Finance | Credit Cards

The 9 Best Unsecured Credit Cards for 500 Credit Score

Credit cards are important since they help you to buy goods and services even when you do not have money. The money you use is similar to a loan in that you have to repay it at the end of the month. There are two different kinds of credit cards. You can find secured and unsecured credit cards. In this article, you will find more about unsecured credit cards for 500 credit scores.

Various credit scores dictate the type of a credit card and the limit you can get from the credit card issuer. Financial experts usually call it a line of credit. It is the maximum amount of money a bank or any other lender allows you to draw for use of which you cannot use more than the credit limit. The more responsible you become in terms of credit usage, the more your credit limit increases.

There are various ways on how to get an unsecured credit card with bad credit. If you are over 18 years with a government ID, you can apply for a card personally at the bank or issuer of your choice. If you do not have any credit history, then you can have someone to be your cosigner when getting the card. Alternatively, you can get a secured credit card and deposit money to act as security.

How are unsecured credit cards different from secured credit cards?

Unsecured Credit Cards for 500 Credit Score

When you look at the two cards, you will not be able to tell which card is unsecured and which is secured. However, the systems have all the information concerning the card.

First of all, unsecured cards do not need you to pay any deposit. Once you qualify for a credit card, you just receive it. Secured credit cards require you to deposit a certain amount of money to act as the collateral. The credit limit you get is equal to the amount of money you deposit, or a percentage of the money depending on the terms and conditions of the issuer.

Unsecured credit card issuers mostly give you a credit limit depending on your credit score. Low credit scores get low limits, while excellent credit scores earn you a larger credit limit. Secured credit cards give you a credit limit depending on how much money you deposit as security.

How long does it take to get an unsecured credit card?

Most companies issuing credit cards take the shortest time possible to process your request. Once you fill in all the details correctly, it might take less than 30 minutes to know whether you qualify or not. Most companies will give you an instant credit card approval for bad credit no deposit as soon as you submit the details.

If you want the process to succeed, you must have all the required documents and details. The government ID is a must. You will also need to provide the physical address of your area of residence, as well as your email address. You also need to provide your phone number, and most likely, your passport size photo.

How can I get an unsecured credit card?

If you want an unsecured credit card, you first need to search online the various cards that exist. View the terms and conditions of various credit cards and determine which one suits you. Most credit card issuers will have different credit score requirements for their multiple credit cards.

Once you identify the credit card of your choice, log in to the company’s website and hit the apply tab. Fill the required information and then upload any required documentation. After verifying that all details are correct, then hit submit and wait. You will always receive an email confirmation that the concerned company has received your details.

If you qualify, then the issuer sends you a confirmation on that and advises you on how you can get the card. You should remember that, for you to have a credit card, you need to have a checking account with the concerned bank.

What can you do with an unsecured credit card?

Once you get the credit card, you get immense financial power on your hands. You can buy goods and services at places where they accept the credit card. Even when you do not have money with you, you can always get your necessities whenever you need them.

Most credit cards give you rewards such as points and cash backs when you use their credit cards. Such rewards are possible when you buy goods and services from designated shops. This way, the cards are more advantageous than using cash.

Secondly, you can send money to another person. When you log into your account, you can send various amounts of money to your relatives or friends within the shortest time possible. The money you send is still a kind of loan that you will pay at the end of the month.

Moreover, you can use your card to withdraw money from an ATM. At times you need cash more so when it comes to shopping from local shops or when paying casual workers their money.

How can you increase your credit score with an unsecured credit card?

If you get an unsecured credit card, you should strategize on improving your credit score. It is more important to know all the factors that contribute to suitable credit scores. Remember that excellent credit scores are very useful when it comes to benefiting from services such as personal loans from a credit union.

Your credit score is the only tool that gives your lender confidence that you will be able to pay back your loan. There are various ways on how you can increase your credit score upon getting your card. These ways include the following.

i) Pay all your debts on time

Always follow your payment schedule to the latter. Skipping payments is always harmful to your credit score. A credit score payment history accounts for 35% of the total scores.

ii) Spend below the credit limit

Upon getting your card, ensure that you do not spend more than 30% of your credit limit. Spending too much lowers your credit score. You should show responsibility that you can manage money well by saving some.

iii) Actively use the card

Do not take the card and keep it without using it. Your credit card utilization also gives you scores. Make it active all the time. Even if you do not want to spend much on it, ensure that you spend a little each month.

What happens if I lose my card?

Credit cards, as well as other cards such as debit cards and prepaid cards, have high-security measures to minimize fraud. They use the Chip technology to secure your card, whereby you always need to input anytime you are transacting.

So anybody who collects your lost card may have no chance to steal from you. However, you should always report your lost card to your bank so that it can be locked as some people have excellent hacking skills and may hack your card, thus stealing from you.

Which are the 9 Best Unsecured Credit Cards for a 500 Credit Score?

The cards include the following.

