A bad credit score comes from poor credit history, but by paying on credit purchases you are able to build a stronger credit history and raise your credit score. A common way of doing this is through credit cards, but anyone with a bad credit score is likely to get a high interest rate on an unsecured credit card.
It’s for this reason a secured credit card may offer you a better opportunity to increase your credit score, by making purchases on a lower interest credit card. Many secured credit cards offer reasonable rates, so you won’t get crushed under interest charges.
While an account is required, in which you put money for the secured credit card, there are few differences between a secured credit card and an unsecured credit card. Since a deposit to secure the card is required you will want to be sure you are financially ready and mature enough to use the card.
If you miss payments or default, you are going to lose the money in the account securing your credit card, so it is going to benefit you to plan before getting a secured credit card. Making purchases that you are able to pay off quickly and on time, and purchases that aren’t frivolous and wasteful, will set you on a faster track to financial responsibility and a better credit score.