In a recession based economy, credit issues are always a prominent consideration for both creditors and borrowers.
As people go through any shaky economic environment, they usually find credit more difficult to obtain, especially if they have bad credit or no credit.
However, there are still credit card companies that provide a possible solution for borrowers who are trying to rebuild or establish their credit rating.
These “easy to get credit cards” have been specifically tailored for individuals with these types of credit issues.
What Are Easy Credit Cards?
Easy to get credit cards are issued under special circumstances.
For people with less than ideal credit circumstances, credit card issuers have devised cards that allow the lender to use a different set of criteria for approving customers.
These types of credit cards fall into one of two different categories:
Secured Credit Cards
These types of cards are available for individuals with poor credit.
The borrower is required to put small amount of cash into a “escrow” type account to act as security against the credit card limit.
The most common amount used is $300 cash security for a $300 credit limit.
The cards can then be used as normal credit cards for purchases or advances.
As long as payments are made on time, the card-holder’s credit will start to improve.
After 1-3 years of having a good payment record, some credit card companies will release the security and issue a standard credit in its place.
Some credit card companies have specialized unsecured cards that are designed for people with little or no credit.
They usually have decent terms, very few frills and low credit limits.
These cards give the credit card company an opportunity to properly assess the credit worthiness of new borrowers with minimal risk.
If the borrower makes their first 5-12 payments on time, most credit card companies will begin increasing the credit limit for a fee.
A good example of this type of card is a “student” credit card.
Desirable Characteristics of Easy Credit Cards to Get
While most easy to get credit cards come with no frills, there are still some that provide a little extra bang for the buck.
Some credit card companies have secured cards that offer credit limits in excess of the security requirement.
Some have competitive interest rates with no or low annual fees. Some of the unsecured cards do have rewards programs.
Here are some examples of easy credit cards to get approved for by lenders.
Barclaycard® Rewards MasterCard® – Average Credit
This card comes with no annual fee and earns 2 points for every $1 spent on utilities, groceries or gas with 1 point per $1 on all other purchases.
The customer receives complimentary FICO scores to assist in monitoring changes. The only negative on the card is the high APR of 24.99%.
First Progress Platinum Elite MasterCard Secured Credit Card
This card almost guarantees approval. The security requirement and initial credit limit start at a minimum of $300.
The APR is 19.99% with an annual fee of $29. With a great payment record over the first year, individuals may be able to obtain an unsecured card.
Discover it® for Students
This card provides a special $20 cash back bonus on the first purchase using the card.
The card has no annual fee, foreign transaction fee or over-limit fee.
The rewards program offers 5% back on gas purchases and 1% back on the first $1,500 in all other purchases made between each quarter. APR is 12.99%-21.99%.
The NFL credit card
No annual fee with a rewards program of 2 points for every $1 of purchase of NFL gear and 1 point for all other purchases. It offers a 10,000 point bonus after $500 in purchases.