With a credit score of 520, it's likely you'll be categorized as having poor credit, which can limit your options for credit cards. However, there are still options available that can help you improve your credit score over time. Here are some types of credit cards you might consider:
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Secured Credit Cards: These require a cash deposit that acts as your credit limit. They are often easier to qualify for and can help you build or rebuild your credit. Examples include:
- Discover it® Secured
- Capital One Secured Mastercard
- OpenSky Secured Visa Credit Card
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Credit Builder Cards: Some banks offer credit cards specifically designed for individuals looking to improve their credit. These may have lower limits and higher interest rates.
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Retail Store Cards: Some retailers offer credit cards that might be easier to obtain with a lower credit score, though they often come with higher interest rates and can typically only be used at their respective stores.
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Credit Unions: If you are a member of a credit union, they may offer more flexible credit card options for those with lower credit scores.
It's important to carefully read the terms and understand the fees associated with any card you consider. Additionally, responsible use of any credit card—in particular, making on-time payments and keeping balances low—can significantly help to improve your credit score over time.
Before applying, you might also want to check if there are pre-qualification options available that won't impact your credit score.
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