Getting a card with bad credit means working with issuers who accept lower credit scores, paying higher fees and interest rates, and building a record of on-time payments to improve over time.
Most traditional card issuers require a credit score of 670 or higher. If your score is below that, you have three realistic paths: secured cards (backed by a cash deposit you control), cards designed for bad credit (higher fees, lower limits), or becoming an authorized user on someone else's account. Each has different costs and timelines.
The goal is not to get approved once — it is to get approved, use the card responsibly for six to twelve months, and watch your score climb. Most people with bad credit see meaningful improvement within a year of on-time payments.
Key Takeaways
- Secured cards require a cash deposit (usually $200 to $2,500) that becomes your credit limit, and most convert to unsecured cards after twelve months of on-time payments.
- Bad-credit cards charge annual fees ($39 to $99), higher interest rates (25% to 36%), and often come with lower credit limits ($300 to $500).
- Your credit score improves fastest when you keep your balance below 30% of your limit and pay the full statement balance on time every month.
- Authorized user status on a parent's or partner's account can boost your score without requiring your own process, but you have no control over the account.
Secured cards: how the deposit works
A secured credit card requires you to put money in a savings account held by the card issuer. That deposit becomes your credit limit. If you deposit $500, you get a $500 limit. You then use the card like any other card — the deposit sits untouched unless you stop paying your bill.
Most secured cards have annual fees between $0 and $49. Interest rates typically run 18% to 24%. After twelve to eighteen months of on-time payments, the issuer reviews your account and converts it to a standard unsecured card, returning your deposit. Some issuers do this automatically; others require you to request the conversion.
Secured cards report to all three credit bureaus (Equifax, Experian, TransUnion), so the payment history builds your score. The deposit is yours to keep — it is not a fee. If you close the account, you get the money back (though closing an account can temporarily lower your score, so wait until after conversion if possible).
Bad-credit cards: higher costs, faster approval
Cards marketed directly to people with bad credit typically approve applicants with scores below 600. They charge higher annual fees ($39 to $99), higher interest rates (25% to 36%), and offer lower starting limits ($300 to $500). Some also charge a one-time processing fee ($25 to $75) on top of the annual fee.
The trade-off is speed and simplicity. You do not need a deposit. Approval often comes within days. However, the fees mean you are paying more to build credit than you would with a secured card. If you carry a balance, the interest rate makes the debt expensive quickly.
Use a bad-credit card only if you cannot save $200 to $500 for a secured card deposit, or if you need a card when ready and cannot wait for a secured card process. Otherwise, a secured card costs less over time.
Authorized user status: borrowing someone else's credit history
If a parent, partner, or trusted family member adds you to their credit card account as an authorized user, their payment history may appear on your credit report. If they have a long history of on-time payments and a low balance, your score can jump 50 to 100 points within weeks.
The catch: you have no control over the account. If the primary cardholder misses a payment or runs up the balance, your score drops too. You also cannot remove yourself from the account — only the primary cardholder can. Some issuers allow you to request removal, but it is not may provide.
This works best as a temporary boost while you build your own card history. Ask the primary cardholder to keep the balance low and make payments on time. After six to twelve months, your own secured or bad-credit card will have a payment history, and you can rely less on their account.
What happens after approval: building your score
Your credit score improves through two main actions: on-time payments and low balance. After you are approved, use the card for small purchases you would make anyway — groceries, gas, a subscription — and pay the full balance when the statement arrives. This shows lenders you can borrow and repay reliably.
Keep your balance below 30% of your credit limit. If your limit is $500, do not carry more than $150 at any time. This ratio (called utilization) makes up about 30% of your credit score. High utilization signals financial stress, even if you pay on time.
Do not close the account after conversion or after paying off the balance. An open account with a zero balance is better for your score than a closed one. Keep using the card occasionally — one small purchase per month is enough — to show the account is active.
Comparing secured cards, bad-credit cards, and authorized user status
| Route | Upfront Cost | Annual Fee | Interest Rate | Approval Speed | Control |
|---|---|---|---|---|---|
| Secured card | $200–$2,500 deposit (returned) | $0–$49 | 18%–24% | 5–10 days | Full |
| Bad-credit card | $0 | $39–$99 | 25%–36% | 1–3 days | Full |
| Authorized user | $0 | $0 | N/A | Same day | None |
Common mistakes that slow your score recovery
The most common mistake is carrying a balance and paying only the minimum. If you charge $300 on a bad-credit card at 30% interest and pay only the minimum ($25), you will pay interest for over a year and spend $100+ in interest alone. Pay the full balance every month, even if it means using the card less.
The second mistake is explore for multiple cards at once. Each process triggers a hard inquiry, which lowers your score by a few points. Space applications at least three months apart. One card used well for six months will raise your score more than three cards used poorly.
The third mistake is closing the account too soon. Even after conversion to an unsecured card, keep it open. A long account history helps your score. Closing it removes that history from your report and can lower your score by 10 to 50 points.
Frequently Asked Questions
How long does it take to improve my credit score?
Most people see a 50 to 100 point improvement within three to six months of on-time payments and low balance. Larger improvements (100+ points) typically take twelve to eighteen months. The exact timeline depends on how low your starting score is and whether you have other negative items on your report (late payments, collections, bankruptcy).
Can I get a credit card with a score below 500?
Yes, but your options narrow. Secured cards usually accept scores as low as 300. Bad-credit cards typically require a score of 500 or higher. If your score is below 500, a secured card is your most reliable path. Alternatively, becoming an authorized user on someone else's account can boost your score without requiring your own process.
What if I cannot save money for a secured card deposit?
A bad-credit card is your next option, though the annual fee and interest rate are higher. If neither is possible, ask a family member to add you as an authorized user on their account. This costs nothing and can improve your score quickly if they have good payment history.
Will getting a credit card hurt my score?
The process itself causes a small, temporary drop (5 to 10 points) from the hard inquiry. However, once the account is open and you make on-time payments, your score will climb and exceed where it started. The short-term dip is worth the long-term gain.
Should I pay off my balance in full or carry a small balance?
Always pay in full. Carrying a balance does not help your score — it only costs you interest. Your score improves from on-time payments and low utilization, not from paying interest. Paying the full balance every month is the fastest way to rebuild.