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No Credit Check Credit Cards: Restore Your Good Credit History

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No credit check credit cards can help people with poor credit establish a good credit history. In most cases, there is a credit card for nearly everyone plus you can be approved within minutes.

It will likely take up to 6 months to establish your credit files with on-time monthly payments.

When your credit is really bad, no credit check credit cards can help you bounce back. But you must use credit responsibly. Credit cards are simple, easy to use tools to build or rebuild credit history when properly managed.

That’s because credit card issuers report payment history and other facts about your account to the major credit bureaus: Experian, TransUnion and Equifax.

How no credit check credit cards work

When you apply for a credit card, most credit card issuers will check your credit reports. But with no credit check credit cards, the credit card issuer will pre-qualify you prior to running a hard inquiry credit check.

When a credit card company pre-qualifies you, they make a soft-inquiry on your credit files. Soft inquiries don’t take points off your credit scores.

To get a no credit check credit card, you’re usually only required to:

  • Have a source of income
  • Have a checking account
  • Be at least 21 years old or 18 years old with either a parent’s permission or a verifiable source of income
  • Have a Social Security number

No credit check credit cards

OpenSky® Secured Visa® Credit Card

Highlights

  • No credit check necessary to apply. OpenSky believes in giving an opportunity to everyone.
  • The refundable* deposit you provide becomes your credit line limit on your Visa card. Choose it yourself, from as low as $200.
  • Build credit quickly. OpenSky reports to all 3 major credit bureaus.
  • 99% of our customers who started without a credit score earned a credit score record with the credit bureaus in as little as 6 months.
  • View our Cardholder Agreement located at the bottom of the application page for details of the card.

Need a checking account for bad credit? Check out 10 Banks that open Second Chance Accounts for Bad Credit.

Credit Builder Visa® Credit Card

Highlights

  • No credit check to open.
  • Simply open the Chime Spending Account — a free bank account that allows you to receive direct deposits. You must have at least $200 in direct deposits made to the Chime Spending Account within the past 365 days to show that you have a source of income.
  • No upfront security deposit is required. You decide your credit limit based on how much you move to your secured account.
  • There are no fees associated with that Chime Visa Credit Card. That means no annual fees, maintenance fees, international fees, and no interest.

Need a personal loan for bad credit? OppLoans is a direct online lender with loans up to $4,000.

First Progress Platinum Prestige MasterCard® Secured Credit Card

Highlights

  • Receive Your Card More Quickly with New Expedited Processing Option
  • No Credit History or Minimum Credit Score Required for Approval
  • Quick and Complete Online Application; No credit inquiry required!
  • Includes Free Real-Time Access to Your Credit Score and Ongoing Credit Monitoring powered by Experian
  • Full-Feature Platinum Mastercard® Secured Credit Card; Try our new Mobile App for Android users!
  • Good for Car Rental, Hotels; Anywhere Credit Cards Are Accepted!
  • Monthly Reporting to all 3 Major Credit Bureaus to Establish Credit History
  • Credit Line Secured by Your Fully-Refundable Deposit of $200 — $2,000 Submitted with Application
  • Just Pay Off Your Balance and Receive Your Deposit Back at Any Time
  • 24/7 Online Access to Your Account
  • Nationwide Program though not yet available in NY, IA, AR, or WI *See Card Terms
  • Get a fresh start! A discharged bankruptcy still in your credit bureau file will not cause you to be declined

Credit Builder Visa® Credit Card

Highlights

  • There is no credit check or hard credit pull.
  • You must first open the Self Credit Builder Account. Build positive payment history, then gain access to a credit card. When you open a Credit Builder Account, there’ll be no credit check, but you’ll owe a one-time, non-refundable administrative fee of $15.
  • Make 3 payments on time.
  • Have $100 or more in savings progress.
  • Have an account in good standing with no outstanding fees.


GO2bank Secured Credit Card

Highlights

  • No credit check to apply.
  • No annual fee.
  • Must open a GO2bank account and receive eligible direct deposits to apply.
  • Set your limit ⏤ Credit limit starting as low as $100.
  • Credit use is reported to 3 credit bureaus.

What to watch out for with no credit check credit cards

There are a few downsides to no credit check credit cards that you may want to consider.

High interest rates: You can expect no credit check credit cards to have higher interest rates. That’s because credit card companies that deal with subprime credit often charge high APRs to hedge the risks that come with bad credit.
High fees: Expect several fees to come with no credit check credit cards. There may be an application, setup, and maintenance fees.
No rewards or benefits: Unlike many of the top travel or cash back cards, these cards usually don’t come with any perks.

How to manage your new credit accounts

Pay your bill in full each month to avoid owing interest. Interest is the is the price you’ll pay for borrowing money. If you carry a balance, you’ll pay interest…it’s that simple.

