Now, when it so happens to be that you have such bad or poor credit scores, you need to know that you are not the only one for it has been shown and established that tens of millions out there happen to be faced with this problem of poor credit scores and ratings. As a matter of fact, going by projections, the numbers of those who will soon be getting into this particular bracket have been seen to be so many as per projections of the next few years.
Generally, looking at the needs of the credit card companies, such kind of a projection is not one that will be quite well sounding. This is looking at the fact that they, the credit card providers make money when we use their services for the purchases we make for goods and services. From this we see the fact that for these companies to make money and prosper in business, they need to make sure that they have put their cards in the hands of as many people as is possible.
This has as such resulted in a number of the credited card providers to start offering the unsecured credit cards for bad credit. By and large, this is all for the need to ensure that they are even tapping into the 30% category who have bad credit. As a matter of fact, this is move to seek not to delineate those with bad credit has a lot of benefits to those in this category as it allows them to have a card in hand to help them tackle and handle financial emergency needs and as well get started on their path to building their credit scores and ratings. The following is an overview of some of the basics you need to know of when it comes to the secured and the unsecured credit cards.
Looking at the secured credit cards, one thing that you need to know of about these cards is that they are the type that would be fit for those who happen to be having such poor credit scores and as such are only but interested in a card that will help them up their scores. They derive their name, “secured”, looking at the fact that for you to have them, you will have to have placed a deposit and this deposit will be your starting line of credit.
As for the unsecured credit cards, these are the kind that actually never demand on the applicant to place any deposit for them to start using the card anyway. With the unsecured credit cards, your line of credit comes directly from the bank that offers the cards and as such you can start buying items now for later payments. However, one thing you need to note when it comes to these unsecured credit cards is that there will be a need for some discipline in so far as repayments go for it is a fact that where you miss payment, your credit score suffers a great deal.