How To Get A Credit Card No Matter How Bad Your Credit Rating

Your credit is bad. Perhaps you have got a twine of unpaid measures haunting your past. Maybe you declared bankruptcy within the past 10 years, or defaulted on a student loan.

All of the above tin block your access to obtaining a major credit card, such as as VISA or Mastercard.

But bad credit is not the lone ground you can be denied a major credit card. Some people simply have got never used credit. People who like to pay cash only, have got got never financed a car, taken out a college loan, or a mortgage may have zero experience with credit. In that case, most card companies will reject your application, not because you have got got bad credit -- but because you have no credit rating.

Many women who get married immature and make all their borrowing under their husband's name often happen themselves with no credit evaluation after they are widowed or divorced. Thousands of women have got been denied loans and credit cards on that basis.

Still other people carry too much debt to be considered a good risk. If you have got a car loan, a student loan, a mortgage, two or three -- out cards, you are improbable to be granted another credit card.

But in any and all of the above cases, you can still obtain a credit card. No matter how bad your credit, and even if you have got declared bankruptcy, you can still be granted a VISA or Mastercard with a bounds as high as $5,000, if you cognize the right company to call, and how to make your application.

We are going to uncover these card companies and the methods by which you can obtain a VISA or Mastercard later in this report, but first, let's speak about some of the other things you really should cognize about credit cards, including annual fees, interest rates, credit reports and more.

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Your Credit Rating
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How do credit card companies make up one's mind if you are a good credit hazard or a bad credit risk? Well, it's screen of a Big Brother thing. There are respective large agencies in America which track the borrowing and purchasing behaviour of just about every single American who have borrowed money at one clip or another.

The four major credit evaluation agencies are:

CSC Credit Service :: (Phone: 800-392-7816)
TRW Information Sys. :: (Phone: 800-392-1122)
Equifax :: (Phone: 800-685-1111)
Trans Union Corp. :: (Phone: 800-851-2674)

When you direct in an application for a credit card, the card company contacts 1 of the above agencies, which draws your file, if one exists, and let's the company cognize if you have got got any bad debts in your background.

If you have never borrowed money or used credit of any kind, your name will not look in the information alkali of any of the above. If you have, there will almost certainly be information about you. If you have got ever defaulted on a bill, or walked away from a debt owed, that information will be available. If you have got got never defaulted on a loan, but have made frequent late payments, that is recorded, too, and travels against your credit rating.

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Twenty-Five Percent Mistake Rate
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If this sounds a spot like Big Brother, most would hold with you that it is. It's scary to believe that some large anonymous corporation is keeping a data file on you, but it's true. Furthermore, they will share your data file with any lending establishment that desires to cognize something about you. That's the terms you pay to obtain credit. You've heard the statement, "there ain't no such as thing as a free lunch."

When it come ups to the game of credit, the luncheon is definitely not free, neither in the pecuniary sense, or in the kingdom of personal freedom.

To exceed things off, credit agencies do mistakes in as many as one-fourth (25 percent) of all their reports. At this minute, false information about you may be ruining your credit rating.

To check your credit evaluation for errors, phone call the agencies at the numbers I provided above. They will bespeak that you direct them a written missive request for a transcript of your credit report. They will direct you a transcript of the information they have got about you.

Now let's look at how card companies do the large vaulting horses -- interest rates.

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Interest Rates
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A few decennaries ago there were laws against charging the sorts of interest rates credit cards get today. Exorbitantly high interest rates were called "usury," and were forbidden by federal law. Just 30 old age ago loaning money at 20 percent would have got landed any banker in prison. Such rates were the district of loan sharks and organized crime.

Today, however, it's standard business. Some cards have got rates approaching 21 percent. Some merchandise manufacturers, such as as Apple Computer, have got credit programs that pushing a humongous 23 percent.

Most credit card companies attract clients with ace low interest rates, sometimes as easy as 5 percent. But what they only state you in the mulct print, which few people trouble oneself to read, it that the interest rate leaps back up after six months. Many cards that start you out at 6 percent soon leap to 18 percent, or higher. By that time, most people have got chalked up a balance and are stuck. Most people simply neglect to detect when their rate increases. Credit card companies count on that. They like who take no interest in details. If you don't watch them, they'll watch you -- and your wallet -- and dip into it in the most insidious ways.