Credit card companies generally give you at least a 21-day grace period between the purchase date and when the payment is due. If you pay off your balance in full, you won’t be charged interest on new purchases made during this interval.

Here is an example of not paying your balance in full:

Let’s say you have a new card with a 15 percent APR (annual percentage rate). At the end of the first month, your balance is $300 and your minimum payment is $25.

Once you pay the $25 minimum payment, your balance is now $275. The $275 balance will begin accruing interest at 15 percent until you make the next monthly payment.

When you carry a balance, your balance just keeps getting bigger because you begin paying interest on a balance that includes the previously accrued interest.

Once your balance continues to grow, especially if you only pay the minimum due each month, you end up paying much more than the original amount you put on your credit card.

Habits to improve credit scores

There are few simple habits that will improve your credit scores.

Pay your bills on time: This is probably the most important factor. One late or missed monthly payment can stay on your credit reports for up to seven years. We suggest setting up automatic payments so you never miss a due date.
Keep low credit card balances: A major part of your credit score is the amount of available credit you’re using. Never max out your credit card. Do your best to keep your balances low. In fact, using ten percent or less of your available credit will tremendously help your scores.
Keep old accounts open. Keeping your oldest accounts open and remember to use them from time-to-time so the accounts remain active.
Monitor your credit reports: Sign up for a free credit monitoring service to keep an eye for identity theft or fraud.

Get familiar with credit card terms

APR

APR stands for annual percentage rate, and it is the interest rate charged on credit card balances expressed in a standardized, annualized way. The APR is applied each month that an outstanding balance is present on a credit card.

Annual Fee

A yearly fee charged by a credit card company each year for use of a credit card. This is a separate fee from interest rate on purchases. Annual fees were once very common. Many credit card issuers got rid of their annual fees to compete and draw new customers.

Authorized User

Any person who has permission to transact on your credit card account but is not responsible for paying the bill. Authorized users differ from joint credit, in which both parties are obliged to pay.

Balance Transfer

The process of transferring an outstanding balance from one or several credit card accounts to another credit card account. This is often done by consumers looking for a lower interest rate. Many credit card issuers offer introductory balance transfer APRs that are lower than the standard rates.

Billing Statement

Your billing statement is a periodic statement of your Account which tells you the total amount owed to the creditor. The billing statement will also tell you the minimum payment due and the date by which your payment is due.

Cash Advance

A cash advance is a transaction initiated by you from which you obtain cash or other forms of negotiable instruments (travelers checks, money orders, etc).

Credit Score

A credit score is a three digit number that shows how well a person has handled debt. The higher the number, the better. High scores can qualify for larger loans at better rates. Low scores will get poor terms, or denied. There are a variety of credit scores with FICO scores being the most widely used by banks and lenders.

Credit Report

A credit report is a compilation of your credit history with banks, lenders or a business. It contains payment and account history and credit inquiries. Credit reports are viewed by lenders in deciding credit decisions and on what terms. Credit scores are determined by the information in credit reports.

Credit Bureaus

In the United States, three major credit bureaus -- Experian, TransUnion and Equifax -- track individuals' and businesses' credit histories, and compile them into credit reports. Credit card issuers and other lenders use credit histories to decide whether to provide customers with credit, and on what terms.

Credit Card

A credit card is a payment card that is accepted by merchants, and which can be read at the point of sale. Credit cards offer revolving lines of credit to cardholders, which means they have the ability to pay balances over time.

Default

The failure of a consumer to make payments or violate other terms as agreed upon in a credit agreement.

Secured Credit Cards

Secured credit cards can be used exactly like unsecured credit cards except they require collateral. That collateral is a cash deposit with the issuing bank for approval. They are designed for people with no credit or poor credit.

Grace Period

Most credit cards have a grace period for “new purchases.” The grace period extends from the time you make a purchase to the due date of the monthly billing cycle when you made the purchase. As long as you pay off purchases by the time your monthly statement is due, you will not be charged interest on the purchases.

Interest Rate

An interest rate is the price a lender charges for loaning money. On credit cards, interest rates are a little trickier, because lenders set multiple interest rates. For example, you may have a low, teaser (introductory) rate when you open an account, followed by a higher standard rate for purchases, which turns into a penalty rate if you pay late.

Late Payment

Failure to make at least the minimum payment due so that it reaches the creditor by the due date on the Billing Statement.

Line of Credit

A loan with a pre-authorized credit limit established by a creditor.

Minimum Payment

The minimum amount of money you are obligated to pay each month against your credit card balance. It is determined by the size of the balance and the formula the lender uses to determine the minimum amount due.

Terms and Conditions

Terms and conditions is the common name for the document in which credit card issuers describe in detail their practices. After a consumer applies for a credit card and receives it in the mail, the first use of the card turns the terms and conditions into a legal contract.

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