What credit cards are actually available to you with a low score
Banks and card issuers do offer cards to people with low credit scores, but they are not the same cards they offer to people with higher scores. The cards available to you fall into two main categories: secured cards and unsecured cards designed for rebuilding credit. Secured cards require a cash deposit that becomes your credit limit. Unsecured cards for low scores typically come with higher interest rates, lower limits, and annual fees. Both types report to the three major credit bureaus — Equifax, Experian, and TransUnion — which means using them responsibly can raise your score over time.
The specific cards available to you depend on your exact score range and the issuer's own standards. Capital One, Discover, and Chime all offer cards marketed toward people rebuilding credit. Credit unions sometimes offer cards with less stringent score requirements than national banks. The best approach is to check what each issuer actually requires before you search — most publish their minimum score range or state that they consider applications from people with low scores.
Key Takeaways
- Secured cards require a cash deposit but are easier to get approved for and help rebuild your score when you pay on time.
- Unsecured cards for low credit scores exist but usually charge higher interest rates and annual fees than standard cards.
- Both types report to all three credit bureaus, so responsible use — paying your full balance or at least on time — directly improves your score.
- Your credit score will likely improve within 6 to 12 months of consistent on-time payments, after which you may be able to move to a standard card.
How secured cards work and why they are easier to get
A secured card works like this: you deposit money into a savings account held by the card issuer, and that deposit amount becomes your credit limit. If you deposit $500, your limit is $500. You then use the card like any other card — make purchases, receive a bill, and pay it. The issuer holds your deposit the entire time you have the card; they do not use it to pay your bill. Your deposit is collateral, which is why these cards are easier to get approved for even with a low score.
After 6 to 18 months of on-time payments, many issuers will convert your secured card to an unsecured card and return your deposit. Some will do this automatically; others require you to request it. A few issuers, like Discover, offer secured cards that graduate automatically once you meet their criteria. Before you open a secured card, ask the issuer directly whether they have a path to convert it and what that timeline looks like.
The deposit itself is not a fee — it is your money sitting in an account. However, secured cards often charge annual fees ($0 to $95 depending on the issuer) and interest rates that are higher than standard cards. Read the terms carefully. Some secured cards charge interest on your deposit as well, which is a red flag; most do not.
Unsecured cards for low credit scores: what to watch for
Unsecured cards designed for people rebuilding credit do not require a deposit. Instead, the issuer takes on the risk directly, which is why they charge higher interest rates — often 24% to 36% APR — and lower credit limits, usually $300 to $500. Many also charge annual fees ranging from $0 to $99. Some charge a one-time processing fee on top of the annual fee.
The trade-off is convenience: you do not need to save up a deposit, and you get approved faster. However, the higher interest rate means that if you carry a balance, you will pay significantly more in interest charges than you would on a standard card. For this reason, unsecured cards for low scores work best if you plan to pay your full balance each month or pay it down aggressively.
Before you open an unsecured card, compare the annual fee against the interest rate. A card with a $95 annual fee but 24% APR may be better than a card with no annual fee but 36% APR, depending on how much you plan to carry. Some issuers waive the first-year annual fee, so ask about that too.
The difference between secured and unsecured cards for your situation
| Feature | Secured Card | Unsecured Card (Low Score) |
|---|---|---|
| Deposit required | Yes, becomes your credit limit | No |
| Approval odds with low score | Higher | Moderate |
| Typical APR | 18% to 24% | 24% to 36% |
| Typical annual fee | $0 to $95 | $0 to $99 |
| Credit limit range | Matches your deposit | $300 to $500 |
| Path to standard card | Usually yes, within 6–18 months | Possible after score improves |
How to use a low-score card to actually improve your credit
Opening a card is only half the work. Your score improves when you demonstrate that you can handle credit responsibly. The most important factor is payment history — making every payment on time, every month. A single late payment can drop your score further. Set up automatic payments for at least the minimum due, or better yet, the full balance.
The second factor is credit utilization, which is how much of your available credit you are using. If your limit is $500 and you carry a $400 balance, your utilization is 80%, which hurts your score. Aim to keep utilization below 30% — so on a $500 limit, keep your balance under $150. This does not mean you cannot spend more; it means pay down the balance before your statement closes.
The third factor is length of credit history. Keep the card open even after your score improves and you move to a standard card. Closing old accounts can actually lower your score because it shortens your average account age. Use the card occasionally — a small purchase every few months — to keep it active.
What happens after you rebuild your score
After 6 to 12 months of on-time payments, your score will likely improve enough to may have access to for a standard card with better terms. You do not have to wait for an issuer to offer you one; you can search for cards once your score reaches the 600s or 700s. At that point, you will see lower interest rates, higher limits, and fewer or no annual fees.
When you do move to a standard card, do not close your low-score card when ready. Keep it open and use it occasionally. Closing it removes available credit from your profile and can actually lower your score temporarily. Instead, use your new card for most purchases and let the old card sit with occasional small charges.
Some secured card issuers will automatically convert your account to unsecured and return your deposit once you meet their criteria — usually 6 to 18 months of on-time payments. If your issuer does not offer this, you can request a conversion or straightforward move to a different card once your score improves.
Where to find and compare these cards
Start by visiting the websites of major issuers directly: Capital One, Discover, Chime, and U.S. Bank all publish their low-score card options. Credit card comparison sites like NerdWallet, The Points Guy, and Bankrate let you filter by credit score range and see multiple options side by side. Your own bank or credit union may also offer cards for people rebuilding credit, and credit unions sometimes have less stringent requirements than national banks.
When you compare, look at the full cost picture: annual fee plus interest rate plus any other charges. A card with no annual fee but 36% APR will cost you more if you carry a balance than a card with a $95 annual fee and 24% APR. Use a calculator to estimate what you will actually pay based on how much you plan to spend and carry.
Before you submit an process, check whether the issuer does a hard inquiry on your credit report. A hard inquiry can lower your score by a few points temporarily. Most issuers will tell you this upfront. If you are explore to multiple cards, do it within a short window — two weeks or less — so multiple inquiries count as one for scoring purposes.
Frequently Asked Questions
Will opening a new card hurt my credit score even more?
Yes, but only temporarily. A hard inquiry typically lowers your score by a few points for a few months. However, the long-term benefit of on-time payments and improved credit mix usually outweighs this short-term dip. Within 6 to 12 months of responsible use, your score should be higher than it was before you opened the card.
What if I get denied for a secured card?
Denial is rare for secured cards because the deposit is collateral. If you are denied, the issuer will tell you why — usually because they have concerns about your banking history or you do not meet their minimum deposit amount. Try a different issuer or a credit union. If you cannot get a secured card, a credit-builder loan from a credit union may be another path.
Can I use multiple low-score cards at once?
Yes, and it can help your score because it lowers your overall utilization rate. However, managing multiple cards means more bills to track and more risk of missing a payment. Start with one card, prove you can pay it on time for several months, then consider adding a second if you need more credit.
How much should I deposit for a secured card?
Deposit as much as you can afford to leave in the account for 6 to 18 months. Most issuers require a minimum deposit of $200 to $500. A larger deposit gives you a higher credit limit, which can help your utilization ratio. However, do not deposit money you might need — it will be tied up in the account.
Will paying off my balance in full hurt my score?
No. Paying in full every month is the best thing you can do for your score. The myth that you need to carry a balance to build credit is false. On-time payments matter far more than the size of your balance.