cropped-creditcards.jpgMost banks, financial institutions and money lenders hardly offer any leverage to people with bad or no credit. In case you do not have any credit, you must be wondering how to get a credit card. In the initial stages of correspondence, financial institutions and banks may show reluctance. However, there are still credit cards for people with no credit. In this post, we have discussed some ways in which you can get a credit card even if you do not have credit.

Choose a Collateral or Secured Card – In this situation, you need to open a new savings bank account in a bank. You will have to deposit a specific amount in the account. This amount is your standard credit limit. The account will act as collateral. Therefore, if you do not pay the credit card bills, the bank will deduct this amount from your savings account.

Get a Prepaid Card – Such a card works like a standard debit card. If you do not have credit because of bankruptcy, foreclosure, late payments or bad history, a prepaid card can be a good choice. Before you get the card, you will have to make an advance payment as per the amount of money you want to spend. Your purchases will be charged against this specific amount.

Small Retail Store Card – If you do not have credit, it is likely that you will have to approach a small retail store to get a credit card. It is worth mentioning that small store credit cards come with higher interest rates. However, these cards can be easily obtained, and even give you a good credit score. It is very important to pay the bills on time. Moreover, you should not send applications to a lot of stores. In the long run, this can affect your credit score.

Find a Co-Signee – This can be another great option to find a credit card for people with no credit. You can easily persuade a friend or family member with a stable and good credit history to become a co-signee. If you can’t pay the bills, the specific amount of the bill will be transferred to the consignee.

Always Choose a Familiar Bank – It is one of the best ways to get a credit card without any credit. If you’re already familiar with a bank or financial institution, you should approach this lender. Most banks aren’t willing to give up on their customers. Therefore, your bank will be able to come up with an appropriate solution.

Each option in the above mentioned list offers numerous benefits to people who don’t have credit. With these options, you will be able to set a good credit score. It will help you in future financial transactions. It’s important to understand that the money lender may consider some other parameters, such as steady job, permanent residency, debt to income ratio and so on. These parameters can play a positive role when you’re looking for credit cards for people with no credit. Just make sure you research all the options before you take any step.