Credit Cards

Miles Credit Cards For Bad Credit

Miles Credit Cards For Bad Credit

Are you struggling with bad credit but still want to earn valuable miles with a credit card? You're in luck! Even with less-than-perfect credit, there are options available to help you earn miles and travel rewards. In this Flik Eco blog post, we'll explore miles credit cards for bad credit, along with tips on how to rebuild your credit score. So buckle up, and let's take off on this journey together!

Understanding Your Credit Score

Before diving into credit cards for bad credit, it's essential to understand your credit score. Your credit score, mainly ranging from 300 to 850, reflects your creditworthiness and is used by financial institutions to evaluate your ability to repay debt.

  • Poor Credit: 300 - 579
  • Fair Credit: 580 - 669
  • Good Credit: 670 - 739
  • Very Good Credit: 740 - 799
  • Excellent Credit: 800 - 850

If you have a credit score below 580, you may find it challenging to get approved for certain credit cards. However, some options cater specifically to those with fair or poor credit scores, and we'll discuss these next.

Top Miles Credit Cards for Bad Credit

While your options may be limited, there are still miles credit cards available for people with bad credit. These cards tend to have lower credit limits and higher interest rates, but they can help you rebuild your credit, earn miles, and eventually qualify for better cards. Let's take a closer look at your options:

  1. Secured Credit Cards: These cards require a refundable security deposit and typically have credit limits that match your deposit. Many of them offer rewards like miles and can help you build credit over time by reporting to the major credit bureaus.
  2. Prepaid Cards with Miles: Prepaid cards don't require a credit check and can be loaded with your own money. Some prepaid cards offer miles rewards, letting you earn valuable travel points while steering clear of accumulating more debt.
  3. Store Credit Cards: Store credit cards may be easier to qualify for, and some offer miles rewards, especially if they have co-branded partnerships with airlines. Be cautious with these cards, as they often have high interest rates and limited usage outside of the specific retailer.
  4. Joint Accounts or Authorized Users: If you're unable to qualify for a miles credit card on your own, consider being added as an authorized user on a friend or family member's account. This allows you to earn miles on your purchases and potentially build your credit.

Tips for Rebuilding Your Credit

It's crucial to rebuild your credit while using miles credit cards for bad credit. Here are some essential steps to follow:

  • Always pay your bills on time to demonstrate responsible financial habits.
  • Keep your credit utilization low, aiming to use less than 30% of your credit limit.
  • Monitor your credit report and scores regularly to track your progress.
  • Consider using a credit-builder loan or other financial tools designed to help improve your credit score.

Miles Credit Cards For Bad Credit Example:

Imagine you have a credit score of 550 and find it challenging to be approved for standard miles credit cards. You opt for a secured credit card with a $500 security deposit that also offers a miles rewards program.

After several months of responsible credit card usage, on-time payments, and keeping your balance low, you notice an improvement in your credit score. Eventually, you're able to graduate from the secured card to an unsecured miles credit card with better rewards and no security deposit requirement. Rebuilding your credit while earning miles was a success!

Now you're equipped with the knowledge you need to choose a miles credit card that works for your bad credit situation. Remember to always be responsible with your credit card usage and focus on rebuilding your credit score. Don't forget to explore other guides on Flik Eco for more personal finance tips and advice. If you found this article helpful, please share it with others who may benefit from the information. Safe travels and happy miles-earning!


About Jermaine Hagan (The Plantsman)

Jermaine Hagan, also known as The Plantsman is the Founder of Flik Eco. Jermaine is the perfect hybrid of personal finance expert and nemophilist. On a mission to make personal finance simple and accessible, Jermaine uses his inside knowledge to help the average Joe, Kwame or Sarah to improve their lives. Before founding Flik Eco, Jermaine managed teams across several large financial companies, including Equifax, Admiral Plc, New Wave Capital & HSBC. He has been featured in several large publications including BBC, The Guardian & The Times.

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