Guaranteed Approval Credit Cards with $1000 Limits for Bad Credit

Not sure if you can even get a credit card with guaranteed approval for poor credit? We’ll help you through it with a guide that has everything you need to know. Alternatively, you can fill out our loan application form and get approved instantly!

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Billy FultonFinancial Writer

Jul 27.2022. Filed under: Loans for Bad Credit Hub

Types of Credit Cards for Bad Credit with a $1,000 Limit

While you may not be able to get huge credit limits with bad credit, that doesn’t mean you have to manage your finances without a credit card entirely. For people with bad credit, here are two credit card categories they can apply for and get accepted for:

Secured Credit Cards with Guaranteed Approval

Secured credit cards, as the name suggests, are approved when the individual makes a security deposit first as a requirement for the credit card.

Since the credit card issuer is taking a risk in approving it in the first place, secure credit cards can get you out of trouble on the off-chance that you’re unable to pay the card’s payments with the prepaid security deposit.

You don’t have to worry in case you want to retrieve the money because the deposit is redeemable. Plus, the interest rates are the typical credit card rates, and no extra charges are applied to the card.

Unsecured Credit Cards for Bad Credit

Your credit card request can be approved without a prior security deposit if you’re applying for an unsecured credit card. To you, as a customer, there is no collateral involved in terms of money that you can lose with delayed payments.

On the other hand, the credit card issuer balances the risks with higher interest rates and additional charges than usual. Also, you still need to have at least an average credit score for this credit card type.

Can I Get Guaranteed Approval Credit Cards With $1,000 Limits For Bad Credit With No Deposit?

Suppose a security deposit is additional spending that you cannot fulfill for the time being when applying for a new credit card. If the scenario sounds familiar, you’ll have to apply for an unsecured credit card.

By applying for an unsecured credit card, you don’t have to turn in a security deposit as collateral. However, the company will, in return, charge higher interest rates and other fees.

As for guaranteed approval, there is never a 100% acceptance confirmation. At best, they will either conduct a soft credit check instead of a hard credit check or evaluate your eligibility, including financial standing, monthly income, and debt-to-income ratio, in detail.

How to Get Guaranteed Approval Credit Cards With $1000 Limits for Bad Credit?

However, to maximize your chances of getting guaranteed approval credit cards with $1,000 limits for bad credit, here are the eligibility factors you need to look into:

Previous Bank Statements

While a hard credit check isn’t required, an issuer will likely go over your bank statements to evaluate your financial handling.

Repayment Ability

The issuer will look into whether you can repay the credit card limit on every billing cycle according to your debt-to-income ratio, or net income. Higher repayment ability escalates the chances of approval.

Stable Income

A stable income doesn’t just increase your chances of approval, it’s one of the basic requirements. Your monthly, sustainable income lets the issuer know how much you’re earning and whether it’s enough to repay the monthly credit card debt.

Down Payment

Paying a percentage of the amount beforehand assures the credit card issuer of your readiness to make payments, and can significantly increase your chances of approval.

When Should I Apply for a Credit Card for Bad Credit?

While good credit enables you to get a credit card from any bank or credit card issuer upon meeting their requirements, it’s not as easy for someone with bad credit.

To apply for a credit card for bad credit, you don’t need an exemplary credit score considering that they’re especially offered to such individuals. The acceptance rates are high as well, and you’re good to go as long as you meet the eligibility criteria.

The specific question as to when is the right time is when you know you’re capable of timely repayments. Not only does this save you from incurring interest, but it can gradually improve your credit history. Alternatively, getting a credit card for bad credit and then missing out on your payments can throw your credit score off the balance further.

Factors to Consider When Comparing Credit Cards?

With hundreds of credit card issuers in your area, you’ll need to consider certain factors before making the final decision. Besides obvious advantages like deals and offers, the following points are equally important.

Credit Bureaus Association

Credit bureau affiliation can help build your credit history. Provided that the credit card you’re about to go for does not have an association with a national credit bureau, go for another option.

Credit Reports

It’s optional but a preferable choice to choose a credit card issuer that offers free credit score access. This way, you can monitor your credit score while simultaneously improving it and manage your finances accordingly.

Rates and Charges

Unsecured credit cards or high-acceptance offers come with higher interest charges and annual rates. In the long term, you’ll have to pay a lot more than you would have if you made a wise choice. Your credit score also impacts the interest rate you’re offered.

Credit Card Upgrade

Ask your intended credit card issuer whether upgrading opportunities are available. If they are, with better credit management over time, you can get better credit card plans and increase your credit limit.

