Getting After Bankruptcy Credit Cards
If you have filed bankruptcy and are wondering if you should consider getting an after bankruptcy credit card, then you will want to read this article.
Specifically, we will be discussing why you need to get a credit card as soon as possible, what kind of credit card you should be looking for, as well as key features you need.
After reading this article, you should be able to shop for an after bankruptcy credit card with confidence.
The reality is that the only way to improve your credit after bankruptcy is to go out and get new credit.
You may be afraid of credit and think that you should avoid it for a while.
This is understandable considering what you have just been through.
It would be great if we lived in a world where you didn't need credit, but that just isn't the case.
Having bad credit is expensive.
And worse, it can impact your life in more ways that you can imagine.
Certain types of insurance can be difficult to get with bad credit.
Even getting a new job can become difficult.
For these reasons, it is important that you begin reestablishing credit as soon as possible.
The first type of card you should look for is a secured card.
To be approved, you will need to be able to place a deposit with the credit card company.
Your credit limit will be equal to, or slightly more than this deposit.
Be careful not to confuse a secured card with a prepaid card.
Neither cards have credit qualifying but prepaid cards do not report to the credit bureaus.
When you shop for a card, there are several things you are looking for.
The first is a card with no application fee and low annual fees.
There are some cards out there with very high fees that are designed to take up almost your entire credit limit.
This isn't what you want! Since you are getting the card for purposes of reestablishing credit, the most important feature is that the credit card company reports to all three credit bureaus.
Ideally, you can find a card with an automatic conversion feature.
This means that after a set period of time, say 12 months, as long as you have made your payment on time the card will convert to an unsecured credit card.
Getting a secured credit card after bankruptcy is one of the best things that you can do to reestablish your credit quickly.
You should avoid high application fees and make sure that the card that you select reports to all three credit bureaus.
By following these guidelines, you will be on your way to reestablishing your finances.
Specifically, we will be discussing why you need to get a credit card as soon as possible, what kind of credit card you should be looking for, as well as key features you need.
After reading this article, you should be able to shop for an after bankruptcy credit card with confidence.
The reality is that the only way to improve your credit after bankruptcy is to go out and get new credit.
You may be afraid of credit and think that you should avoid it for a while.
This is understandable considering what you have just been through.
It would be great if we lived in a world where you didn't need credit, but that just isn't the case.
Having bad credit is expensive.
And worse, it can impact your life in more ways that you can imagine.
Certain types of insurance can be difficult to get with bad credit.
Even getting a new job can become difficult.
For these reasons, it is important that you begin reestablishing credit as soon as possible.
The first type of card you should look for is a secured card.
To be approved, you will need to be able to place a deposit with the credit card company.
Your credit limit will be equal to, or slightly more than this deposit.
Be careful not to confuse a secured card with a prepaid card.
Neither cards have credit qualifying but prepaid cards do not report to the credit bureaus.
When you shop for a card, there are several things you are looking for.
The first is a card with no application fee and low annual fees.
There are some cards out there with very high fees that are designed to take up almost your entire credit limit.
This isn't what you want! Since you are getting the card for purposes of reestablishing credit, the most important feature is that the credit card company reports to all three credit bureaus.
Ideally, you can find a card with an automatic conversion feature.
This means that after a set period of time, say 12 months, as long as you have made your payment on time the card will convert to an unsecured credit card.
Getting a secured credit card after bankruptcy is one of the best things that you can do to reestablish your credit quickly.
You should avoid high application fees and make sure that the card that you select reports to all three credit bureaus.
By following these guidelines, you will be on your way to reestablishing your finances.
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