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Best Credit Cards For Bad Credit With Guaranteed Approval

When you have bad credit, applying for a credit card can seem like an impossible venture. This is why we wanted to share our top credit cards for bad credit with guaranteed approval.

You may not know this, but there are countless options out there for credit cards for bad credit with guaranteed approval. The majority of these bad credit guaranteed credit cards are “secured” meaning that in order to open one, you must give the provider a deposit of your own money.

This deposit is used as sort of “practice” line of credit. Once the credit card company has seen that you are able to pay off your card consistently using your own money, they will allow you to upgrade to one of their regular cards. This usually happens after 1 year of use, but sometimes it’s sooner depending on who the provider is.

The good news is that after you have used your secured credit card for awhile, you will notice that your credit score will start to go up and you will become eligible for almost any credit card on the market!

Take a look at our top 3 credit cards for bad credit with guaranteed approval:

1. Chime Credit Builder Visa Card

Chime Credit Builder Visa: Credit Cards For Bad Credit With Guaranteed Approval
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The Chime Credit Builder Visa Card is a great option for people looking for credit cards for bad credit with guaranteed approval.

Pros:

This card has no monthly fees, no interest and does not require a minimum security deposit to open. It’s your choice how much money you want to put down as your “practice line of credit”. This is really good news if you don’t have a lot of money to spare but want to start improving your credit right away.

One really great feature that Chime offers with its Credit Builder card is the option to have your balance paid off in full every month before it is due. This basically guarantees that your card will always be paid on time and your credit score will only go up.

Chime’s Credit Builder is one of the only credit cards for bad credit with guaranteed approval that does not have an APR. Most secured credit cards will offer 0% intro APR but then activate their regular APR rate after a certain number of months. Chime lets you build your credit with no risk and no penalties.

Cons

Because there are no penalties for not paying off your balance, many customers say that they either aren’t motivated to pay off their balance every month or they find that using Chime’s Credit Builder doesn’t get them ready for using a real credit card.

You are also required to have a Chime bank account in order to be approved for their credit card, so this may or may not be a barrier depending on if you are interested in Chime’s checking/savings account options or not.

2. Discover It Secured Credit Card

Discover It Secured Credit Card: Credit Cards For Bad Credit With Guaranteed Approval
Discover It Secured

Discover It Secured Credit Card is another top pick on our list of credit cards for bad credit with guaranteed approval.

Pros:

Like most secured credit cards, the Discover It Secured Credit Card requires a security deposit. The minimum is $200 which is fairly reasonable compared to the security deposit requirements of similar cards.

They offer 2% cash back on gas stations and restaurants specifically and 1% on all other purchases. This is a huge plus considering that most secured credit cards offer no rewards whatsoever.

Discover It reports your credit progress to all three credit bureaus as you move forward on your credit-building journey.

At the seven-month mark, Discover It will review your account activity and decide if you are eligible to apply for one of their regular credit cards. This means you can have all the benefits of an unsecured credit card in less than a year!

There are no annual fees and no late fees on the first late payment.

Cons:

The one thing we don’t really like about this card is the APR rate. It’s 23.24% which is considered to be relatively high especially when other similar cards are offering 12-17% as an average.

Discover It’s intro APR is 10.99% which is pretty fair, but it only lasts for 6 months, after which you will be switched to the regular APR rate.

It’s also required that you have a Discover It bank account in order to fund the card. Other credit cards for bad credit with guaranteed approval will have other options for funding, but not this one.

3. Open Sky Secure Visa Credit Card

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The Open Sky Secured Visa Credit Card is one of those must-have credit cards for extremely bad credit.

Pros:

Open Sky does not do credit checks for their secured visa applicants. This means that anyone can be approved for one of their cards, even someone with no credit history whatsoever.

Open Sky has a great track record when it comes to improving the credit of their customers. People who use their secured Visa cards have an 85% chance of raising their credit scores to the point of getting accepted for a real line of credit.

Their required minimum deposit is only $200 which is low compared to other secured credit cards on the market.

Their application process is also incredibly quick and easy. It can be completed in a matter of minutes over their mobile app and you find out right away whether you are approved or not.

Cons:

Their APR rate is quite low: 17.39%, lower than Discover It, however; it’s still considered to be an “average” APR rate. There are other, lower APR credit cards for bad credit with guaranteed approval out there that also don’t have annual fees.

Speaking of annual fees, Open Sky’s Secure Visa Credit Card costs $35 per year. This is not a crazy high amount, however; it’s still an annual fee you need to worry about.

Open Sky also doesn’t allow their secured card members to upgrade to an unsecured card after a certain amount of time which could be an inconvenience.

There are also no cash back or rewards included in the deal, which might be something that is a dealbreaker for you.

If your credit score is extremely low, then Open Sky might be your best option at the moment. It’s one of the best best credit cards for bad credit with guaranteed approval out there!

Takeaways: Best Credit Cards For Bad Credit With Guaranteed Approval

We’ve shared three of our favorite credits cards for bad credit with guaranteed approval.

Some of them have annual fees, others are completely free. If your credit score is extremely low, you might not get much of a choice as to which secured credit card you end up getting, however; more and more credit card companies are offering options for people who have a rocky credit history or have no history at all.

When choosing your secured credit card, think about what is most important to you: affordability? rewards? the option to eventually progress to a regular credit card? Make your decision based on these values.

If you aren’t sure where you stand in terms of your credit score, or what your chances are at getting approved for a secured credit card, follow the steps in our article about downloading your free credit reports from all three credit bureaus.

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