Credit Cards to Improve Poor Credit

It's possible to increase your creditworthiness after a history of delinquency. One way to recover is by demonstrating better credit management. Obtain a new credit card and pay on time each month, keeping your balance below 30 percent. Each month, the credit card company will report your good standing to the credit bureaus. Prepare for higher interest rates and fees, though, since you are considered a credit risk.

Orchard Bank Online Ecosmart Cards

With the Orchard Bank Ecosmart Card, you can contribute to an environmental cause while rebuilding your credit score. You must enroll your account online and choose to receive your statements electronically instead of by mail in order for the contribution to go into effect. The customary APR on purchases and balance transfers ranges from 7.90 to 14.90 percent if you order the card as a secured credit card. If you default on your account or miss a payment, the penalty APR is 29.49 percent. Depending on your credit score, you could pay up to $80 each year in annual fees and spend up to $19 when your account is opened.

Capital One Secured MasterCard

A secured credit card is a viable option for rebuilding your credit score. With a secured credit card, you must make a security deposit, which is held as collateral for your account. Capital One Secured MasterCard requests that a minimum $200 security deposit be made by cardholders. If you make the minimum deposit, your credit line will be $200. The purchase APR is 19.8 percent while the annual fee is $24. You can earn credit line increases with no additional security deposit required if you exhibit a good payment and credit history. The maximum credit line available with this card type is $3,000.

First Premier Bank MasterCard

First Premier Bank offers one credit card option for bad credit. The initial credit limit for all users is $300. You will be considered for a credit limit increase when your account reaches month 13, but you are charged a hefty fee for increases. First Premier Bank charges 50 percent of the amount of your increase to facilitate the account change, and the APR for purchases is 59.9 percent. To open an account with Premier, be prepared to pay an up-front $25 processing fee.