1) Indigo Platinum Mastercard

If you have records of bad credit and bankruptcy, then this card is for you. Although it does not give cash backs and points, it is worthy of having it so that you can raise your score. Moreover, your application is fast and takes a few minutes.

The card has high security to protect you from fraud, and thus your online access is protected. Do not worry if your card gets lost as you won’t lose your money. Upon taking the card, you will need to pay a $0-$99 annual fee. The regular APR is 24.90%. Access the cards account free of charge online. Apply for the card.

2) Milestone Gold Mastercard

The card does not give rewards such as cashbacks, miles, or points. However, it is suitable for bad to fair credits. People with a credit range of between 300-600 can apply. Again, the card does not have a balance Transfer Intro APR. The annual fee is $35-$99, while the regular APR is 24.90% fixed.

Upon getting this card, you will have free access to online services using your smartphone or computer. Moreover, you will be able to choose your custom design for the card and for free. Lastly, the card is free from fraud as it is well secured. The card is accepted in millions of places and will be very convenient for you. Apply for the card here.

3) Credit One Bank Visa Credit Card

The Credit One Bank visa credit card is suitable for a fair credit score. Moreover, you automatically earn an unlimited 1% cashback on all purchases. The annual fee is $0-$99, while the balance transfer Intro APR is 10.99% for six months. The regular APR is 17.99% to 23.99% Variable.

Also, it is easy to access your credit score online from Experian. You should thus take advantage of that. With this card, take advantage of the high security that prevents you from fraud. Even if you lose your card, you will be secure from theft of money in your account since it is difficult to get the card’s PIN. Apply for the card here.

4) Surge Mastercard

The card issuer reports to all credit bureaus for all customers. With this card, you are sure that you will improve your credit score within a short period. Application is first, and you can check whether you qualify for the card without affecting your score.

Moreover, you will have free access to your Vantage 3.0 score from TransUnion upon signing up for e-statements. Interestingly, you will have unlimited access to online services 24/7. After all, the card is suitable for bad credits. If you fall into that group, then you can have it. Intro Transfers do not apply to this card. Apply for the card here.

5) Total Visa Card

The card is easy to apply and takes a short time. The response may come in minutes. Moreover, you need a checking account before getting the Total visa card. Furthermore, the card is accepted in various parts of the USA and can be very useful as you travel around. The first credit limit you get with this card is $300. It can change with time.

It is good to note that the company reports to the three credit bureaus of the USA. If you have poor credit, you are in a position to improve if you use the card smartly. Bad credit is all that it takes to get this card. Apply for the card here.

6) Firestone Credit Card

 The card does not give cashbacks, miles, or points to the users. However, you can get coupons and special financing when you meet the purchasing minimum of $299 of Firestone products. In addition, there is a $0 annual fee upon qualifying for this card.

People with previous cases of bankruptcies can apply for the card within the shortest time possible. If you have bad credit, then you can apply. The card issuer gives monthly reports to the credit bureaus. It means that you can improve your credit score very fast. Apply for the card  here.

7.  First Access Visa Card

You do not need to have a good credit score to get the First Access Visa Card. People with a credit score of 500 are free to apply. You can apply online using your computer or your smartphone, whichever is convenient. Approved customers have to pay a program fee of $95.00.

Note that the bank of Missouri issues the card. Again, you will get a credit limit of up to $300. The card aims to help people with bad credit to recover from their bad scores to higher credit scores faster. Moreover, the company has put tight security measures to protect you from fraud. Apply for the card here.

8.  Capital One QuicksilverOne Cash Rewards Credit Card

Capital One QuicksilverOne Credit Card is an excellent option to improve your scores. If you have poor credit scores, then consider the card, and you will not regret it.The card gives you a 1.5% cashback on all daily purchases you make.

After repaying the first five credit debts on time, then you will get a credit limit adjustment to higher levels. Again, the card is highly secured, and you should never worry if you ever lose your card. Fraud incidences are unlikely to occur on this card. Remember that the card issuer requires you to pay 26.99% (Variable). The annual fee is $39. Apply for the card here.

9.  Target Credit Card

Target Credit Card is here to improve your poor scores. It does not matter how bad your score is. Be sure to get a credit limit of $250 once you apply for the card. Also, you will benefit from a free 2-day shipping on Target.com. You will also get extended returns and purchases.

Moreover, the card rewards you with coupons when you buy eligible items from the  Cartwheel app that saves you a lot of money with time. Again, the card helps you to save 5% daily. Interestingly, you will only pay $0 as the annual fee at target.com. The card’s regular APR is 23.90%. Apply for the card here.

Bottom Line

Unsecured credit cards are fantastic since you do not need to deposit any amount of money as security, like in the case of a secured credit card. Although the credit limit for an unsecured credit card for poor credit is little, it can be a useful tool to grow your credit score, thus leading to a good credit report. When choosing an unsecured credit card, check the one with fewer liabilities such as annual fees and high transaction costs.

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