Neo Financial Secured Mastercard
- Rewards: Up to 5% real cash back $25 welcome bonus
- Minimum income eligibility: $0
The Neo Secured Card is the best secured credit card in Canada by far.
Recently launched to join the Neo Card , the Neo Secured Card offers unlimited cash back rewards at partner stores and a 1% minimum cash back guarantee at non-partner stores .
Approval is guaranteed for this card, and you can apply for it with any credit rating or income.
The Neo Secured credit card has a purchase APR ranging from 19.99% to 24.99%.
What Credit Card Is Good For A 600 Credit Score
There are a lot of neat options for consumers with a credit score above the 600 threshold. Some of the most popular choices include Petal 2 Visa Credit Card or Indigo Mastercard. First Access Visa is popular too as a kind of immediate help.
We often recommend that users carry out their due diligence to find the right fit some may prefer cards with multiple rewards, whereas others enjoy cards with high credit limits.
Top Overall Cards For 600 To 650 Credit Scores
Although consumers with credit scores in the 600 range are hardly the lowest cardholders on the credit card food chain, theyre not exactly writing their own tickets, either. To easily qualify for the rewards-rich prime credit cards so popular these days, youll likely need a credit score north of the 670 mark.
What you can get with a 600 to 650 credit score is a solid unsecured credit card or a low-fee secured card that will allow you to build credit and, maybe, earn some rewards. Use your new card responsibly for six to 12 months, and your score should increase enough to get your hands on even better cards.
| Yes | 9.0/10 |
A PREMIER Bankcard® Mastercard® Credit Card can be obtained by consumers with a wide range of credit types. The card can be used to make purchases both online and in stores, and can help you build credit with responsible use.
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Top 8 Unsecured Credit Cards For 400
If you have a , don’t rule yourself out of being able to own a good credit card. Instead, consider applying for an unsecured credit card that will help you build a better credit history. In this article, we highlight the top eight unsecured credit cards for credit scores in the 400 to 550 range. To make an informed decision, you’ll also learn about the interest rates, fees, and credit limits that these cards can offer you.
What We’ll Cover
You may want to read:How to Get a 700-750 Credit Score in 3 to 6 Months?
Plastk Secured Visa* Credit Card
- Annual fee: $48 plus a $6 monthly maintenance fee
- Welcome bonus: 5,000 bonus points
- Minimum income eligibility: $0
The Plastk Secured Credit card offers a competitive purchase APR of 17.99%, free credit scores, and a rewards program thats the first of its kind in Canada for secured credit cards.
New cardholders also enjoy a 0% APR on purchases for the first 3 months and 5,000 bonus points .
A monthly maintenance fee of $6 also applies, and you get your security deposit back when you close your account.
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What Is A Bad Credit Score In Canada
Your credit score is expressed as a number, generally between 300 and 900, that represents how credit-worthy you are. Meaning: How much of a risk you could pose to lenders or creditors to not pay money back. Your score is affected by all sorts of variables including the amount of debt you carry, whether you repay in full and on time, and even how long your credit history is. The higher your credit score, the better.
| Category | |
|---|---|
| Excellent | 760 to 900 |
Just as your financial habits created your credit score, so they can improve it. Here are the five variables that most affect your credit score, with the most impactful first.
Whats Considered A Bad Credit Score
Most people dont realize that they have dozens of credit scores in their name. You have credit scores that can determine your eligibility for everything from a personal loan to a credit card, an auto loan, or a home mortgage. You also have three different credit reports from which your scores are based.
With so many numbers flying around, its easy to see why people are confused by their credit rating.
Many lenders use one of several FICO scoring models when they consider an application for a loan or credit card. Even though FICO maintains dozens of credit scores under your name, the ranges remain fairly consistent.
The most commonly used FICO Score, the FICO Score 8, ranges between 300 and 850. Heres how the range traditionally breaks down:
If you have no credit history or not enough history to generate a reliable credit score youre considered . This means you have no credit score at all.
Banks sometimes lump the credit invisible with those who have bad credit. Thats because having no credit history makes you a risky borrower because the bank has nothing to base your creditworthiness on.
If you have no credit score, you can typically generate a score within one to six months after you begin accumulating data from a new credit card or loan.
