Best Credit Cards to Rebuild Credit

Guaranteed approval credit cards with $10,000 limits for bad credit don't really exist. A secured credit card that allows you to place a very sizable deposit is the closest thing you'll find. For example, the Chime Credit Card allows you to put down as much as $10,000 and offers nearly guaranteed approval. But your spending limit equals the amount of your deposit, so it won't help you buy something that you can't already afford in cash.

There are a couple of important reasons why guaranteed approval credit cards with $10,000 limits for bad credit are not available. For starters, no credit card offers 100% guaranteed approval. There's always some sort of minimum eligibility requirement that you must meet. That's even true with secured credit cards.

Furthermore, credit cards for people with bad credit tend to have spending limits that are far below $10,000. Most unsecured cards for bad credit give you a starting limit of around $300, and fees eat into a lot of that early on. So, if you have bad credit, you're not going to find a credit card capable of financing a big-ticket purchase.

Some Easy High Limit Credit Cards to Get with Bad Credit

• Chime Credit Card: No pre-set minimum limit – $10,000 limit (same as the amount you transfer from your Chime Spending Account)
• Harley-Davidson® Secured Credit Card: $300 - $5,000 limit (same as the deposit amount)
• First National Bank of Omaha Secured Visa® Card: $300 - $5,000 limit (same as the deposit amount)
• OpenSky® Secured Visa® Credit Card: $200 - $3,000 limit (same as the deposit amount)
• First Progress Platinum Elite Mastercard® Secured Credit Card: $200 - $2,000 limit (same as the deposit amount)

At the end of the day, getting a credit card with a specific spending limit should not be your top priority when you have bad credit. You're unlikely to get an unsecured card with a $10,000 limit until you have excellent credit. So, rebuilding your credit as inexpensively as possible is the best approach in the long run. Above all else, that means getting approved for a credit card as quickly as possible and paying your bill on time every month.

These offers are among WalletHub's picks for the best secured credit cards. They all can make shopping more convenient. And as long as you pay your monthly bills on time, they'll help you improve your credit score. If you'd like some tips for how to speed up the credit-rebuilding process, you can get personalized credit-improvement advice by signing up for a free WalletHub account.

Yes. Secured credit cards help build credit if you keep them in good standing by paying the monthly bill on time, because all major secured cards report to 1-3 major credit bureaus each month. Using a secured credit card responsibly is actually one of the best ways to build credit because secured cards are relatively inexpensive and easy to get, and there is no difference between using a secured credit card versus an unsecured card as far as building credit is concerned.

If you use a secured credit card irresponsibly, maxing it out or missing payments, you'll have negative information on your credit report. That can lead to a bad credit score. But on the flip side, responsible use of a secured card builds credit just as well as any unsecured card. The only difference between a secured card and an unsecured card is that secured cards require a security deposit and give you a credit limit equal to that deposit. Secured and unsecured cards look the same, both physically and on credit reports.

How Secured Cards Build Credit

• All major secured credit cards report to 1-3 of the major credit bureaus on a monthly basis.
• Secured credit cards report information about your payment history, balance, spending limit and more to the credit bureaus each month.
• The information secured cards report to the bureaus contributes to your credit history.
• Responsible use of a secured card results in positive information being reported, helping to cover up past mistakes or build out a thin file.
• The key to building credit with a secured card is to never miss a due date, or to just never use your card. As long as your account is open and in good standing, you're in good shape.
• Keeping your statement balance below 30% of your credit limit will help you build credit faster with a secured card.

Secured cards are the best credit cards to use if building credit is your main objective. And they're particularly useful for rebuilding credit after mistakes. Not only do secured cards report to the credit bureaus, but they also approve even applicants with bad credit. Some don't even do a credit check. And secured cards are known for low fees. The high approval odds and low fees are all because of the refundable security deposit.

But just because all major secured credit cards can help you build credit does not mean they're equally attractive. They differ in several important areas, including their annual fees, minimum deposit requirements and rewards. It's important to shop around and pick the best card for you.

To learn more, check out our guide on how secured cards work and our editors' picks for the best secured credit card offers.

There is no secret for how to get a credit card with bad credit, other than choosing the right kind of card. There are two types of credit cards that you can get with a poor credit score: secured credit cards and unsecured credit cards for people with bad credit.

Both types report account information to the major credit bureaus each month, which means either can help you rebuild your credit if used responsibly. But they're far from equal in terms of accessibility and cost.

Best Type of Credit Card to Choose if You Have Bad Credit

Secured cards are the easiest credit cards for anyone to get, offering good approval odds even to people with bad credit. Some don't even check applicants' credit history, which means there's no hard pull to hurt your score more. Secured cards also charge much lower fees than unsecured cards for bad credit.

All of that, from the good approval odds to the low fees, is thanks to the fact that you have to place a refundable security deposit to get a secured credit card. The amount of this deposit, which you typically have to place when you apply, usually serves as your spending limit. This prevents you from spending more than the card's issuer knows for sure you can afford to repay. And without the risk of being left with an unpaid balance, the issuer can afford to approve more people as well as offer more attractive terms.

