Beware Bad Credit Credit Card Fees
Credit Card Fees for Bad Credit Credit Cards Can Really Add Up
If you have bad credit, you may be looking to apply for some bad credit credit cards. The one thing you might not realize is that the fees for these bad credit credit cards can really add up. If you’re thinking about applying for a bad credit credit card, you’re going to want to know what to look for before submitting your application.
Annual Fees
Almost all bad credit credit cards charge an annual fee. This annual fee can range anywhere from $15 all the way up to $150 depending on the bad credit credit card you’re going with. Before applying for a bad credit credit card, you’re going to want to compare the annual rates of the credit cards you’re looking at to see which one offers you the lowest annual fee possible.
Processing Fees
Sometimes bad credit credit cards will charge a one-time processing fee in order to issue you a credit card. This fee can range anywhere from $25 to well over $100. Some banks do not charge this fee at all. This fee would be a one-time fee and is usually not a recurring annual fee.
Higher Interest
Bad credit credit cards also come attached with higher interest rates most of the time. If you do get a bad credit credit card, make sure that you don’t charge more than you can pay off in one month so you’re not stuck paying high interest.
Other Fees
While there shouldn’t be any other fees associated with a bad credit credit card, there may be. Since banks feel you’re desperate for the credit, some banks will try to take advantage of this fact by charging you as much as possible to get the card.
When paying fees for bad credit credit cards, just remember you can cancel those credit cards as soon as your credit is established enough to get better credit cards and you’ll be able to stop the annual fees then.
Also make sure that no matter what bad credit credit card you’re applying for, you never pay any fees up front. If a card is legitimate, they’ll charge the fees to your credit card instead of expecting you to pay for them all up front.
Comments
Thanks for the info. I have had friends bring applications for these "BCCC" to me for advise. I told them to wait and check all the apps. that come in the mail, as it has been my experience that the offers will get better (sometimes much so) if you wait. Also calling the company and talking with a rep. can sometimes get a better offer sent to you in the mail. Caution:DO NOT AGREE TO ANYTHING NOT IN WRITING,PERIOD!!!I Hope everyone will get the reports on their credit they are entitled to. One FREE from each of the three credit reporting companies per year. Check your credit report for accuracy and be aggressive about getting removed any of the bogus or incorrect info. No one will do it for you, and you must be persistant. Good Luck
Posted by: Scubapilot | March 5, 2006 10:30 PM
Thanks for the info. I have had friends bring applications for these "BCCC" to me for advise. I told them to wait and check all the apps. that come in the mail, as it has been my experience that the offers will get better (sometimes much so) if you wait. Also calling the company and talking with a rep. can sometimes get a better offer sent to you in the mail. Caution:DO NOT AGREE TO ANYTHING NOT IN WRITING,PERIOD!!!I Hope everyone will get the reports on their credit they are entitled to. One FREE from each of the three credit reporting companies per year. Check your credit report for accuracy and be aggressive about getting removed any of the bogus or incorrect info. No one will do it for you, and you must be persistant. Good Luck
Posted by: Scubapilot | March 5, 2006 10:32 PM
The key to credit problem is discipline. Be punctual, pay your bill on time because late payments, collections, and bankruptcies have a big negative impact on your credit score.
Posted by: shiela | February 12, 2007 4:17 PM