Capital One Credit Cards For People With Bad Credit Or No Credit

A bad credit rating will have many adverse effects on your financial capability. If you have suffered from bankruptcies, late or missed payments, foreclosures, and other negative credit management background, you will eventually find it hard to avail of normal loans and other financial resources. Such also applies to people who have no credit backgrounds.

To address the needs of people with bad credit histories and those who have no credit background, many financial institutions and credit card companies have devised special credit cards that will allow the card holder to repair their credit standing in no time. In the case of Capital One, their prime offer is the Capital One Classic Credit Card.

The Capital One Classic is designed for people who are suffering from a bad credit rating. This allows one to get cash advances, and make purchases without the use of cash. Such can be very effective in repairing your credit rating, provided that you will pay your bills on time and in full.

Unlike other credit cards, there is no introductory offer for the Capital One Classic Credit Card. Instead, the APR will have a variable rate of 2.53% on a monthly basis or 34.94 on an annual rate. The same rate also applies to balance transfers and cash withdrawals. However, if you plan to pay your balance in full every month, you can get a maximum of 56 days for your interest free period. There is also no annual membership fee to talk about.

If you avail of a Capital One Classic, you can purchase anything you want for as long as they will not exceed your given credit limit. You can have a credit limit of at least £100 or £2,500 at most. This, however, will be based on your financial capability at the time of your application. Your credit worthiness will then be gauged according to your monthly income and your existing debts.

If you cannot pay your credit card balance in full, you can opt to pay at least 5% of your total credit card balance. However, if you fail to pay on time, you will have to pay for late payment charges. There are also returned credit card cheque charges and over the limit fees as well as foreign currency conversion charges.

Despite the many charges that can be applied on your balance, what’s good about this card is the fact that you can ultimately avoid all the fees for as long as you do not overspend and you can pay all your balances within the interest free period.