People who have recently filed for bankruptcy or just had their debt discharged may not think of applying for a credit card. In fact, credit card debt may have been a major contributor to their overwhelming finances. 

According to USA Today, credit card debt in the U.S. has increased by approximately 20% in the last 10 years. Although it is incredibly easy to wrack up debt on a credit card, these cards can be a helpful tool in rebuilding credit. 

Are all credit cards the same?

Regardless of what some may think, not all credit cards are equal. They come with various interest rates, terms, annual rates, maintenance fees and, in some cases, other hidden expenses. Furthermore, once people have a bankruptcy on their credit record, they may not qualify for some types of credit card plans. 

What are subprime credit cards?

Subprime credit cards market their plans to people who have low credit scores, according to CBS News. Although they may ensure easy credit to those who need it the most, the plans may come at a high price. High interest rates, percentages and tacked on fees may lead to further debt, exactly what filers do not want after finalizing a bankruptcy. 

Other credit card options that can help people rebuild credit and avoid further fees include the following: 

  • Opting for low balance restrictions on a credit card 
  • Using a prepaid credit card 
  • Paying off the balance every month 
  • Never charging more than they can afford to pay 

Some prominent credit card companies offer secured card plans to those with low credit scores. These may also be good options for rebuilding a score post-bankruptcy.