There is no single credit card that will appeal to all people, but here are some cards that various user reviews have warned about. Think hard before applying for these.

Cards with stringent terms
With cards like the Capital One MasterCard, you'd probably have to live with very low credit limits, high annual fees (approximately $60) and high interest rates (24% per annum). Many do still apply for these cards though, especially those with credit scores below 500, as approval is quite certain, and is an extremely useful financial tool to re-build and re-establish one's credit.
Many have reported that Chase One's sub prime cards are not worth getting, because even if you make your payments on time, Chase does not have a policy of recognizing your "good payment behavior" and promote you to their prime cards. They're also notorious for charging high annual fees and APRs (annual percentage rate) with these cards, and the customer service representatives are extremely reluctant to act on credit limit increase requests.

Catalog credit cards
These cards are typically sought after by those who have adverse, bad or damaged credit history. The limitation imposed is that you can only use the card to make purchases of merchandise from a certain store. However, you're almost guaranteed to get your application approved.

Credit card horror stories
Well, it doesn't have to be one. Click here to read how Medion managed to get BBB (Better Business Bureau) to take on his case with unauthorized charges appearing in his credit card (which he ultimately canceled).

Stacy Johnson's advise for applicants with bad credit
In this video, Stacy Johnson reveals the exorbitant charges imposed by First Bank of Delaware on holders of the Contentinal Finance MasterCard. This card would seem to be a likely choice for those with less than ideal credit scores, but the total fees one owes the bank before the card even arrives in the mail comes up to a ridiculous $247, which is just $53 shy of going over the meager $300 credit limit.

To add to the insult, if you're good with your monthly payments, they increase your credit limit a measly $100 at a time, and charge you $25 each time they do it!
Definitely, follow Stacy's advice to stay away from this card (and other cards like it), shop around and don't forget to read the fine print - ALWAYS.

My favorite card?
OK, you didn't ask, but my personal favorite is the Blue Sky from American Express, and these are some of the highlight benefits offered:

  • No annual fee
  • Frequent flyer miles can be applied to other travel related expenses, and not just for air tickets. This is convenient as I travel a lot, and sometimes have to hop on multiple modes of transport, so the Blue Sky card allows me to enjoy reduced rates on cruise line tickets, hotels worldwide and car rentals.
  • A multitude of insurance cover and buyer protection is offered. American Express is pretty comprehensive, and you get cover for lost luggage and travel accidents
  • No restrictions on choice of airline, seats and other travel arrangements. This is the biggest plus point with the AMEX Blue Sky - almost every other credit cards impose severe restrictions on travel-related redemptions and thus virtually negates the travel benefits that you got the card for in the first place.

Conclusion

We all have our blacklist of credit card issuers, but each of them does have their own benefits that are in line with our needs and requirements, as long as we make sure the disadvantages are not deal breakers.