How to get a credit card when your CIBIL score is poor? Here are 4 effective ways

livemint.com:

credit score, also known as CIBIL score, is a key factor which banks base their decision on. A low CIBIL score usually indicates a higher risk to lenders, making them reluctant to extend credit. For instance, 21-year-old Manika Sharma who recently started working in advertising has no credit history, as a result of which she struggled to get a credit card for nearly three months.

Eventually, she settled for a secured card which entails opening a deposit before the card of an equivalent amount can be issued. Secured credit cards: Secured credit cards are designed for individuals with poor or no credit history. With a secured credit card, you're required to provide a security deposit, which serves as collateral for the credit limit you're granted.

Because the risk to the issuer is lower (since they have your deposit as security), you may have a better chance of approval even with a bad CIBIL score. Credit cards with higher interest rates: Some lenders may offer credit cards to individuals with lower credit scores, but they might come with higher interest rates, annual fees, or other charges. Be cautious with these options, as they can be expensive, but they might be a possibility if you're unable to qualify for traditional credit cards.

Smaller bank cards: While larger banks may have stricter criteria for approving credit cards, smaller banks or credit unions might be more flexible. They may be willing to consider factors beyond just your CIBIL score when assessing your application. ALSO READ: Why is RBI wary of co-branded credit cards? Credit cards with co-signers: If you have a family member or friend with a good credit history, you might consider applying for a credit card with them as a co-signer.