Search by Credit Quality
Search by Feature
Search by Rewards
Search cards for Business
Search cards for Students
Search by Type
Search by Bank
 
Credit Cards for Bad or No Credit
Secured Credit Cards

A secured card is much like a debit card. Your credit line is equal to the amount of cash you deposit into the account. So if you make a $500 deposit on your secured card, you'll be able to use the card up to $500 (minus any annual or additional fees the card issue may charge you).

Secured cards typically report your payment transactions to the 3 major credit bureaus, so you have a way to show you are making payments on time. This will result in a higher credit score over time and the ability to eventually get a regular loan or credit card.

Pros:

* Good for rebuilding or establishing credit
* Allows for online shopping (and possibly online bill paying)
* Allows for use of most ATM machines
* Reports to the major credit bureaus
* Pre-set limit keeps you from going over the limit
* Peace of mind when traveling, etc. that you have a card as opposed to carrying cash

Cons:

* Possible high monthly/annual fees
* Possible high interest rate
* Possible nickel and dime you to death with additional fees

Prev
Next
Credit Card Advice Categories
 

Best Poor Credit Credit Card
UPside Visa® Prepaid Card
Copyright © 2008-2017 CardZ.com All Rights Reserved. Terms of Use | Privacy Policy | Credit Cards Advice | Site Map
Our Network: ValueLoan.com | DebtWatch.com