Gas Credit Cards for Bad Credit

Many gasoline companies offer credit cards to their customers to encourage them to purchase gas from their stores. If you have reasonably good credit, you may receive numerous offers in the mail for these cards. However, gas credit cards for bad credit are harder to obtain. That doesn’t mean you can’t get one, it just might require a bit more searching for a creditor who will give you a card. The issuing company makes money off interest rates and even late fees on payments, so many are willing to overlook less than perfect credit when evaluating applications, especially in today’s economy with the high price of gas.

Usually, gas credit cards can be used in the store for any purchase as well as at the pump. Today’s gas stations have credit card machines right at the pump where you can swipe your card, pump your gas, get a receipt and be on your way. These credit cards work just like any other; you will get a monthly bill and statement in the mail. You may find that because your credit is bad, your interest rate will be higher than it would be for an individual with good credit. If you are unable to get an unsecured gas credit card, there are other options available to you.

One would be to use a secured card. This is a card on which you put your own money which is used for your purchases. It is a great way to build credit if you make payments on time and can help you eventually obtain an unsecured card. You can also use any credit card with a MasterCard or Visa logo at the gas pump. Credit card applications for gas cards can be obtained from gas stations everywhere. Or, you can apply online which may be faster and more convenient.

The Internet is the perfect research tool when it comes to finding gas credit cards for bad credit. However, it is important not to be sucked into credit card offers with extremely high interest rates, high annual fees, origination fees and annual fees. These are all charged to your card, so if you are not aware of these fees you may not realize the actual amount available on your credit card. Although the terms and conditions for credit cards are long and in fine print, it is crucial to read them until you have a clear understanding.

Some companies will give you a credit card if you pay a fee, which may be anywhere from $25 and up. Your limit will most likely be low, as little as $200 and even less once the fees are subtracted. However if you make timely payments within six months to a year you may be able to request a credit limit increase. Also, if you can improve your credit, you may want to pay off your high interest card and obtain one with more appealing rates.

Gas credit cards for bad credit are not as easy to get as they would be if you had good credit, but they can be obtained. The trap many people fall into is having too many credit cards and accounts and falling behind on their payments which can lower credit substantially. Consider this carefully before you decide to apply for a credit card, as each inquiry made affects your credit score. If you cannot get a credit card from a gasoline company, try budgeting your gas money or even using alternative methods of transportation when possible such as walking, biking, carpooling or taking public transportation. Not only are these methods of transport better for your wallet, they are better for the environment as well.