What credit cards are available when your score is low
When your credit score is below 620, most standard credit cards will reject your process. But you are not locked out entirely. Banks and card issuers offer products specifically designed for people rebuilding credit: secured cards, unsecured cards for poor credit, and store cards. Each works differently and carries different costs.
A secured card requires you to put cash down as collateral — usually $200 to $2,500 — and your credit limit matches that deposit. You use it like a regular card, and on-time payments get reported to the three credit bureaus. After 6 to 18 months of good payment history, many issuers convert you to an unsecured card and return your deposit.
Unsecured cards for poor credit do not require a deposit, but they charge higher interest rates (often 25% to 36% APR) and annual fees ($39 to $99). Store cards from retailers like Target, Amazon, or Walmart sometimes approve people with lower scores, though their rates are also high and they can only be used at that retailer.
Key Takeaways
- Secured cards require a cash deposit but report to credit bureaus and often convert to regular cards after consistent on-time payments.
- Unsecured cards for poor credit have no deposit requirement but charge annual fees and interest rates well above 20%, making them expensive to carry a balance on.
- Store cards are easier to get approved for but work only at one retailer and carry similarly high rates and fees.
- The goal with any of these cards is to build payment history — carrying a balance costs money and does not help your score faster than paying in full each month.
How secured cards rebuild your credit
A secured card is the most direct path for someone with a low score because the deposit removes the issuer's risk. You open an account, deposit $200 to $2,500 in a savings account held by the bank, and receive a credit card with a limit equal to that deposit. The deposit stays frozen — you cannot touch it while the account is open.
You then use the card for small, regular purchases: gas, groceries, a subscription. Pay the full statement balance each month, on time, every time. The issuer reports this activity to Equifax, Experian, and TransUnion. After 6 to 18 months, if you have made all payments on schedule, the bank converts the account to a standard unsecured card, returns your deposit, and your credit limit may increase.
The catch: secured cards still charge interest if you carry a balance, and some charge annual fees ($0 to $95). If you cannot pay the full balance, the interest rate (usually 18% to 25% APR) makes the card expensive. The strategy only works if you treat it as a tool to build history, not as borrowed money.
Unsecured cards for poor credit and what they cost
An unsecured card for poor credit requires no deposit, so you get access to credit when ready. But the cost is high. Annual percentage rates run 25% to 36%, and most cards charge an annual fee of $39 to $99. Some charge additional fees: a monthly maintenance fee ($5 to $10), a processing fee when you open the account ($75 to $150), or a fee to increase your credit limit.
These cards make sense only if you need credit right now and plan to pay the full balance each month. If you carry a balance, the interest eats into any benefit. For example, a $500 balance on a card with 30% APR costs $12.50 per month in interest alone. Over a year, that is $150 in interest on top of the annual fee.
Some unsecured cards for poor credit do convert to standard cards after 12 to 24 months of on-time payments, though this is less common than with secured cards. Read the terms carefully — some issuers have no conversion path at all.
Store cards and retailer credit options
Retailers like Target, Amazon, Walmart, and Best Buy issue their own credit cards and often approve people with lower credit scores. The approval is faster — sometimes when ready at checkout — and the credit limit is usually modest ($300 to $1,000). But the card works only at that store or its affiliated websites.
Store cards carry high interest rates (18% to 27% APR) and may charge annual fees. Some offer a small discount on your first purchase (5% to 10% off) to entice you to open the account. That discount is real money, but it only matters if you pay the balance in full. If you carry a balance to take advantage of the discount, the interest you pay will quickly exceed the savings.
Store cards do report to the credit bureaus, so on-time payments help your score. But because they can only be used at one retailer, they are less useful for building a diverse credit history than a general-purpose card. Use a store card if you shop there regularly and can pay the full balance monthly, not as your primary credit-building tool.