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No Annual Fee Cards
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Some credit card companies charge no annual fee for usage of their card. Annual fees range from $18 to $55. You pay it every twelvemonth simply for the privilege of using the card. Other companies charge no annual fee. You might think, then, that this is a better deal. Most often they are not. Cards with no annual fee almost always have got a higher interest rate. If you go forth a monthly balance, you'll always pay more than than the annual fee in interest charges. Only if you never go forth an unpaid monthly balance can you profit word form a card with no annual fee.

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Perks and Freebies
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One of those insidious ways is the offer such as fringe benefits as frequent flyer miles or annual rebates. Use the card so often, and get Ten amount of frequent flyer miles. Use your card, and get credit toward the purchase of an automobile. Are this a good deal? Hardly ever. As you might have got guessed, the offer of discounts and gifts is simply an incentive for you to pay ace high interest rates. Unless you are a large Spender and travel a lot, you'll rarely profit from this sort of promotion.

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Be Choosy
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In short, never subscribe up for a credit card until you compare rates. Shop around. Credit card companies are just as competitory as any other sort of business. That agency interest rates that change widely. In general, never travel for a card that is five percent higher than the current premier rate.

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How To Get A Lower Rate
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What if you are already on the hook with a major credit card with an agonising rate of interest? Pick up the phone, phone call your card company, and get tough. Often, if you inquire for a lower interest rate, you'll get one -- it's as simple as that.

As additional incentive, you can endanger to transfer your balance to another card company with a lower rate. Many card companies are more than than willing to take you on as a client by paying off one of their rivals for you. Of course, you are then beholden to them. That's approve if you score a lower interest rate.

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How Anyone Can Get a Credit Card
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Now what about all of you "hopeless cases" out there. What if you have got distressing credit, or no credit evaluation at all. You may have got already been turned down by a half-dozen card companies. What can you do?

First, you should believe long and hard about why you desire a credit card in the first place. If you have got a history of bad credit, a credit card may be the last thing you need. Many people experience that credit cards and the debt they lead people into is a modern word form of slavery.

Credit cards are almost magically delusory and alluring. They get at the deepest psychological lever of the human head -- a lever which allows people to have got the feeling they are getting something for free, when in fact, they are paying two, three, four, even 10 modern times as much for that merchandise because of the interest they will pay on each purchase.

On the other hand, not having a credit card is becoming less and less practical in modern America. You can't lease a car without a credit card. Carrying cash is dangerous. Checks are not accepted everywhere -- and traveling to another city or country is extremely hard without the assurance and identity a credit card brings.

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A Secured Card
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If you make up one's mind you really need and desire a credit card despite your past problems with credit, you should get what is called a secured credit card. Even people who have got declared bankruptcy are granted secured cards.

A secured card plant this way: you pay a lump sum of money of cash upfront either to your bank or the card company itself, usually from $200 to $2,500. The card company will then allow your credit for up to 150 percent of the amount of your deposit. If you pony up $500, you will be granted a $750 credit line. If you set up $1,000, you will get $1,500 in credit, and so on.

Your sedimentation money will earn a very nice 4 to 5 percent interest while it is held as collateral by your bank or the card company. The sedimentation money Acts like a buffer for the lender. In the event you default on your card debt, the lender gets to maintain your money. They may still incur a nett loss, but the hazard is far less.

Additionally, the interest you addition on your sedimentation will offset the interest on your monthly balance if you have got one. If you get a secured card with an 18 percent interest rate, you can experience good about the fact that your pre-payment is earning 5 percent.

Which card companies offer secured credit card plans?

The following:
(At the clip of writing, these inside information are correct. If they change by any chance, you'll have got to look up the establishments in the Yellow Pages, or simply make a search online.)

CitiBank -- Minimum sedimentation is $300, which earns 4%.
Call: 800-933-2484

Federal Savings Bank -- Minimum sedimentation is $250, which earn 2.5%.
Call 800-285-9090

Orchard Bank -- Minimum sedimentation is $400, which pays 4%
Call 800-873-7307

Key Federal Soldier -- Minimum sedimentation is $300, which earns from 4% to 5%.
Call 800-228-2230

Signet Bank -- Minimum sedimentation is $200, which earns 5%.
Call 800-333-7116.

Using a secured credit card can also assist repair your credit evaluation if you utilize it responsibly over a number of years.

Even if you make not have got bad credit, a secured credit card is recommended for anyone who desires the safety and convenience of a credit card. Secured cards are a safe, responsible manner to command your spending, and you actually earn money though interest on your sedimentation while you enjoy the usage of your card.