Read about my passion for credit card applications
Then, once a good payment history is established, the lender may gradually increase the credit limit and eventually switch the customer to an unsecured card. This may sound like a dream come true, but there are cons to bad credit credit cards along with the pros. Some cards charge exorbitant fees in the first billing statement that can eat up the entire credit limit. They may also charge extremely high interest rates that not only drain the credit limit but trigger overlimit fees and charge interest from the moment of purchase rather than granting a grace period. Bad credit credit cards can be invaluable to rebuilding your credit rating, providing you do your homework ahead of time.