The Best Secured Credit Cards of 2018

If you're in the market for a secured credit card then you probably have below average credit and are looking to increase your credit score.  Unfortunately, most people with poor credit have to resort to high-interest rates on loans or even the dreaded payday loan just to make ends meet. But one way to get out of the credit hole and build up a three-digit credit score closer to 700 is with a secured credit card.

The difference between a secured and unsecured credit card lies in the name.  An unsecured credit card provides a consumer credit without having to put anything up as collateral.  If the consumer defaults, the credit card issuer has nothing to collect initially and must go through the collection process to obtain the funds.  A secured credit card, on the other hand, requires a deposit up front, which is held in case payments are not made on time.  The amount of the deposit is equal to the consumer's credit line and from that point on, the card acts like a normal credit card.

The main drawbacks to secured credit cards are their lack of rewards and high fees, but we've done our best to bring you the best secured credit cards available today, which include low fees.  Secured credit cards are a great way to rebuild credit, as all of the cards listed below report to the three major credit bureaus.  If you own a secured credit card that deserves to be added to our list, let us know! Looking for an alternative to a secured credit card? Consider Self Lender (our review).

Featured Secured Credit Card

Card Finder

USAA Secured Card Visa Platinum®

Current Offer: 18.40% to 24.40% APR, improve your credit rating — sometimes in as little as 12 months. No foreign transaction fees when you travel outside of the United States, and extended warranty extends your manufacturers or U.S. store brand warranties for up to one year.

$35 Annual Fee

Secured MasterCard From Capital One

Current Offer: This card requires a security deposit of $49, $99 or $200 refundable deposit based on your creditworthiness. Make the minimum required security deposit and you'll get an initial credit line of $200. Plus, deposit more money before your account opens to get a higher credit line, up to $3,000, get access to a higher credit line after making your first 5 monthly payments on time with no additional deposit needed.

No Annual Fee

OpenSky Secured Visa® Credit Card

Current Offer: Credit line as low as $200 up to $3000, linked to your fully refundable security deposit. Plus there’s no credit history required to apply, no credit check and no checking account necessary. No fees for application and processing, and it’s accepted everywhere you see the Visa logo.

$35 Annual Fee

USAA Secured Credit Card

Current Offer: 10.40% to 20.40% APR annual percentage rate, same rate on purchases, cash and transfers, balance transfer / cash advance fee up to 3%, plus added benefits of active military.

$35 Annual Fee

Platinum Elite MasterCard® Secured Credit Card

Current Offer: 11.99% variable APR for purchases, 18.99% variable APR for cash advances, no minimum credit score, no credit history required, accepted nationwide.

$44 Annual Fee

Want My Free 31-Step Money Guide*?

Subscribe for free. Get my guide *31 Days to Improve Your Financial Life, welcome series, and regular Five Things digest. Join 30,000+ other followers.

Powered by ConvertKit