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Best Rewards Cards For 600 To 650 Credit Scores
Rewards credit cards are all the rage, and rightfully so. With a good cash back or points credit card, you can earn money and rewards for all the eligible purchases you make using your card which puts money back into your pocket and gives you savings at the register.
| As low as $85 | Fair |
The Aspire® Cash Back Reward Card is a sister card to the Fortiva card above, offering the same cash back rewards. And, the more you use the card, the more cash back you earn. You can prequalify for the card without affecting your credit score.
Other Cards To Rebuild Credit In Canada
You can also use one or a mix of the following store credit cards, prepaid cards, and secured cards to grow your credit score or make payments while rebuilding credit.
13. PC Financial Mastercard: This store credit card is easy to qualify for and does not have an annual fee. If you frequent Loblaw stores, you earn PC Optimum points when you pay with your card.
14. Canadian Tire Mastercard: Canadian Tire offers a number of tailored after its Triangle Rewards Program. They are easy to qualify for, and you earn Canadian Tire Money when you spend using the card.
15. Refresh Financial Secured Visa Card: Unlike the typical credit card, you need to provide security funds for this card, and there are annual fees and monthly maintenance fees. This card is an option if you dont qualify for any of the other ones.
16. Mogo Visa Platinum Prepaid: Like the KOHO Prepaid Visa, you can apply for Mogos prepaid card and be approved regardless of your credit score. Note that it does not offer access to credit building, unlike KOHO.
17. RBC RateAdvantage Visa: This RBC credit card sets interest rates based on your credit score. The higher your credit score, the lower your rate.
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Simplii Financial Cashback Visa Card
Finally, Simplii Financial Cashback Visa Card could be your best unsecured credit card for rebuilding credit in Canada.
This is a no-fee cashback credit card with a 19.99% purchase interest. It offers a competitive promotional cashback of 10% for your first four months of card holding. All you need is to make eligible purchases of $500 to qualify for the offer.
In addition, the Simplii Cashback Visa Card welcomes new members with a 9.99% introductory APR on purchase for their first 6 months of membership.
What I also like about this card is that it offers free ATM access, travel medical insurance, Purchase Security and Extended Protection.
Learn more:Simplii Financial Cash Back Visa Card Review
Secured Vs Unsecured Credit Cards
An unsecured credit card is what you picture when you think of a typical credit card â where you submit an application, and the lender uses your income, your credit score, and several other factors to determine your credit limit and whether youâll be approved. There is no collateral for this credit card, and you pay off your purchases each month, and in some cases, earn rewards like points or cash back.
If you have a low credit score, no credit score, or youâve been discharged from bankruptcy, you may not qualify for an unsecured credit card. Instead, you can choose a secured credit card.
A secured credit card is guaranteed by a cash deposit â usually one or two times the amount of your credit limit. This deposit secures your loan with your card issuer who will hold it as long as you have your secured credit card. Since secured cards are backed by a deposit, theyâre not as risky for lenders, which is why they are accessible to almost everyone including people with bad credit and usually have no income requirements. Itâs no surprise then that secured credit cards are the easiest credit cards to get.
You can use your secured credit card just like an unsecured credit card. You can shop online, book travel, and use it for your daily spending. Also, just like an unsecured credit card, you should aim to pay off the balance in full every month.
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What Is A Decent Credit Score To Get A Credit Card
While your credit score will determine what kind of fees, rates, and rewards you will receive, it wont completely disqualify you from getting a card at all. There are credit card issuers who work with every score range and provide borrowers with lines of credit despite their previous financial mistakes.
You can likely get a credit card even if you have a bad credit history, defaults, or recent bankruptcies. While these cards wont come cheap, they will help you rebuild your credit history faster than just waiting for the negative items to fall off your credit report .
Some secured credit cards dont require a credit check. While youll have to pay a refundable security deposit for access to these cards, you can still obtain a credit card despite a very poor credit score.
If this sounds like you, the next best step is to find the card that suits your needs. Instead of focusing on the best perks and rewards, you should look for the lowest fees and interest rates. This will maximize your spending power and make it easier to pay more than your minimum monthly balance due which, in time, should give your credit score the boost it needs to qualify for better cards.
Best For Secured Card With A Low Deposit
The Capital One Platinum Secured Credit Card is worth considering if you can only put down a small amount for the security deposit. If you qualify for the low $49 or $99 deposits, you’ll still receive a $200 credit limit.
