apply