What credit cards are actually available when your score is low

When your credit score is below 620, most standard credit cards will reject you. But you have real options: secured cards, credit-builder cards, and store cards that report to the bureaus and let you rebuild. The catch is that these cards come with lower limits, higher fees, and higher interest rates — but they work if you use them to prove you can pay on time.

The goal is not to use these cards for spending. It is to use them as a tool. You put down a deposit, charge small amounts you can pay off when ready, and let the payment history stack up. In 6 to 12 months of on-time payments, your score usually rises enough to move to a standard card with better terms.

Key Takeaways

  • Secured cards require a cash deposit (usually $200 to $2,500) that becomes your credit limit, and most report to all three bureaus so payments build your history.
  • Store cards and gas cards are easier to get approved for with low scores, but only help if they report to the credit bureaus — check before you open one.
  • Credit-builder cards charge a monthly fee but hold your payments in a savings account and report them as credit activity, letting you build history without spending.
  • The real cost is the interest rate and annual fee, not the deposit — compare the APR and fees across cards before choosing one.
  • Using the card for small purchases you pay off monthly, rather than carrying a balance, gets you the fastest score improvement.

How secured cards work and why they rebuild credit

A secured credit card requires you to deposit cash with the card issuer. That deposit becomes your credit limit. If you deposit $500, your limit is $500. You then use the card like any other card — charge purchases, receive a bill, pay it. The issuer reports your payments to Equifax, Experian, and TransUnion.

The deposit stays in a separate account and earns minimal interest (often 0.01% APY or less). It is not touched unless you stop paying your bill, in which case the issuer uses it to cover what you owe. After 6 to 18 months of on-time payments, many issuers convert your account to a standard unsecured card and return your deposit.

Examples include the Capital One Secured Mastercard, the Discover it Secured Card, and the U.S. Bank Altitude Go Visa Secured Card. Each has different annual fees (some charge none, others charge $39 to $95) and different APRs (typically 18% to 24%). The deposit amount varies by card and by how much you want to deposit — some let you start at $200, others require $500 minimum.

Store cards and gas cards as a faster entry point

Retail stores and gas stations often issue their own credit cards with looser approval standards. A store card from Amazon, Target, Walmart, or a gas station may approve you when a bank card would not. The approval decision is faster, sometimes when ready at checkout.

The downside is that many store cards only report to one or two of the three bureaus, or report only negative information (missed payments, high balances). Before you open one, call the card issuer and ask which bureaus they report to. If they say "all three" or "Equifax and Experian", it is worth considering. If they say "only if you miss a payment" or "we don't report to the bureaus", skip it — it will not help your score.

Store cards also carry high APRs (often 20% to 29%) and may have annual fees. Use them only if you can pay the balance in full each month. Carrying a balance on a high-rate card costs more than the benefit of the score improvement.

Credit-builder cards: paying a fee to build history

A credit-builder card works differently from a secured card. You do not need a deposit. Instead, you pay a monthly fee (usually $5 to $10) to open the account. The issuer holds your payments in a savings account rather than letting you spend them. After 12 months, you get access to the money you paid in, minus the fees.

The card issuer reports your monthly payments to the credit bureaus as on-time credit activity. So you are building a payment history without actually spending money — you are essentially paying a fee to prove you can pay on time. Cards like Self and Kikoff work this way.

This approach makes sense if you have no credit history at all or if you are worried you cannot stick to paying a balance on a regular card. The downside is that you are paying for the privilege of building credit, and the total cost (12 months × $10 per month = $120) adds up. A secured card with no annual fee is usually cheaper if you can get approved.

What to compare before you choose a card

Do not choose based on approval odds alone. Compare these numbers across the cards you are considering:

  • Annual percentage rate (APR): This is what you pay if you carry a balance. Rates for low-credit cards range from 18% to 29%. A 1% difference costs you real money if you slip and carry a balance for a month.
  • Annual fee: Some cards charge $0, others charge $39 to $95 per year. If the card has no annual fee and a lower APR, it is usually the better choice.
  • Deposit amount (for secured cards): You want the lowest deposit that still gives you a useful limit. A $200 deposit is enough to build history; a $500 deposit is not necessarily better for your score.
  • Reporting to bureaus: Confirm the card reports to all three bureaus. If it reports to only one, your score improvement will be slower.
  • Path to conversion: For secured cards, ask how long until the card converts to unsecured and your deposit is returned. Faster is better, but the timeline varies from 6 months to 2 years depending on the issuer.

How to use the card to actually improve your score

Opening the card is not enough. Your behavior with it determines whether your score rises. The fastest improvement comes from this pattern: charge a small amount (10% to 30% of your limit), wait for the statement, then pay the full balance before the due date.

Do this every month for 6 to 12 months. Your payment history is the largest factor in your score (35% of the calculation), so on-time payments compound quickly. After 6 months of this pattern, you should see a measurable increase. After 12 months, you are usually ready to move to a standard card.

Avoid these mistakes: carrying a balance to "show you can pay interest" (you cannot — interest is just a cost), maxing out the card (high balances hurt your score even if you pay on time), or missing a payment (one late payment can erase months of progress). The card is a tool for proving reliability, not for spending.

When to move from a low-credit card to a standard card

After 12 to 18 months of on-time payments, your score should be high enough (usually 650 or above) to move to a standard card with better terms. At that point, you can close the low-credit card or keep it open with a zero balance. Keeping it open actually helps your score because it preserves your payment history and lowers your overall credit utilization.

When you explore for a standard card, expect a hard inquiry on your credit report, which temporarily lowers your score by a few points. But the lower APR and fees on the new card will save you money over time, making the move worth it.

If your score does not rise after 12 months of on-time payments, check your credit report for errors or other negative items. You can request a free report from each bureau at annualcreditreport.com. If you find errors, you can dispute them directly with the bureau.

Frequently Asked Questions

Will opening a low-credit card hurt my score?

Yes, but only temporarily. The hard inquiry lowers your score by a few points, usually for 3 to 6 months. The new account also lowers your average account age. But the on-time payments that follow raise your score faster than these temporary hits lower it, so the net effect after 6 months is positive.

What if I cannot afford the deposit for a secured card?

A credit-builder card requires no deposit, only a monthly fee. If you cannot afford $200 to $500 upfront, this is your entry point. You pay $5 to $10 per month instead, and after 12 months you get the money back minus fees. Some nonprofits also offer credit-building loans that work similarly.

Can I use multiple low-credit cards at once?

You can, but it is not necessary and can backfire. Multiple new accounts lower your average age and trigger multiple hard inquiries. One secured card used correctly will raise your score faster than two cards used carelessly. After your score rises, you can add a second card if you want to lower your overall utilization.

How long does it take to move from a low-credit card to a standard card?

Most people see enough improvement to move after 12 to 18 months of on-time payments. Some issuers convert automatically after 6 months. The exact timeline depends on your starting score, how much you use the card, and whether you have other negative items on your report.

What happens to my deposit when the card converts to unsecured?

The issuer returns it to your bank account, usually within 1 to 2 weeks of conversion. Some issuers increase your credit limit at the same time. You do not have to do anything — the issuer handles it automatically once you meet their conversion criteria.