Credit cards for bad credit

If you’re looking to improve your credit score, our Credit Builder Credit Card for bad credit could help.

Check if you’re eligible today with no impact on your credit score.

Representative
37.9% APR (variable)

What’s a credit card for bad credit?

Credit cards for bad credit are designed for people who want to improve their poor credit score. This can be helpful if you want to get a new loan, credit card or mortgage.

It’s not uncommon for people to be denied loans and other credit because of a poor credit score. Luckily, a bad score can be repaired with good money management.

A credit card for bad credit can offer a way of building your credit score over time. These cards often come with lower credit limits and higher interest rates, as banks see offering them as higher risk. But these credit limits and interest rates can change over time with good financial practice.

Using your credit card correctly could help improve your credit report. This means making sure you’re not missing payments or going over your agreed credit limit. If you manage your credit card well over time, your credit score could improve.

If you’re looking to get started on your journey to good credit, we’ll explain how a Vanquis Credit Card can help with building your credit score.

What is bad credit?

Bad credit is a term often used to describe a low credit score.

A low credit score is often linked to missed or late repayments on credit cards, loans or other borrowing – as well as regularly going over your credit limit. This may also include people who’ve defaulted on credit agreements altogether, meaning they’ve broken their credit agreement.

In some cases, you may have been through bankruptcy, had a County Court Judgement (CCJ) or not have any experience with credit. All of which can make it more difficult to get accepted for a loan or credit card.

The good news is, you can always grow your credit score, even when your score is low. Credit cards for bad credit are a way to help get things back on track.

A bad or poor credit score

Your credit rating is based on several factors, including:

Every lender has their own criteria when deciding who they’ll approve for a credit card or loan. There isn’t a specific credit score lenders use to make decisions on approval. This means you may be eligible for one credit card, but not a different one from another lender.

Lenders may also check the details held on your credit file at one or all three of the main credit reference agencies – Equifax, Experian and TransUnion.

Reasons you could have bad credit

There are several reasons why you could have bad credit, including:

Breaking your credit agreement

If you’ve missed payments or gone over your credit limit, you may be breaching the terms of your credit agreement. This will usually be noted on your credit file.

Getting into financial difficulty

 Each repayment you miss can be noted on your credit file. Missing multiple repayments can cause your credit score to quickly drop, particularly if you miss many payments consecutively.

Being close to your credit limit

If you are seen to always be near your credit limit, it can impact your credit score. It can be a good idea to use your card sensibly and make your payments on time.

Having no credit history

If you’ve never taken out credit before, lenders and credit reference agencies won’t have any record of how you manage or repay it — even if you’re good with money. This means you’ll likely have a lower credit score.

Too many credit searches

Applying for credit repeatedly can leave many ‘hard searches’ on your credit file. Too many of these searches in a short space of time can lower your credit score.

Public information

If you’ve recently had any County Court Judgements (CCJs) or have filed for bankruptcy in the last 6 years, this will often harm your ability to get credit.

If any of the above applies to you, credit cards for bad credit could be an option to help improve your credit rating.

Why should you get a credit card for bad credit?

Even if you have bad credit, there are still many options available when looking for a credit card.

A credit card designed for those with bad credit works in the same way as a standard credit card, but often with different terms. For example, credit limits are typically lower and come with a higher rate of interest.

Although the APR interest rate may be higher on these cards, making your payments on time will show that you’re able to manage a credit agreement. This can often improve your credit score over time.

Here are some important things to consider when applying for and using a credit card for bad credit, as well as some things to be aware of:

You can use a card to help build your credit score
Any purchases made with the credit card are protected, just like a standard credit card
You still may be eligible for these cards if you have CCJs or have previously been declared bankrupt
If you’re unemployed or not on the electoral roll at your current address, applying for a credit card could be more challenging

How to get a credit card for bad credit

You can apply for a credit card even if you have bad credit. But you should make sure it’s the right card for your situation.

There are different types of credit cards available, each with different uses. These can include 0% balance transfer cards, interest-free purchase cards and even cards with cashback.

However, these cards are usually only available to people with good or excellent credit scores. If you want to be considered for these cards in the future, it might help to look at improving your credit score. This is where a credit card for people with bad credit could help.

The Vanquis Credit Builder Credit Card is designed to help improve a poor credit score by giving you access to credit, even if it comes with a lower limit and higher interest rate to start with.

Some things to keep in mind when applying for a card with bad credit:

Many lenders give you the option of an initial soft eligibility check. This can help you work out if you’ll be accepted without a ‘hard credit search’ being left on your credit file.
An eligibility check gives you an idea of whether you’ll be accepted for credit. But it’s not always guaranteed.
Additional fraud, identity and affordability checks often need to be done. This means cross-checking information in your application against your credit report.
If you decide to carry on with the application, lenders will do a full credit check that will be noted on your credit file. So, be careful when selecting the best credit cards for you.

Applying for a credit card for bad credit

Firstly, check your credit score if you can. This can give you an idea of your current situation and highlight any problems with your credit report or mistakes you may want to fix.

When it’s time for you to choose a credit card, see if you can do a soft-search eligibility check before making a full application. This will usually tell you if you’re likely to be accepted without affecting your credit score.

If you’re happy with the credit limits and APR offered after the eligibility check, fill in the form and let your bank handle the rest. They’ll review your finances and, if you’re accepted, will send you your card and PIN in the post.

Applying with Vanquis

Use our eligibility checker to make sure our card meets your needs.

Representative 37.9% APR (variable)

_{Your APR and credit limit may vary based on your circumstances.}

Why choose Vanquis?

We're the bank that's got your back.

We lend to a much wider range of customers than the high street banks.

Our eligibility checks give you confidence you’ll only be accepted for a credit card if you can afford the repayments and the APR is right for you.

All our credit cards are easy to apply for and simple to manage through our app.

We've helped over 5 million people and we're ready to help you.

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Frequently Asked Questions

Can I get a credit card with bad credit?

Absolutely – it’s possible to get a credit card even if you have bad credit. But you should make sure it’s the right card for your situation. While there’s no guarantee of being accepted, doing a soft-search eligibility check can be a good place to start.

Although there are different types of credit cards available, each with different uses, many of them are only available to people with good or excellent scores.

If you want to be accepted for these types of cards in the future, you may want to look at improving your credit score. This is where a Credit Builder card or a card for bad credit could help.

Can I apply for a credit card if I have no credit history?

If you have no credit history, you’re essentially ‘invisible’ to lenders and credit referencing agencies. This means they have no way of knowing how you manage your money or how you handle credit.

If you want a credit card, you may need to apply for a credit card for bad credit or a Credit Builder card. This can then be used to help build your credit score if you manage the card properly and make your monthly payments on time.

If you have no credit history, using credit correctly might see your score improve quicker than if you have a bad credit history.

Will my eligibility be guaranteed with a credit card check?

While it’s unlikely you’ll find a company willing to offer a guaranteed approval, many lenders give you the option of an initial eligibility check. This might help you work out your chances of acceptance, without any negative impact on your credit history.

To build your credit rating and be considered for credit limit increases, use your card sensibly, stay within your credit limit and make your monthly minimum payment on time. If you don’t, it could harm your credit rating and make getting credit more difficult.