If you keep getting turned down for credit cards, a secured card is the way to go. Here's how they work: You make a deposit with the bank that issues the card. That money is held as collateral in case you don't pay your credit card bills (in the best cases you earn a respectable rate of interest on it). The amount you deposit is also, typically, your credit limit.
The card. In return, you get a secured Visa or MasterCard. It doesn't look any different from a regular credit card—you don't have to worry that some smug store clerk is going to give you a wink or a nod and that you'll be mortified. You just use the card and pay the bills at a slightly higher interest rate, generally, than standard counterparts.
The payoff. After eighteen or twenty-four months of on-time payments, the best programs will convert your card to a standard Visa or MasterCard and return your deposit.
