A poor credit credit card is one that does not have difficult approval requirements. Different types include unsecured, secured, shopping, and prepaid credit cards.An unsecured card is where you will be extended a line of credit. These cards will often come with some high fees ranging from $150 - $200.Unfortunately with a low credit score all of these cards will have some fees; however an unsecured card will have the most. This is because it is the riskiest lending.A secured card is where you open a bank account and secure it with a deposit. You are then extended a card with the limit being equal to the amount of your deposit.It will work the same way as an unsecured card; you will have monthly bills, and an interest rate. Your deposit will earn interest for you and is refundable if you close your account on good terms.Additionally both an unsecured account and a secured account will report to the major bureaus. Another choice is a shopping card.However, we do not recommend this type of card! A shopping card is only accepted at a certain retailer, which often is part of the credit card company.Thus you may have higher costs on the merchandise. Also you will have either a monthly membership charge and/or a large down payment. Further this card will likely only report to one bureau.The last option is the prepaid debit card. This is similar to a bank card or checking account. You can deposit funds by direct deposit and pay your bills using a feature called bill pay.However it is important to look at the fees associated with this card. One of the most popular cards will charge you $1.00 for every purchase you make using the card, citing a convenience fee.If you have a poor credit rating, your credit choices unfortunately are dramatically reduced. Despite what you may think, though, derogatory items are removed from credit reports on a daily basis. Don't think that you just have to live with a poor credit rating. You may contact the credit bureaus to dispute the negative items and have them erased without waiting seven years.Even though you may have a low credit score, you do have credit card options. However, when choosing a card, be sure to investigate the associated fees and whether or not the card will report to all three of the major credit bureaus.
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