What are
Credit Cards for Fair Credit?
Credit Cards for Fair Credit are examples of
credit cards that are considered to be not only the most beneficial for
individuals in possession of credit scores considered to be ‘fair’ or
‘average’, but also in retention of the least amount of risk with regard to the
applicable lending institution in conjunction to the credit history associated
with the applicant.
Standards and Practices of Credit Terms Specific
to Credit Cards for Fair Credit
In most cases, the following standards and
practices are specific to Credit Cards for Fair Credit:
In certain cases, Credit Cards for Fair Credit may
require co-signers or guarantors to be a party to the approval process. This
determination is typically dependent on the amount of the credit limit being
requested.
Typically, these types of Credit Cards will be subject
to larger commission fees, which are furnished by the credit card company upon
each transaction. Credit Cards for Fair Credit may require the owner of the
credit card to repay this fee.
Credit Score Analysis with regard to the
Application for Credit Cards for Fair Credit
Upon applying for Credit Cards for Fair Credit,
both the applicant’s credit score and credit rating will undergo analysis and
assessment from the applicable lending institution. The following may be
applicable to the approval process of a Credit Cards for Fair Credit:
Credit Score of the Individual Applying for Credit
Cards for Fair Credit
Credit scores classified as ‘fair’ or ‘average’
will typically range between the 679 and 620 marks by the Fair, Isaacs, &
Co. (FICO) credit ratings score.
Credit History of the Individual Applying for
Credit Cards for Fair Credit
Credit History determined to be ‘fair’ or
‘average’ is considered to result from reasonably prompt repayment activity and
the possession of a ‘debt to income’ ratio that is considered to be of
reasonable risk to lending institutions.
Credit Cards for Fair Credit: Profile and
Background
The following details are inherent within the
financial structure and legal ideology of Credit Cards for Fair Credit:
Credit Cards for Fair Credit Limits
The credit limit typically applicable to Credit
Cards for Fair Credit may range from $500 to $5,000.
Credit Cards for Fair Credit Interest and Annual
Percentage Rates
Both the interest rates and annual percentage
rates associated with Credit Cards for Fair Credit will typically range from 8%
to 20%. However, individuals may be subject to a 0% Annual Percentage Rate
(APR) for the first year of possession of the credit card.
Contingency Plans in the Event a Rejected
Application for Credit Cards for Fair Credit
While the terms associated with Credit Cards for
Fair Credit may not be ideal for the individual in possession of these types of
credit cards, the prompt repayment, responsible usage, and the compliance with
terms of service expressed will typically result in increased credit limits and
raised credit scores. Individuals interested in applying for credit cards are
encouraged to contact legal and financial professionals in order to better
understand both the risks and ramifications implicit within any nature of
credit cards.
