duboiscentreghanLow credit score credit cards usually have higher interest rates, but they can be useful for emergencies and paying bills. A good example is the Capital One QuicksilverOne, which accepts consumers with between 580 and 600 credit scores and offers cash rewards. While you cannot use it to purchase luxury items, you can use it for everyday purchases, such as gasoline and groceries. In order to qualify for this card, you must not have committed a major credit mistake in the past.
Most consumers take their credit cards for poor credit granted, thinking of them as a necessity of 21st century life. These cards allow consumers to charge purchases and spread out payments over several months, and help them raise their credit scores by exhibiting creditworthy behavior. In addition, these cards often offer reward points. While these credit cards are not ideal for those with bad credit, they are an option for many people.
Why did my credit score drop 40 points?
As you may know, amounts owed on credit cards comprise 30% of your FICO credit score. When this amount exceeds a threshold, your credit score will go down. To improve your score, consider paying down existing balances and applying for new lines of credit. Also, consider a balance transfer, which allows you to consolidate the balances of several credit cards into a single one.
If you have a low credit score, you might want to consider applying for the Applied Bank Gold Preferred Credit Card. This credit card offers free monthly FICO credit score reviews and access to the popular finance management app, MyFico. Another plus is its low credit limit. The limit is based on your spending habits, and you may be approved for less than this amount.