Secured Credit Cards
When considering secured credit cards, you first need to understand how they work. To get this type of card, you must be at least 18 years old (or 19 if you live in Nebraska). If you meet the age requirement, you will be required to deposit money to guarantee that any charges made on your card will be repaid. Some cards will use the deposit to establish your credit limit and then operate like a regular credit card, charging you interest on any balance that exists on your account. Other cards deduct purchases and withdrawals from your initial deposit, and charge a monthly fee instead of charging interest.
A major consideration when choosing a card is whether your information will be reported to the credit bureaus. This is vital if you are trying to establish your credit. With this in mind, you can use the following chart to compare the best credit cards in this category which offer not only reasonable fees, but also report to the major credit bureaus.
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| Guaranteed Approval |
Guaranteed Approval – no credit or income requirements |
Must
meet the minimum requirements |
Instant
Guaranteed Approval* – no credit check, no security deposit |
Minimum Deposit |
$200 min. deposit |
$300 min. deposit |
No minimum deposit |
| No Activation Fee |
No activation fee |
No activation fee |
$0 ACTIVATION FEE – when you load your card by direct deposit |
| No Monthly Fees |
No fee |
No fee |
$4.95/mo |
| No Annual Fee |
$50 |
$29 |
None |
| ATM Transaction Fee |
5% ($5 minimum) | 4% ($5 minimum) | $2.00, plus ATM owner fee |
| Late and Overdraft Fees |
$32 or $35 - depending on your credit limit | $35 | No Overdraft Fees – no minimum balance required |
| Reports To Credit Bureaus |
Yes |
Yes |
Free
Credit Builder† – bill pay transactions are reported to PRBC® |
| Credit Limit | $300 to $5,000 | $300 to $10,000 | Reloadable - $10,000 balance limit |
| Interest Rate |
9.99% Low Fixed APR - Rate Won't Change Even If You're Late! | Variable (Prime + 10.99% for purchases)- currently 16.99% | doesn't apply |
| Online Access |
Yes |
Yes |
Yes |
| Free Online Bill Payment |
No |
No |
Free
Online Check Writing – no need for expensive money orders |
Application Form |
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Since there are variations in how these cards work, it's best to read the
individual terms and conditions for any card you are considering applying for. If you think that you would qualify for something
other than secured credit cards, check
out the following sections for other offers:
Bad Credit Credit Cards
Unsecured Credit Cards
Visa Credit Cards