Now that you know the lay of the land, the path to plastic despite poor credit should be clear. But for your convenience, we'll lay out step-by-step instructions below.

How to Get a Credit Card with Bad Credit

1. Compare secured credit card offers. Shopping around will help you find the card with the lowest fees, lowest deposit requirement and highest approval odds.
2. Fill out an application. Applying online is best because you get a decision sooner. Some secured cards even let you check for pre-approval.
3. Place your security deposit. You'll have to submit your deposit either when you apply or after approval but before opening an account. You can usually fund the deposit with a transfer from a bank account or prepaid card. The funds will be returned if you don't get approved or when you close your account (minus any unpaid balance).
4. Get approved. It's possible to get rejected for a secured credit card, but not likely.

Getting a credit card with bad credit can be tricky. But it's crucial to open an account as soon as possible in order to begin repairing your credit reputation. A secured card allows you to do that. And it has the added benefit of helping you avoid being rejected repeatedly, which would only make matters worse.

Notable Credit Cards to Get with Bad Credit

You can also take a look at our editors' latest picks for the best secured credit cards and best credit cards for bad credit to weigh your options. No matter which secured card you choose, paying your bill on time every month will add positive information to your credit reports, which will help cover up past mistakes. But sometimes that's not enough.

Unsecured Cards for Bad Credit: Things to Keep in Mind

Some people with bad credit need a credit card with no security deposit to cover emergency expenses. In that case, an unsecured credit card for bad credit is your only option. You won't have much of a selection when shopping for an unsecured card with bad credit, unfortunately. You won't get too much extra spending power, either, because high fees will initially consume much of your credit line.

But it's definitely possible to get approved for such a card. Just compare your options and double-check the eligibility requirements in their terms and conditions to make sure nothing in your background rules you out.

So, to recap, a secured credit card is your best bet if getting approved and beginning to rebuild your credit as soon as possible is your top priority. But if you need an emergency loan, you'll have to make do with a costly unsecured card for bad credit.

The best unsecured credit card to rebuild credit with is the Credit One Bank® NASCAR® Credit Card. This card has a reasonable annual fee, gives 1% cash back on all purchases, and starts cardholders off with a $300 minimum credit limit. It also accepts people with bad credit, and you can check if you pre-qualify for this card.

Another good option to consider is the Credit One Bank® Platinum Visa® for Rebuilding Credit. It gives 1% cash back on eligible purchases.

Best Unsecured Credit Cards to Rebuild Credit

An unsecured credit card is one that does not require a security deposit or any other collateral to open the account. In addition, rebuilding credit generally means you have a credit score of less than 640. In that case, most unsecured cards that you may qualify for will be costly.

What you should know before getting an unsecured card for rebuilding credit:

• An unsecured credit card is typically not the most cost-effective way to rebuild credit. Because you're considered a high credit risk, your options are very limited. In addition, your spending power will be greatly reduced by numerous fees and high interest charges.
• A better option to rebuild credit would be to open a secured credit card account. Your odds of approval will be greater because you'll be setting your own credit limit with a refundable security deposit, usually starting at $200.
• Secured cards tend not to have one-time and monthly fees, so they end up costing you less in the long run. You'll also get your deposit back in full when you close your account with no unpaid balance.

So, the best way to rebuild credit is by applying for a secured credit card. Some good options include the Capital One Platinum Secured Credit Card, and the OpenSky® Secured Visa® Credit Card.

The best secured credit card for bad credit is Discover it® Secured Credit Card because it has a $0 annual fee, rewards you with 1 - 2% cash back on purchases, doubles the rewards you've earned after the first year, and accepts people with bad credit. The Discover it Secured Credit Card's main approval requirements are being 18+ years old and having enough income to afford monthly bill payments, plus a refundable security deposit of $200 or more.

Most secured credit cards are open to applicants with bad credit. The more lenient approval requirements are due to the fact that your security deposit will act as collateral for your credit limit. There are several secured credit cards that people with bad credit might want to consider.

Best Secured Credit Cards for Bad Credit:

• Best Overall: Discover it® Secured Credit Card$0 annual fee. Earn 2% cash back at gas stations and restaurants (up to $1,000 spent each quarter combined), and 1% back on all other purchases. Minimum deposit of $200.
• No Credit Check: OpenSky® Secured Visa® Credit Card$35 annual fee. Minimum deposit of $200.
• Low Deposit: Capital One Platinum Secured Credit Card$0 annual fee. Minimum deposit of $49, $99 or $200 (depending on factors such as income, debt, and creditworthiness) in exchange for a starting credit line of $200.
• Cash Back: U.S. Bank Cash+® Visa® Secured Card$0 annual fee. Earn 5% cash back on two categories of your choice (up to $2,000 each quarter), 5% back on prepaid air, hotel and car reservations booked in the Rewards Travel Center, 2% back on your choice of one everyday category (like gas stations, EV charging stations, grocery stores or restaurants) and 1% back on all other purchases. Minimum deposit of $300.

In general, secured credit cards are the best type of credit card for people with bad credit. Secured cards offer the highest approval odds of any credit cards, and they tend to be a lot cheaper in the long run than unsecured cards for bad credit.

