Cards that approve people with bad credit scores
The easiest cards to get with bad credit are secured credit cards, which require a cash deposit that becomes your credit limit. Most secured card issuers approve applicants with credit scores below 600, and some approve people with no credit history at all. The deposit protects the issuer if you don't pay, so they take less risk on you.
Unsecured cards designed for bad credit also exist—these don't require a deposit—but they have higher rejection rates and stricter income requirements. Secured cards are genuinely the fastest path to approval if your score is low.
The second-easiest option is a store card from a major retailer. Target, Amazon, and Walmart issue cards that approve people with fair or poor credit more often than traditional banks do. Store cards have lower approval thresholds but only work at that retailer, so they're useful mainly if you shop there regularly.
Key Takeaways
- Secured credit cards require a cash deposit ($200 to $2,500) that becomes your credit limit, and most approve people with scores below 600.
- Your deposit sits in a savings account while you use the card; you don't lose the money unless you fail to pay the card bill.
- Unsecured bad-credit cards exist but have stricter income checks and lower approval odds than secured cards.
- Store cards from retailers like Target and Amazon approve bad-credit applicants more often than bank cards, but only work at that store.
- All of these cards report to the three credit bureaus, so on-time payments will raise your score over 6 to 12 months.
How secured cards work and why approval is easier
A secured card works like this: you deposit money into a savings account held by the card issuer. That deposit amount becomes your credit limit. If you deposit $500, you get a $500 limit. You then use the card like any other credit card—swipe it, pay the bill each month, and build credit history.
The deposit stays in the bank's account the whole time you hold the card. You don't spend it. The bank holds it as collateral in case you stop paying your bill. Because the bank's money is protected, they approve almost anyone with a pulse and a valid Social Security number, regardless of credit score.
After 6 to 18 months of on-time payments, most issuers convert your secured card to a regular unsecured card and return your deposit. At that point you have a normal credit card with a higher limit, and your deposit is back in your pocket.
Secured cards with the lowest barriers to entry
Three secured cards stand out for approving people with the worst credit and the lowest deposit requirements:
| Card | Minimum Deposit | Approval Odds | Annual Fee |
|---|---|---|---|
| Capital One Secured Mastercard | $200 | Very high for bad credit | $39 (first year may be waived) |
| Discover it Secured | $200 | High for fair credit and up | None |
| OpenSky Secured Visa | $200 | Very high; no credit check | $35 |
Capital One Secured Mastercard approves the widest range of bad-credit applicants. It has a $39 annual fee, but Capital One often waives it for the first year. The minimum deposit is $200, and your limit can go up to $3,000 if you deposit more.
Discover it Secured has no annual fee, which saves you money over time. It requires a minimum $200 deposit and approves people with fair credit and higher. If your score is very low (below 550), Discover may decline you; Capital One is the safer bet.
OpenSky Secured Visa does not run a hard credit check, so it won't hurt your score to explore. It has a $35 annual fee and a $200 minimum deposit. OpenSky approves almost everyone but is less well-known, so the card carries less weight when you try to convert it to unsecured later.
Unsecured bad-credit cards and why they're harder to get
Unsecured cards for bad credit exist—Chime Credit Builder and Credit One Bank both market to people with poor scores—but they have stricter requirements than secured cards. Most require proof of income, a checking account in your name, and a minimum credit score around 550 to 600. Some also require you to be employed.
Approval odds are lower because the issuer has no collateral. If you don't pay, they lose money. That's why they screen more carefully. You'll also pay higher annual fees—Credit One charges $39 to $99 per year—and the credit limit is usually lower ($300 to $500).
The only reason to pursue an unsecured bad-credit card is if you can't save $200 for a secured deposit. Otherwise, a secured card is faster to get and cheaper to hold.
Store cards and retail credit lines
Store cards from Target, Amazon, Walmart, and Best Buy approve bad-credit applicants more readily than bank cards. These retailers want to increase sales, so they're willing to take on riskier customers. Approval odds are often 50% to 70% for people with fair or poor credit.
