Do I need to have an open credit card?
Updated: Jan 14, 2019
Many people who have bad credit have had bad experiences with credit cards in the past and understandably, they are afraid to open up a new credit card because they don't want to get into debt again.
However, they are missing out on easy points to their credit score. The credit score is calculated using a debt-to-credit ratio. This means that if you have no open revolving credit (i.e. credit cards), your credit score is going to be very low because when you calculate anything by zero, the outcome is never good.
I recommend opening up a secured credit card. The card I usually recommend is www.openskycc.com. I like this card because they approve everyone, have a relatively low annual fee of $35, and they don't do a credit check, thus no hard inquiry. Make sure to always keep the balance below 30% of the credit limit and always pay it on time.