Best Credit Cards for Bad Credit in 2025

Struggling with a low credit score doesn’t mean you’re out of options. Many banks now offer credit cards designed specifically to help you rebuild your credit history. In this 2025 guide, we’ll explore the best credit cards for bad credit, their benefits, fees, and how to use them wisely to improve your score.

Why Choose a Credit Card for Bad Credit?

A credit card for bad credit is a valuable tool for rebuilding your financial reputation. These cards are typically secured (requiring a deposit) or low-limit unsecured cards. When used responsibly, they can help you demonstrate positive payment history — the most important factor in your credit score.

Top 5 Credit Cards for Bad Credit (2025)

1. Discover it® Secured Credit Card

• Annual Fee: $0
• Security Deposit: $200 minimum
• Rewards: 2% cash back at gas stations and restaurants (up to $1,000 quarterly)
• Why It’s Great: No annual fee, automatic account review after 7 months for upgrade to unsecured status.

2. Capital One Platinum Secured Credit Card

• Annual Fee: $0
• Deposit: As low as $49 refundable
• Credit Reporting: Reports to all 3 major bureaus
• Why It’s Great: Low entry deposit and free access to your credit score via Capital One’s CreditWise tool.

3. OpenSky® Secured Visa® Credit Card

• Annual Fee: $35
• Deposit: $200–$3,000
• Approval: No credit check required
• Why It’s Great: Perfect for people with no or very poor credit.

4. Petal® 1 “No Annual Fee” Visa®

• Annual Fee: $0
• Credit Limit: Up to $5,000
• Rewards: Up to 10% cash back from select merchants
• Why It’s Great: No deposit, modern app interface, ideal for beginners.

5. Mission Lane Visa® Credit Card

• Annual Fee: $0–$59
• APR: Variable, based on creditworthiness
• Why It’s Great: Transparent terms and automatic limit increase after consistent payments.

How to Use These Cards to Rebuild Credit

• Always pay on time — even one missed payment can hurt your score.
• Keep your utilization below 30% of your credit limit.
• Review your credit report regularly for errors.
• Consider upgrading to an unsecured card once your score improves.

Expert Tip

Using a secured card doesn’t have to be long-term. Many card issuers automatically convert your secured card to an unsecured one after several months of responsible use — and refund your deposit.

Final Thoughts

The best credit card for bad credit in 2025 depends on your needs — whether you prefer rewards, no fees, or no credit checks. Start small, make payments on time, and you’ll be well on your way to rebuilding your financial future.