If you are like many North Americans, you have some credit card debt; credit cards are based on unsecured lines of credit, which means you don't put up any collateral in order to get one. However, you do promise to pay at least the minimum payment each month. Not paying the minimum payment can affect your credit rating and your chances of getting another card are slim to none. You may also find it difficult to qualify for other types of credit, such as loans, mortgages and bank lines of credit. Fortunately, there is a no credit credit card that can help you re-establish your credit rating. This card is secured, which means that you are required to put up some collateral.
In order to secure a no credit credit card you will have to put up a security deposit. The amount of the deposit will depend on how much credit you want to have. For example, if you want a $1,000 credit card, you'll have to put $1,000 down as your security deposit. There is also an annual fee of $39, which is taken out of your available credit once a year.
The interest rates are typically 14.99 percent for purchases, and 19.99 percent for cash advances. There is a further fee of $10 or 3 percent (whichever is greater) for the cash advances.
These rates and conditions are very similar to many unsecured cards. These cards will also come with many of the same features as other cards do. Keep in mind that with the secured credit cards, payments can take up to 10 days to process. Be sure to coincide that with the due date of the payment.
This new option is a good alternative for those with poor credit or a 'spotty' credit history. It is much cheaper than getting a payday loan and will help to re-establish your credit. You could borrow from family or friends, but that is always a risky venture, as it could cause problems in the relationship.
This program is currently not available to those living outside of the United States. Most states are included, but there are handfuls that are not: New York, New Jersey, Maine, West Virginia, Alaska, Iowa, Arkansas and Wisconsin. As long as you don't live in one of those states, you are eligible to receive a no credit credit card.
If your credit rating is less than perfect, and you have a history of making late payments, these secured no credit credit cards can give you peace of mind, as well as a way to rebuild your credit. You could choose to borrow from others, get a payday loan or save up the money until you can afford it. However, keep in mind that your credit rating is critical to qualifying for any number of products and services on the market today. The best thing to do is re-establish your credit and get it in good standing again. You'll be glad you did!
Find out how to easily fix your credit rating with the no credit credit cards. Learn how to build up your credit again so you can have peace of mind online only at MyReviewsNow.Net