Which Are the Best Guaranteed Approval Credit Cards with $1000 Limits for Bad Credit?

With every other credit card company promising a world of benefits, the end decision is in your hands. But, to make it easier, we’ve compiled a list of the best credit card companies as of now. Each has its own pros and cons, but the main criteria you need to look into to make the most out of a credit card include APR, fees, rewards and offers, and security deposits.

Capital One Platinum Secured Credit Card

This credit card company is one of the best in the range of secured credit cards. Their application review process is quick, and the card is secure with systems such as $0 fraud liability in place. The initial plans start with a minimum $200 credit limit on a security deposit of $50 and a 27% APR in general.

Pros:

  • Installment-based security deposit available
  • No annual fees
  • Upgrade facility after 6 months

Cons:

    • Checking account required
    • Low starting credit limits
    • No bonus offers or reward points

OpenSky Secured Visa Credit Card

OpenSky has made its mark in the world of secured credit cards for bad credit, even for business owners. Considering the company reports to all three of the national credit bureaus, timely repayments can take your credit scores up in a matter of months. You can apply for a credit limit on your own terms and get accepted without a credit check. The annual fee is $35.

Pros:

    • Lower than average APR - 17.6%
    • Higher credit limits up to $3000
    • No bank account required
    • No credit check

Cons:

    • No option to switch to an unsecured credit card
    • Upgrade facility unavailable

Reflex Mastercard Unsecured Credit Card

Besides an affiliation with all of the credit bureaus, Reflex has a range of benefits that make it stand out in the unsecured credit card line. No matter your credit history, even if you don’t have one, you can apply for the card and the company offers a pre-qualification service as well. Plus, you can double your $1000 credit limit after 6 months!

Pros:

    • Pre-qualification applicable
    • Credit limit upgrade available
    • All credit types accepted
    • Free access to credit score (upon subscription to e-statements)

Cons:

    • High annual fee - $75-100

FIT Mastercard Unsecured Credit Card

For starters, FIT Mastercard lets you pay transactions anywhere and everywhere a Mastercard is accepted. Through this company, you can rebuild your credit score, starting from a minimum credit limit of $400 and doubling within 6 months. The application process is smooth and you’ll get your answer in no time. Plus, there’s a minimum eligibility criteria, making your approval chances strong.

Pros:

    • All credit types accepted
    • Credit limit upgrade after 6 months
    • Free credit score access

Cons:

    • High APR - 30%, and fees - $89 one-time processing, $99 yearly, $6.25 monthly maintenance.

Surge Mastercard Secured and Unsecured Credit Card

Surge offers both secured and unsecured types, so you have the power to make the choice. The company has several benefits such as a quick application process, pre-qualification with complete assurance of no impact on credit history, usable at any store or location with Mastercard acceptance, an upgrade facility, and a secure fraud liability program.

Pros:

    • Affiliation with credit bureaus
    • Fast application results
    • No credit score limit for eligibility
    • Credit limit up to $1000

Cons:

    • Checking account required
    • Hefty fees and charges, including 30% APR, up to $99 annual fees in the first year, up to $10/month, and $120 yearly maintenance.

Frequently Asked Questions

How to increase the limit of my credit card?

You can increase your credit limit by contacting your credit card issuer or filling in an application, if they have one, on their website. The issuer may evaluate factors like bank statements, debt-to-income ratios, and payslips, and conduct a hard credit check. Another method is to get a personal loan and pay it back on time.

Can I get approved for a credit card with a score of 500?

It’s difficult to get approved for a credit card with a score in the 500s. But, you can apply for a credit card for bad credit. Be prepared to get higher interest rates due to the less-than-average credit score.

What credit card can I get with a score of 560?

The easiest way to get a credit card with a score of 560 is to apply for a credit card for bad credit. You can choose between the secured and unsecured types, and get accepted if you meet the issuer’s requirements.

Should I get a loan instead?

A loan is a temporary financial solution for short-term purposes. For emergency expenses, urgent loans work better. If you’re trying to rebuild your credit history or manage expenses in the long term, a credit card is a better option.

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What does a $1,000 Credit Line Mean?

A $1000 credit line is the total amount of money you can borrow on your credit card that you’ll have to pay according to the billing cycle. Credit availability is the amount of money left of the total limit that you can spend until you pay the credit card company.

Get Accepted Despite Bad Credit Today!

Don’t worry about your bad credit and the stress of having to manage expenses without a credit card. You can make use of our information above to get credit cards with guaranteed approval. Or, apply through our platform and connect with top-rated lenders who provide loans for bad credit instantly!

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