You can use them as a regular credit card, and you must pay them in the same way to become a very good client to that institution. As for the unsecured ones, they're regular credit cards but with a very low credit limit and a very high-interest rate. Remember that your score says to every financial institution that you are not very good at paying back what you owe; this way, the bank protects itself. 2. Co-sign a credit line You won't get a lot of credit on your own but if you can ask someone close to you, with a good credit history, to co-sign a loan with you. You'll get the money and the advantage of his or her credit score, and you'll be able to rebuild your credit score by paying on time. Just remember that if you fall off the wagon and stop paying, you'll affect the other person's score so… again, don't be that person. Pay on time, pay in full, and start boosting that score up. 3. Piggyback to another person's credit If someone close to you has a credit card, ask him or her to add you as an authorized user on his card.
Start Building – or Rebuilding – Your Credit Today Using a secured credit card is an excellent way to jumpstart the credit rebuilding process. Be patient. Every situation is unique, but if you don't have a recent bankruptcy or judgment on your credit report, you might qualify for an unsecured card within 12 to 18 months. Readers like you also enjoyed: How to Build Credit Fast on $30k a Year or Less 6 Secrets to Saving Money on Your Balance Transfer Credit Card These Magic Words Can Slash Hundreds Off Your Credit Card Bills