Everyone says you should have a credit card. The news media are full of stories on how you need to have a high credit store, but where do you get a credit card when you have already failed in the past? Why would you want to try again? Won’t you just get into more trouble? Those are all valid questions and the answer depends on whether you have learned anything from your past experience.

If you think you can act the same way you did when you got into trouble the first time, stay away from credit cards. If you can’t change your behavior, they will only bring you more headaches, but if you are willing to stick to the rules, you can redeem your credit rating. Here are the 3 things you want to pay close attention to:

Annual or monthly fees

Many credit cards charge an annual fee. If you got into trouble with an earlier credit card, it is likely that you found yourself spending more than you could afford to pay off, so any reduction in cost is desirable. Household Bank® Premium MasterCards do not have an annual fee on their unsecured credit cards and will waive the annual fee for the first year for a secured credit card.

Let’s face it. If you have a bad credit history, the only type of credit card you may qualify for is a secured credit card. That means you have to keep as much money in your account with the bank that is issuing the credit card, as they grant you as a credit limit. Basically, you are borrowing from yourself in order to improve your credit history. Having to pay fees in order to do this, is just an added insult. Unfortunately, you put yourself into that position, and you don’t have much choice if you want to fix the situation. This particular card is one of the few that will waive the annual fee on a secured credit card.

Annual percentage rate on purchases

You don’t want to pay so much in interest that you cannot afford to buy anything. After all, you want to buy something, so you can pay it off and demonstrate how responsible you have become. The Household Bank® Premium MasterCards currently are offering 9 months of purchasing power without having to pay an annual percentage rate. Zero. So this is your chance to build up 9 months of credit history without any additional costs. Of course, you have to still pay off your purchases, so only buy something you would have purchased anyhow because you needed it and make sure you pay it off within those 9 months. The interest rates after 9 months are in the 20% range which isn’t unusual, but it certainly will impact your budget. It means if you buy something for $100, you will actually pay $120 for it if you take a year to pay it off. Was it really worth the extra $20? You have to decide that.

Penalties

This is the big one. Banks have gotten smarter at protecting themselves. If you dare to be late with a payment, they really turn up the heat. In this case you will find your interest rate skyrocketing. You will find yourself paying almost 30% interest on your balances if you fall into their penalty rules. DO NOT FAIL TO PAY. There are very few items that present such an emergency, that they are worth paying a 30% premium for. Do not take using a credit card lightly. You are taking on an obligation in order to build up your credit score, so you can benefit in the future. You want that future to look bright, so work for it now. Pay attention to your bills. Pay them on time.

Check out Household Bank® Premium MasterCards. You have a reasonable chance of success with this one.