Are you struggling with bad credit and finding it difficult to get approved for a traditional credit card? Don't worry, we've got you covered! In this article, we'll explore retail store credit cards designed specifically for people with less-than-perfect credit scores. Not only can these cards help you improve your credit, but they can also offer some sweet rewards and discounts along the way. So, if you're ready to take control of your financial future and get back on track, keep reading!
Retail Store Credit Cards For Bad Credit Table of Contents
Why Retail Store Cards Can Help Improve Your Credit
When you have a low credit score, it becomes challenging to get approved for mainstream credit cards. Retail store cards, however, are usually more lenient in terms of credit requirements. So, even with bad credit, you stand a better chance of being approved.
Report to Credit Bureaus
One of the main reasons retail store cards can help improve your credit is that they typically report your payment history to the major credit bureaus. If you make timely payments and maintain low balances, your credit score will likely see a boost over time.
Lower Credit Limits
Most store cards come with reasonably low credit limits, which can make it easier for you to manage your credit utilization rate. Staying within your credit limits and paying off your balance in full each month can positively impact your credit score.
Top Retail Store Credit Cards for Bad Credit
Some retail store credit cards cater specifically to individuals with less-than-stellar credit. Here are three options worth considering:
1. Fingerhut Credit Account
- Fast, easy online application process
- No annual fee
- Reports to all three major credit bureaus
The Fingerhut Credit Account is an excellent choice if you have bad credit. With a rapid online application process, you can start shopping and building your credit in no time. Plus, there's no annual fee and Fingerhut reports your payment history to all three major credit bureaus.
2. Capital One® Walmart Rewards® Card
- 5% cashback on Walmart.com and Walmart app purchases
- 2% cashback on in-store Walmart purchases
- No annual fee, and reports to major credit bureaus
The Capital One® Walmart Rewards® Card offers an excellent opportunity to not only improve your credit but also earn some great rewards. You'll earn cashback on purchases and benefit from no annual fee. Plus, Capital One reports your payment history to the major credit bureaus.
3. Kohl's Charge Card
- At least 12 special offers per year
- 35% off your first Kohl's Charge purchase
- No annual fee and reports to the major credit bureaus
If you're a fan of Kohl's, their charge card might be right up your alley. With fantastic discounts and exclusive offers throughout the year, you'll not only save but also build your credit. Remember, however, that this card can only be used at Kohl's.
Retail Store Credit Cards For Bad Credit Example:
Imagine you're shopping at Walmart regularly, making most of your everyday purchases there. You decide to apply for the Capital One® Walmart Rewards® Card. Your credit score isn't great, but you get approved. By earning cashback and paying off your balance in full each month, you see your credit score improve over time. As your credit improves, you may even become eligible for better rates on loans or future credit cards!
There you have it - a closer look at retail store credit cards for bad credit. By choosing a card that aligns with your spending habits and diligently making on-time payments, you'll be well on your way to improving your credit score. If you've found this guide helpful, be sure to share it with your friends and family, and don't forget to check out our other personal finance articles on Flik Eco for more tips and advice. Happy shopping, and here's to a brighter financial future!