Having bad credit does not necessarily prevent consumers from obtaining unsecured credit cards. Though they often come with more stipulations, fees and higher interest rates than other credit cards, there are a few options available.
TOTAL Visa
TOTAL Visa is an unsecured credit card caters to individuals with poor credit scores. It is issued by Mid America Bank & Trust Company.
Benefits
Since this card caters specifically to consumers with bad credit, approval is more likely than it would be with many other cards. Card activity is also reported regularly to the credit bureaus, which can help increase your credit score with responsible use.
This card features no penalty APR, although a late fee is charged on payments that are not received by the due date.
Drawbacks
TOTAL Visa cardholders are subject to an exorbitant APR of 29.99 percent for purchases and cash advances. Furthermore, credit card expert Beverly Harzog does not recommend this card and cites the excessive fees in her review as one of the primary reasons why. Fees that come along with this card include, but are not limited to:
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$89 processing fee to activate the account
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Annual fee of $75 for the first year, $48 for all subsequent years
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Monthly maintenance fee of $6.25 beginning the second year
How to Apply
To apply for the TOTAL Visa Unsecured Credit Card, complete the online application. You should receive a response in as little as one minute.
Surge MasterCard
The Surge MasterCard is issued by Celtic Bank. It offers customized credit card solutions to consumers with less than favorable credit, some of which are unsecured.
Benefits
If you apply for a Surge card, you will receive an offer tailored to fit your unique financial situation within a few seconds. It can be unsecured, partially secured or completely secured. In addition, there is no application fee and the grace period is 25 days.
Drawbacks
Although the application fee is waived, the card does come with a $125 annual fee for the first year, $96 for following years, and a $10 monthly maintenance fee after the first year.
Because of the exorbitant APR of 30.24 percent and excessive fees, Doctor of Credit recommends that you explore secured options if you are trying to rebuild your credit.
How to Apply
To apply for the Surge Card by MasterCard, complete an online application or call 866-513-4598.
Credit One Bank Platinum Visa
The Credit One Bank Platinum Visa is designed for consumers who are looking to rebuild their credit.
Benefits
Individuals can get pre-screened for a credit line up to $1,500 with no impact on their credit score. However, an inquiry will be reflected on your credit report should you decide to submit a formal application.
This card reports to all three credit bureaus, so responsible account management can positively impact your credit rating. As a cardholder, you will also receive a free credit score update directly on your online dashboard.
Credit One also offers cash back rewards of 1%. For qualified applicants with bad/poor/fair credit, these rewards are limited to select purchases and payments such as gas and internet service. For qualified applicants with good/excellent credit, you can get 1% back on all purchases. Of course terms apply on these rewards, so read all of the available information carefully to understand all of the terms before you apply.
Drawbacks
The annual fee ranges from $0 to $75 in the first year, and can be as much as $99 in subsequent years. Furthermore, consumers are assessed interest on transactions as soon as they post if their card does not have a grace period.
According to a review on her website, Beverly Harzog does not recommend this card at all. She indicates that it can be a major burden to those trying to improve their credit since they will probably incur an excessive amount of interest with this card.
How to Apply
To apply for the Credit One Bank Platinum Visa, submit an online application. Upon submission, you will receive a response notifying you of your pre-qualification status. If you wish to continue with the application, you will be redirected to a more detailed form.
You may receive additional offers if you fail to qualify for this card or are a better fit for other products from Credit One Bank.
Milestone Gold MasterCard
The Milestone Gold MasterCard caters to consumers with blemished credit. It is issued by Genesis Bankcard Services Inc.
Benefits
Unlike most credit card products, the Milestone Gold MasterCard considers applicants who have previously applied for bankruptcy. For this reason, this card was ranked as one of the best credit cards for bad credit by the Simple Dollar.
You can apply for consideration with no impact to your credit score and find out if you are approved very quickly. Account activity is reported to the three major credit bureaus, so timely payments can improve your credit rating.
Drawbacks
Unfortunately, cardholders are subject to an exorbitant APR of 23.9 percent and annual fee of $35, $59 or $75 for the first year (depending on creditworthiness), then $99 per year afterwards. Furthermore, a penalty APR of 29.9 percent is applied indefinitely should the account become delinquent. You will also be assessed an over-the-limit fee of $35 if your outstanding balance exceeds the credit limit.
How to Apply
To apply for the Milestone Gold MasterCard, fill out the online application.
Indigo Platinum MasterCard
Issued by Celtic Bank, the Indigo Platinum MasterCard is designed for individuals who are looking to rebuild their credit.
Benefits
If you keep your balance low and make timely payments, this card can give your credit score a boost since payment activity is reported to the three major credit bureaus. You can also choose from a variety of card designs.
Drawbacks
Although some cardholders may qualify for a $0 annual fee, others are assessed a fee of $59 or $79 for the first year (depending on credit), then $99 annually for following years. The card is also accompanied by a hefty APR of 23.9 percent, and a penalty APR of 29.9 percent that cannot be reversed if you make a late payment.
Unfortunately, consumers can only be approved for a credit limit up to $300, which is a major drawback to this card, notes a recent review from AskMrCreditCard.com.
How to Apply
To get pre-qualified for an Indigo Platinum MasterCard, complete the online application form. Your credit will not be impacted and you will receive a response in 60 seconds or less.
Compare Your Options
| TOTAL Visa Unsecured Credit Card | Surge by MasterCard | Credit One Bank Platinum Visa for Rebuilding Credit | Milestone Gold MasterCard | Indigo Platinum MasterCard | |
| APR | 29.99% | 30.24% | 20.24% - 26.24% | 23.90% | 23.9% |
| Grace Period | 21 days | 25 days | up to 24 days | 25 days | 25 days |
| Activation Fee | $89 | not applicable | not applicable | not applicable | not applicable |
| Annual Fee | $75 (first year), $48 (subsequent years) | $125 (first year), $96 (subsequent years) | $0 to $75 (first year), $0 to $99 (subsequent years) | $35, $59 or $75 (first year), $99 (subsequent years) | $0, $59 or $75 (first year), $99 (subsequent years) |
| Monthly Maintenance Fee | $6.25 (waived in the first year) | $10 (waived in the first year) | not applicable | n/a | n/a |
| Rewards | not applicable | not applicable | 1% cash back for bad/poor/fair credit on selected purchases and services such as gas, groceries, and mobile phone. 1% cash back for good/excellent credit on all purchases. (Terms apply.) | not applicable | not applicable |
Choosing a Card That's Right for You
Before selecting a credit card, carefully examine the terms and conditions to ensure that your needs are met. If you are unable to obtain an unsecured account that works for you, explore secured credit card options since many of those creditors also report account activity to all three credit reporting agencies.
