Can You Really Get a Credit Card With a 500 Credit Score?
Many Americans believe that getting approved for a credit card with a 500 credit score is impossible. But the truth is different. Even with a poor credit score, there are several proven ways to get approved for a credit card and start rebuilding your credit history.
In the United States, millions of people have credit scores below 600. Lenders understand this and offer special credit cards designed for individuals with bad or limited credit history.
In this guide, you will learn:
- How to get approved for a credit card with a 500 credit score
- The best credit cards for low credit scores
- Tips banks use to evaluate applications
- How to increase approval odds instantly
What Does a 500 Credit Score Mean?
A credit score of 500 is considered poor according to the FICO scoring model. This usually means your credit report may contain late payments, collections, or high credit utilization.
| Credit Score Range | Rating |
|---|---|
| 300 – 579 | Poor |
| 580 – 669 | Fair |
| 670 – 739 | Good |
| 740 – 799 | Very Good |
| 800+ | Excellent |
Even if your score is in the poor range, lenders may still approve you for a secured credit card or a credit builder card.
Best Credit Cards for a 500 Credit Score
Here are some of the most popular credit cards that people with low credit scores can apply for.
| Credit Card | Annual Fee | Minimum Deposit | Best For |
|---|---|---|---|
| Discover it Secured Card | $0 | $200 | Cashback rewards |
| Capital One Platinum | $0 | None | Credit building |
| OpenSky Secured Visa | $35 | $200 | No credit check approval |
Step-by-Step: How to Get Approved With a 500 Credit Score
1. Apply for a Secured Credit Card
Secured credit cards are the easiest way to get approved with a low credit score. These cards require a security deposit which acts as collateral for the bank.
For example, if you deposit $200, your credit limit will usually be $200.
2. Reduce Credit Utilization Before Applying
If you already have existing credit accounts, try to reduce your credit utilization below 30% before applying.
You can use our internal calculator to estimate your utilization:
3. Check Your Credit Report
Errors in your credit report can reduce your approval chances. Always review your credit report before submitting an application.
You can get a free credit report from:
4. Avoid Multiple Applications
Applying for multiple credit cards in a short time can lower your credit score and reduce approval chances.
5. Become an Authorized User
If a family member has a good credit history, ask them to add you as an authorized user. This can significantly boost your credit score.
Tips to Instantly Increase Approval Odds
- Apply for secured credit cards first
- Keep credit utilization below 30%
- Check your credit report for errors
- Avoid applying for multiple cards
- Choose beginner-friendly lenders
How to Improve Your Credit Score After Approval
Getting approved for a credit card is just the first step. The real goal is improving your credit score over time.
Pay Your Bills On Time
Payment history accounts for 35% of your credit score. Always pay your credit card bill before the due date.
Keep Utilization Low
Try to use less than 30% of your available credit limit.
Keep Your Account Open
The longer your credit history, the better your credit score becomes.
Video Guide: Credit Card Approval Tips
Common Mistakes That Lead to Credit Card Rejection
- Applying for premium credit cards
- High credit utilization
- Too many hard inquiries
- Unstable income
- Incomplete applications
Frequently Asked Questions
Can I get a credit card with a 500 credit score?
Yes, many lenders offer secured credit cards and credit builder cards designed for people with low credit scores.
Which credit card is easiest to get approved for?
Secured credit cards are the easiest option because they require a refundable security deposit.
How fast can I improve my credit score?
If you make on-time payments and keep your credit utilization low, you can improve your credit score within 3 to 6 months.
Do secured credit cards build credit?
Yes. Most secured cards report your payment activity to major credit bureaus, helping you build credit history.
Final Thoughts
Getting approved for a credit card with a 500 credit score may seem challenging, but it is definitely possible. By choosing the right credit card, managing your credit responsibly, and following the strategies outlined in this guide, you can start rebuilding your financial future today.
Remember that improving your credit score is a journey. With consistent effort and responsible credit use, you can gradually move from a poor credit score to a good or even excellent score.