Obtaining a credit card after filing bankruptcy is surprisingly not difficult. You actually may be bombarded with credit card and loan offers after you have received the discharge. While you may get a lot of offers, it is important to be aware that a lot of these most likely come with extremely high interest rates or fees.
Obtaining a secured credit card is a great way to build your credit in a risk-free way of not incurring additional debt. A secured credit card works by paying an upfront deposit, which is then returned to you after closing the account. Your line of credit will be based on how much money you make and the amount of cash you deposit. A secured credit card is different than a prepaid credit card because the initial deposit does not count toward payments. It essentially functions the same way a traditional credit card works.
A secured credit card can also help you rebuild your credit, since payments are reported to credit bureaus. However, if you fail to make a payment, this will also be reflected in your score.