Secured Credit Cards Offers

Secured credit cards can be used to establish a credit history or to repair a bad credit history as secured cards are usually reported to the credit bureaus – Experian, TransUnion or Equifax. The credit limit on a secured credit card is established by the security deposit an applicant pays. Secured credit cards work like unsecured credit cards. A cardholder will also receive statements every month and will be required to make card payments monthly. The security deposit will stay intact while a cardholder makes all due payments on time and the deposit will be refunded once the card is paid off and closed.

To get a secured credit card you will have to pay a security deposit. You may need to send it along with your credit card application. Or, which is more common, you will have to submit your application first and after you are approved, the credit card issuer will ask you to pay the deposit. The credit card issuers usually give applicants up to three months to pay a security deposit. If the security deposit is not paid on time, the application will be withdrawn. When security deposit is paid and received by the issuer, the card will be sent to the applicant.

A secured credit card is a credit card that requires a collateral deposit that becomes the card’s credit line. The average minimum amount of the deposit is about $200. However, it can be higher or lower depending on the issuer you are applying with. If you want to increase the credit limit on your secured credit card, you simply need to increase your collateral deposit. Secured cards, like regular cards, can be used everywhere they are accepted. The cards are also reported to the major credit bureaus so they are good for those who are building or rebuilding their credit.