Comparing the three options side by side
| Card Type | Deposit Required | Typical APR | Annual Fee | Best For |
|---|---|---|---|---|
| Secured Card | $200–$2,500 | 18%–25% | $0–$95 | Building credit from scratch; plan to convert to unsecured |
| Unsecured (Poor Credit) | None | 25%–36% | $39–$99 | Need credit now; can pay balance in full monthly |
| Store Card | None | 18%–27% | $0–$50 | Shop at one retailer regularly; pay in full each month |
How to use any of these cards to actually improve your score
The card itself does not improve your score. Your behavior with the card does. The credit bureaus track five things: payment history (35%), amounts owed (30%), length of credit history (15%), credit mix (10%), and new inquiries (10%). A low-score card helps with the first three if you use it correctly.
Pay on time, every time. Set up automatic payments for at least the minimum due, or better yet, the full balance. A single late payment can drop your score 100 points or more. After 24 months of on-time payments, you will see meaningful improvement.
Keep your balance low. The amount you owe relative to your credit limit (your utilization ratio) matters. If your limit is $500 and you carry a $400 balance, that is 80% utilization, which hurts your score. Aim to use less than 30% of your limit. This is another reason to pay the full balance monthly — it keeps your utilization at 0%.
Do not close the account. Once your score improves and you move to a better card, keep the old card open with a small balance or no balance. The age of your oldest account matters, and closing it shortens your credit history.
Red flags and cards to avoid
Some cards marketed to people with low credit scores are predatory. Avoid cards that charge a fee just to open the account (separate from an annual fee), charge monthly maintenance fees above $10, or require you to buy a "credit-building package" upfront. These are designed to extract fees, not to help you build credit.
Also avoid cards that do not report to all three credit bureaus. If a card only reports to one bureau, your payment history does not reach the other two, and your score improvement is limited. Before opening any account, ask the issuer or check their website: do they report to Equifax, Experian, and TransUnion?
Prepaid cards are not credit cards and do not build your credit at all. They look like credit cards but work like debit cards — you load money onto them first, then spend it. No credit is extended, so no payment history is reported. If someone suggests a prepaid card as a way to build credit, they are steering you wrong.
What happens after you build your score
After 12 to 24 months of on-time payments and low utilization, your score will likely move into the "fair" range (620–669) or higher. At that point, you become may be able to access for standard credit cards with lower rates and no annual fees. You can explore for a card with a 15% to 20% APR instead of 30%, which saves real money if you ever carry a balance.
When you are ready to upgrade, do not close your low-score card when ready. Keep it open and use it occasionally (one small purchase every few months, paid in full). This keeps the account active, maintains your credit mix, and preserves the age of your oldest account — all of which support your score.
The goal is not to have a low-score card forever. It is a stepping stone. Use it to prove you can manage credit responsibly, then move to better terms.
Frequently Asked Questions
Will getting a low-score credit card hurt my credit score?
Opening a new account triggers a hard inquiry, which temporarily lowers your score by a few points. But this dip is small and fades within a few months. The on-time payments that follow will more than make up for it. The real damage comes from missed payments or high balances, not from opening the account itself.
Can I get a regular credit card with a 580 credit score?
Most standard credit cards require a score of at least 620. Below that, you will be rejected by mainstream issuers. Secured cards and unsecured cards designed for poor credit are your realistic options. Some credit unions also offer cards to members with lower scores, so if you belong to a credit union, ask them first.
How long does it take to convert a secured card to an unsecured card?
Most issuers review your account after 6 to 18 months of on-time payments. Some convert automatically; others require you to request the conversion. Check your card's terms or call the issuer to ask about their conversion timeline. When it happens, your deposit is returned to you, usually within 5 to 10 business days.
Should I carry a balance to build credit faster?
No. Carrying a balance does not build credit faster — it just costs you money in interest. Your payment history (whether you pay on time) matters far more than whether you carry a balance. Pay in full each month, and your score will improve just as fast without the interest charges.
What if I cannot get approved for any card?
If your score is very low or you have recent delinquencies, even secured cards may reject you. In that case, focus on the factors you can control: pay all bills on time for the next 6 to 12 months, pay down existing debts, and correct any errors on your credit report. After that period, try again. You can also ask a family member with good credit to add you as an authorized user on their card — their payment history may help your score.