Crispety-I think that credit cards for bad credit are the secured credit card with a prepaid balance.
These credit cards offer a small credit limit but have to be secured with a bank account so that the bank has a guarantee that the card holder will pay the balance on the card.
They usually have to deposit the exact amount that they have in terms of a credit limit in a bank account that is frozen and is used as collateral for making payments on the card.
This is an ideal way for someone with bad credit to reestablish their credit or for someone that is establishing their credit for the first time and receiving a first credit card.
These types of credit cards are best for people that overspend because the way that these cards are set up you will not be able to do that anymore.