Can I Get A Credit Card If I’m Bankrupt Or Still Repaying Debt?

If you are swimming in debt, your chances of getting your credit card application approved are dim.

There are certainly bad credit rating credit cards on the market, but whether you will be eligible for one depends on a number of factors. Making an application for a credit card when you are in the midst of a financial crisis is not a good idea.

Not only will you almost certainly be refused, but you will drop your credit rating even further. Making multiple applications in the hope that one credit card provider does not notice your circumstances is an even worse idea. This will appear like the actions of a desperate individual who is still after more credit, at a time when the expectation is that you should be reigning things in and learning from your situation. It is probably a good move to leave the whole credit card idea alone for some time following bankruptcy

Much will depend on how far along the road you are from your financial problems, and what your credit rating looks like. Applying for a bad credit rating credit card demands that you are taking your responsibilities seriously, and an application when your debts are already more than you can handle will be viewed dimly by credit card providers. If you are still suffering debt problems and struggling to repay your debts, credit card providers will not be too amenable to extending a fresh credit line to you. No credit card provider wants to be left in the lurch with an unpaid bill, so if it looks like you may be hovering on the verge of bankruptcy, applying for a new credit card is pretty pointless. They will first want to see you are on the road to recovery.

Having a steady income will certainly not harm your chances of getting a credit card, but any current financial problems will negate much of the value of these positive points. Your best bet to raise your credit rating is not primarily having a new credit card to spend on; rather it is far more useful that you seek to resurrect your current state by clearing any outstanding debts. Once this has been done, credit card providers will start to look on you more favourably and you may be offered a “starter” credit card with a low credit limit. Then you can demonstrate your ability to borrow and pay back in full and on time.

If it is your sole intention to have some sort of plastic in your possession right now, bearing a Visa or MasterCard logo, then there are pre-paid credit cards from these companies and others. However, it should be remembered that these bad credit rating credit cards are not really credit cards at all. These cards are loaded with your own money, for which you are charged a fee. For this reason they do not require a credit check, and they have no effect either way on your credit rating.

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