Best Credit Card for Bad Credit in 2026

Other Options to Consider

‍

opensky® Secured Visa® Credit Card

‍

[[ SINGLE_CARD * {"id": "1397", "isExpanded": "false", "bestForCategoryId": "15", "bestForText": "Cash Back Seekers", "headerHint": "No Credit Check Required"} ]]

‍

‍

Revvi Card

‍

[[ SINGLE_CARD * {"id": "3039", "isExpanded": "false", "bestForCategoryId": "52", "bestForText": "Boosting Your Credit Score", "headerHint" : "CREDIT BUILDER" } ]]

‍

‍

How to Choose a Credit Card for Bad Credit

‍

A low credit score doesn't mean you're out of the running for a credit card; it simply means you need to be more selective to find one that fits your financial situation and helps you rebuild.

‍

When searching for a card, it's crucial to sidestep common traps like exorbitant annual fees and punishingly high interest rates. Be particularly cautious of offers promising "guaranteed approval," as they may come with predatory terms that can set your credit-building efforts back. Always read the fine print to ensure the card will help, not hinder, your financial progress.

‍

Key Factors

‍

• Fees: Look for cards with low or no annual fees, as these can add up and make rebuilding credit more expensive.
• Interest Rates (APR): While rates are typically high for this category, compare them to find the most manageable option, especially if you might carry a balance.
• Credit Bureau Reporting: Ensure the card reports your payment activity to all three major credit bureaus to help you build a positive credit history.
• Security Deposit: Decide if you prefer a secured card, which requires a refundable deposit that usually equals your credit limit, or an unsecured card, which does not.
• Path to a Better Card: Check if the issuer offers a way to graduate to a better, unsecured card with responsible use over time.
• Prequalification Options: Use prequalification tools when available to see if you're likely to be approved without a hard inquiry affecting your credit score.

‍

What to Watch Out For

‍

Be wary of cards that charge excessive upfront or monthly fees, as these can quickly diminish your available credit and make rebuilding more costly. It's also wise to avoid 'guaranteed approval' offers that may not be legitimate credit cards or fail to report your payments to the major credit bureaus. Always read the cardholder agreement carefully to understand all costs and ensure the card will actually help, not hinder, your financial journey.

‍

Decision Flow

‍

Navigating the options for bad credit cards can feel overwhelming. Use this decision flow to pinpoint the type of card that best aligns with your financial goals and circumstances.

• If your top priority is building credit at the lowest possible cost... then a secured credit card is likely your best option. Look for one with no annual fee that reports to all three major credit bureaus. Your refundable security deposit minimizes the lender's risk, often resulting in better terms than unsecured alternatives.
• If you don't have funds for a security deposit... then you'll need to explore unsecured cards for bad credit. Your focus should be on minimizing fees. Compare annual fees, monthly maintenance fees, and one-time processing fees, as these can quickly eat into your available credit.
• If you want to earn rewards while rebuilding... then seek out a card offering simple, flat-rate cash back. While rewards in this category are typically not as generous as prime credit cards, some offer 1% or more back on purchases. Just ensure the rewards outweigh any annual fees.
• If you are a student or have no credit history at all... then a student credit card is an excellent starting point. These cards are specifically designed for individuals new to credit and often provide a straightforward path to establishing a positive payment history.
• If you frequently shop at a particular retail chain... then a store credit card could be an accessible option. Approval odds can be higher, but be mindful of potentially high interest rates and the limitation that you can typically only use the card at that specific retailer.

‍

Maximize Your Return with Bad Credit

‍

Even with a less-than-perfect credit score, you can still employ several strategies to get the most out of your credit card rewards.

• Stack your rewards: Combine your credit card rewards with other loyalty programs or shopping portals to multiply your earnings on a single purchase.
• Redeem wisely: Understand the value of your points or cash back for different redemption options, as some, like travel transfers, may offer a significantly higher return.
• Focus on the welcome offer: Prioritize meeting the minimum spending requirement on a new card to secure the valuable introductory bonus, which is often the largest single rewards haul you can get.
• Maximize bonus categories: Use your card for purchases in its high-earning categories, such as dining or groceries, to accelerate how quickly you accumulate rewards.
• Avoid carrying a balance: Pay your statement in full each month, as high interest charges will quickly erase the value of any rewards you've earned.
• Stick to your budget: Earn rewards on your regular, planned spending instead of making extra purchases just to chase points, which can easily lead to debt.

‍

Supercharge your Rewards with Kudos

‍

This free app automatically selects your best card at checkout to maximize rewards, helping you earn up to $750 more per year. Get started for free.

‍

Other Things to Consider

‍

When rebuilding your credit, it's also wise to think beyond traditional cards. A store-specific credit card might be a good option if you frequently shop at a particular retailer, as they can sometimes have more lenient approval requirements. Regardless of the card you choose, disciplined financial management is non-negotiable; always aim to pay your balance in full to avoid crippling interest charges. Be cautious with cash advances and Buy Now, Pay Later (BNPL) plans, as over-reliance on these can quickly lead to unmanageable debt and hinder your progress. Proper management of all your credit lines and payment plans is the key to successfully improving your financial standing.

‍

Our Methodology

‍

We evaluate nearly 3,000 credit cards across the U.S. market — far more than the ~150 cards commonly featured on sites that focus only on products tied to affiliate commissions. Our goal is to provide a comprehensive, unbiased view of the credit card landscape so you can make confident, data-driven decisions.

‍

Our editorial team combines deep industry experience with rigorous verification standards. While our experts surface the most relevant recommendations in our guides, you can also explore the full dataset yourself through our card explorer tool, which includes thousands of cards — more than 95% of which do not provide us with commissions.

Frequently Asked Questions

‍

What is a secured credit card?

‍

A secured credit card requires a cash security deposit that typically equals your credit limit. This deposit reduces the lender's risk, making it easier for individuals with bad credit to get approved.

‍

Will applying for a credit card hurt my credit score?

‍

Applying for a new credit card results in a hard inquiry on your credit report, which can temporarily lower your score by a few points. However, the impact is usually minor and short-lived, and the benefits of building credit history often outweigh this small dip.

‍

How can I improve my credit score with a credit card?

‍

You can improve your credit score by using your credit card responsibly, which means making on-time payments every month and keeping your credit utilization low. Consistent positive payment history is a key factor in building better credit over time.

‍

‍

‍

‍