The catch: a store card only works at that retailer. A Target card can't be used at Walmart. If you don't shop at that store regularly, the card is useless for building credit elsewhere. However, if you do shop there, a store card is a real option and requires no deposit.
Store cards also report to the credit bureaus, so on-time payments help your score just like a bank card would. The annual fee is usually $0, and the credit limit is typically $300 to $1,000 depending on your income.
What happens after approval: using the card to rebuild credit
Once you're approved, the real work begins. Your goal is to use the card in a way that raises your credit score. That means charging small purchases and paying the full balance on time, every month.
Do not carry a balance. If you charge $100 and pay $100 in full by the due date, you build credit and pay no interest. If you charge $100 and pay only $25, you carry a balance, pay interest, and the credit bureaus see you as a higher-risk borrower. Carrying a balance does not build credit faster—it just costs you money.
Use the card for everyday purchases: gas, groceries, a coffee. Then pay it off in full when the bill arrives. After 6 to 12 months of this, your credit score will rise 50 to 100 points. After 18 to 24 months, you'll likely be approved for unsecured cards with better terms.
Check your credit report for errors before you explore. You can get a free report from annualcreditreport.com (the official government site). If there are mistakes—accounts that aren't yours, late payments you didn't make—dispute them before you explore for a card. Fixing errors can raise your score 20 to 50 points when ready.
Mistakes to avoid when explore with bad credit
Do not explore for multiple cards in a short time. Each process triggers a hard inquiry, which lowers your score by a few points. Multiple inquiries in a month signal to lenders that you're desperate for credit, which makes them less likely to approve you. explore for one card, wait 30 days, then explore for another if the first one is denied.
Do not lie on the process. Issuers verify income and Social Security numbers. If you claim $50,000 in income and you actually make $25,000, they'll find out during verification and deny you. Worse, lying on a credit process is fraud.
Do not assume you'll be denied. Bad credit doesn't mean automatic rejection—it means you need a secured card or a store card instead of a premium card. Secured cards approve the vast majority of applicants. If you have a job and a valid ID, you will get approved for something.
Frequently Asked Questions
Will explore for a bad-credit card hurt my score?
Yes, each process triggers a hard inquiry that lowers your score by a few points. However, the damage is temporary—the inquiry falls off your report after 12 months and stops affecting your score after about 6 months. One process costs you 5 to 10 points; multiple applications in a month cost you 20 to 30 points. explore for one card at a time and space applications 30 days apart.
Can I get a secured card if I don't have a savings account?
No. Secured cards require you to open a savings account with the issuer and deposit money into it. If you don't have a bank account, you'll need to open one first. Most banks let you open an account online in 10 minutes with just an ID and Social Security number. Once the account is open, you can deposit the required amount and explore for the secured card.
What's the difference between a secured card and a prepaid card?
A secured card is a credit card backed by a deposit. You borrow money, pay it back, and build credit history. A prepaid card is not a credit card—it's like a gift card. You load money onto it and spend that money. Prepaid cards don't report to credit bureaus and don't build credit. For rebuilding credit, you need a secured credit card, not a prepaid card.
How long until a secured card converts to unsecured?
Most issuers convert secured cards to unsecured after 6 to 18 months of on-time payments. Capital One typically converts after 6 months; Discover takes longer. When the conversion happens, the issuer returns your deposit and you keep the card with a higher limit. You don't have to do anything—the issuer handles it automatically.
Can I use a store card to rebuild credit if I don't shop there often?
Technically yes, but it's inefficient. A store card only works at that retailer, so you'd have to make purchases there just to use the card. A secured card works everywhere Mastercard or Visa is accepted, so you can use it for everyday purchases and build credit faster. If you shop at the store anyway, a store card is fine. If you don't, a secured card is the better choice.