"Things can't get any worse..." It's likely you've heard; or quoted, that statement. In regards to credit, yes, things can get worse.

Bad credit can become even "badder".

For example: Let's say you can only get approved for an unsecured, bad credit card with a credit limit of only $300. Since the credit limit is only $300, you would think that there was no way you could not repay the balance even when you reached the $300 credit limit. But things happen. You have an unexpected bill or other financial emergency, and you can't make a payment. Now your $300 credit balance is hit with a late fee, which subsequently puts you over the $300 limit and now you've also got an additional over-limit fee. So, instead of owing a balance of $300, you now owe a balance of $370.00. The late fee and over limit fee has cost you an additional 23% to be added to your balance. And guess what... if you miss another payment; or do not get your balance below your $300 limit, next month you'll be socked with another over limit fee (plus another late fee if you do not send your payment in on time). That $300 limit could easily cost you hundreds more. Naturally, it's likely the over limit fee and late payments will affect your already bad credit report. Hence, bad credit can indeed get worse.

Bad credit people cannot afford late fees and over limit fees. While the low credit limit unsecured credit cards can help re-establish (or establish) credit, it can likewise do further harm if not repaid timely.

Here is where bad credit people dig a deeper hole... when they exceed their credit limit or cannot repay credit card balances, many obtain yet another low credit limit unsecured card. If they also max out that card, they are looking at double-jeopardy. It has been suspected that some credit card issuers knowingly extend low credit limits to bad credit people, just for the late and over limit fees.

Unsecured personal loans: The same applies for small personal loans. If; for example, you obtain a payday personal loan of $1,000 and do not repay the loan upon the loan's short term expiry, you could be penalized a roll-over fee of up to $60. So, instead of owing $1,060 for the original loan term, you now owe $1,120. See how this can quickly escalate your total balance due? Again, many bad credit people will obtain a second personal loan, because they are having difficulty repaying the first one. Now they owe balances on two personal loans.

Credit; in itself, is not bad... the way people use credit can make it good or bad for them.

Juggling debt is no way to recover from bad credit. Just because you already have bad credit, do not think that any future actions could do you no further harm to your credit score.