You just have to make sure to pay your bill on time and preferably in full, every month. If you do that, your credit should steadily improve. And that should help you qualify for a credit card upgrade sooner than you might think.

One of the best secured credit cards to rebuild credit with is the Capital One Quicksilver Secured Cash Rewards Credit Card because it has a $0 annual fee, reports to the credit bureaus, and gives 1.5 - 5% cash back on all purchases. The minimum deposit is $200, and the amount you put down will act as your credit limit.

Another good option is the OpenSky® Secured Visa® Credit Card. It doesn't even require a credit check when you apply, which makes it great for rebuilding really bad credit. Or, if you want to enjoy some perks while you rebuild, the U.S. Bank Altitude® Go Visa® Secured Card offers 1 - 4 points per $1 spent on purchases.

Some of the Best Secured Credit Cards to Rebuild Credit

To be clear, all major secured credit cards can help you rebuild your credit. They all report account information to the major credit bureaus every month. Also, all those with low annual fees and low deposit requirements are in the running for the top spot. But the cards listed above bring something special to the table.

How to Rebuild Credit with a Secured Credit Card

Choosing the best secured credit card to rebuild credit is only the first step toward actually rebuilding. You must also use that card responsibly month after month so that positive information flows to the credit bureaus. Regularly adding positive information to your credit reports gradually covers up negative records from the past.

Your card will report positive information as long as you pay your bill on time every month. Using less than 30% of your spending limit each month or paying multiple times per month can help, too. But if you really want to rebuild your credit, you'll need to get the rest of your finances in order as well. That means paying down debt, catching up on past-due accounts and steering clear of collections accounts.

The best travel credit card for bad credit is the Bank of America® Customized Cash Rewards Secured Credit Card. This card offers 3% cash back in a category of your choice, 2% back at grocery stores and wholesale clubs (up to $2,500 spent quarterly in the 3% and 2% categories combined), and 1% back on all other purchases. The Bank of America Custom Cash Secured Card also comes with a $0 annual fee.

Other credit card options for bad credit:

There aren't many travel branded credit cards for bad credit. But there are some general secured cards that could work instead. The Capital One Quicksilver Secured Cash Rewards Credit Card is a good choice because it offers 1.5 - 5% cash back spent on purchases. Plus it comes with a $0 foreign transaction fee and a $0 annual fee.

You should note that most credit cards report to the major credit bureaus every month. So, they'll help you improve your credit if you pay your bills on time.

Yes, you can be denied for a secured card if you have major negative items on your credit report such as an ongoing or recently discharged bankruptcy, collection accounts, or repossessions. You could also be denied if you don't meet the issuer's minimum requirements for approval. Those requirements typically include being at least 18 years old with a physical U.S. address, a Social Security number, and the ability to make payments on the account every month, among others.

Other common reasons you'd be denied for a secured card might be incomplete or inaccurate information on your application, not enough funds to cover the required security deposit, or delinquencies on other payment obligations. If you are denied for a secured credit card, consider applying for one of our editors' picks for the best no credit check credit cards, which are easier to get approved for than normal secured cards. You can also sign up for a WalletHub account and get free personalized credit analysis and advice on how to improve your credit score.

The best credit card for bad credit with a $3,000 limit is the U.S. Bank Secured Visa® Card. With this card, it is possible to place a $3,000 deposit, which will serve as your credit limit. The minimum deposit is $300). The U.S. Bank Secured Visa® Card also comes with a $0 annual fee.

What you should know about high credit limits for bad credit:

• The only way to get a $3,000 limit with bad credit is to place a $3,000 security deposit on a secured credit card. 
• Generally, a secured card's credit limit matches the amount of the refundable security placed by the cardholder.
• Not all secured credit cards allow deposits as high as $3,000.
• There is no unsecured credit card with a high credit line that you can get if you have bad credit. That's because people with bad credit are considered high-risk borrowers who must prove themselves before being trusted with a high credit limit.

Alternative credit card option for bad credit with no deposit:

If a security deposit is out of the question, a decent unsecured option is the Credit One Bank® Platinum Visa® for Rebuilding Credit. The starting credit limit for this card is at least $300. But it could be higher than that, depending on your creditworthiness and disposable income. 

There's no deposit, and you'll earn 1% cash back on gas and grocery purchases, as well as 1% back on mobile phone, internet, cable and satellite TV services. The card's annual fee is $75 intro 1st yr, $99 after. 

The best American Express credit card for rebuilding credit is the Optima® Credit Card because it's designed specifically for Amex cardholders with bad credit. The caveat is that the Optima® Credit Card is available by invitation only, reserved for Amex cardholders who have previously settled a debt with American Express.

Alternatively, a good American Express network card for rebuilding credit is the Credit One Bank American Express® Card, which is available to qualified applicants with at least fair credit.

American Express Credit Cards for Rebuilding Credit Comparison

If neither of these cards is right for you, check out our editors' picks for the best credit cards to rebuild credit. You can choose from secured and unsecured credit card offers from major credit card issuers such as Bank of America, Capital One and Credit One, among others.