The card is also good for travelers since there are no foreign transaction fees, meaning you will not incur any fees for using the card to pay for your expenses while you’re traveling outside of the United States. The card also has no annual fee and features automatic reviews to increase your credit line that can start as soon as six months into your card membership.
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Journey Student Rewards From Capital One
Our pick for: College students and young adults
The Journey Student Rewards from Capital One gives newcomers to credit a powerful incentive to develop responsible habits. You earn cash back on every purchase, but when you pay your bill on time, the cash-back rate for that month gets a boost. Read our review.
Best For Prequalification: Credit One Bank Platinum Visa For Rebuilding Credit
Heres why: If you shop for the Credit One Bank® Platinum Visa® for Rebuilding Credit card directly through the Credit One Bank website, the issuer offers the chance to see if you prequalify for the card before you apply. This is a soft credit check meaning it wont affect your scores and you can find out if you prequalify in less than a minute. Just keep in mind that prequalification doesnt guarantee the terms and eventual approval.
We also like that the Credit One Bank® Platinum Visa® for Rebuilding Credit lets you earn rewards while you build your credit. Youll earn 1% cash back rewards on gas and grocery purchases, as well as internet, mobile phone, cable and satellite TV services. Cash back is automatically applied as a statement credit.
In addition, the card comes with regular, automatic reviews of your account to see if youre eligible for a credit line increase.
While credit prequalification, rewards and automatic credit line reviews are the shining features of the Credit One Bank® Platinum Visa® with Cash Back Rewards, it does lag in other areas. Youll pay an annual fee of $75 for the first year, $99 thereafter. And it comes with other expensive fees as well as a high variable purchase APR of 25.49%.
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First Access Visa Card
The credit card does not need you to have a good credit score to get it. A credit score of 600 will be okay. The application is easy and happens online using either your smartphone or your computer. If approved, you will have to pay a program fee of $95.00.
Moreover, you will access a credit limit of up to $300. The bank of Missouri that issues the card is committed to helping people with bad credit to recover from their poor scores to better credit scores quickly. Moreover, do not worry about the security of the card as the process happens under a secure process. See more.
Length Of Credit History
Another 15% of your FICO score stems from how long you have been using credit. FICO looks at the average of how long all your accounts have been open, rewarding you for having accounts that have endured over many years.
Accordingly, when trying to rebuild your credit, its a good idea to keep your old credit card account open, even if you no longer use it. For example, if your score moves into the fair or good range, youll probably be eligible for better credit cards. Dont cancel old card accounts, but rather use them once a year so they dont go dormant.
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Mogo Visa Platinum Prepaid Card
The MOGO Visa Platinum is another prepaid card that uses the money you already have. Its free to use and doesnt require a credit check or security deposit. We love MOGO for two reasons. One, the card offers 2% Bitcoin cash back rewards. Bitcoin has been the best performing asset class over last 10 years, with about 250% average annualized returns. That means the value of your rewards can increase dramatically over time without having to spend more. You can cash your Bitcoin out into Canadian dollars anytime time. Two, using this card can actually save the planet! Its true, check out our MOGO Visa Platinum Prepaid card review to find out how.
Mogo also offers a free credit monitoring service when you active the Mogo Visa Platinum prepaid card. You wont build your credit score by using the card, but you can monitor your score for free and check your credit as many times as you want without impacting your credit score. Mogo offers free insider tips on how to improve your score. In fact, Mogo will give a $200 cash bonus to the client with the most improved credit score in one month. According to their website, the average Mogo Visa Platinum Prepaid card user reports saving about $201 dollars a month. Their budgeting app and money management tools can help you save more money and pay down your debt faster, thus increasing your credit score.
Capital One Low Rate Gold Mastercard
The Capital One Low Rate Gold Mastercard is a solid choice for people with a low credit score. For a fee of $79 per year, cardholders get an eyebrow-raising competitive interest rate of 14.9%, and access to perks including price protection, travel benefits and insurance. Plus, if you dont qualify for the unsecured Capital One Low Rate Gold, Capital One will still approve you for its alternative secured product, the Capital One Guaranteed Secured Mastercard. This makes for a good fail-safe, and helps people access a credit card with a security deposit as low as $75 and a $59 annual fee.
- Annual Fee: $79
- Interest rate: 14.9% on purchases and balance transfer 19.8% on cash advances
- Personal income required: $0
- Other perks: Price protection common carrier travel accident insurance baggage and rental vehicle insurance
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